Mark gives a news review, focusing on Rachel Reeves plans for the October budget and what he thinks the rest of Labour's plans will be for the UK. Mark also talks about the voting share from the election, UK rental affordability and the impact the continued drop in interest rates is having on the housing market.

KEY TAKEAWAYS

• Labour already knew the financial situation but they are now behaving like they didn’t, revealing the drastic measures they may take.
• Labour will likely look to change inheritance tax and pensions to try and ‘fill’ the gap in finances.
• Only 20% of the population actually voted for labour. This outcome is really about the conservatives performing so badly.
• The government’s control over the sentencing of rioters is concerning, they shouldn’t be able to have this much direct impact on the sentencing of individuals.
• Rental tenants are paying 70% of their income on housing in the UK. This is a direct consequence of the changes made by the previous government, that impacted demand and mortgage rates.
• Interest rates are continuing to go down, which will cause more people to buy houses rather than rent, this can already be seen by the slowing growth in the rental market.

BEST MOMENTS

"They’re saying capital gains tax should be the same as income tax, which of course is not right”

“I think she is probably going to try and get most of the bad news out this autumn”

“I think they will repeal the section 21 which will make it harder to evict tenants”

VALUABLE RESOURCES

https://www.youtube.com/user/progressiveproperty https://www.progressiveproperty.co.uk/the-progressive-co-founders/

ABOUT THE HOST

Mark has bought, sold or has managed around 1,000 property units for himself, Rob, his family and his investors since 2003. He is a system and spreadsheet geek and has developed a complex, confidential deal analyser system of buying residential, commercial and multi-let properties.

CONTACT METHOD

Email: Markhomer@progressiveproperty.co.uk

LinkedIn: https://www.linkedin.com/in/markhomer1

Facebook: https://www.facebook.com/markprogressive

Twitter: https://twitter.com/markprogressive

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

In this episode, Mark talks about the current state of the financial market, housing policies, and UK politics. From unsettling economic data to proposed changes in landlord regulations, Mark discusses the latest news and updates relevant to property investors and entrepreneurs in the UK right now.

KEY TAKEAWAYS

• Financial markets are unsettled due to worsening US economic data, this could lead to interest rate drops of around 1% in the US by the end of 2024, with the UK likely to follow suit.
• The UK government is considering French style hardship tests for tenant evictions, potentially banning evictions if renters are found to be worse off, which could lead to stricter tenant referencing and higher rents.
• Labour's promised "biggest house building program in Britain for two generations" is met with scepticism, as similar promises by previous governments have failed to materialise due to lack of resources and planning reforms.
• Rent prices in the UK have hit record highs, with the average rent outside London reaching £1,314 per month, driven by a lack of supply and increasing costs for landlords due to regulations and taxation.
• The Labour government's first month has seen a short honeymoon period, with concerns raised about potential tax increases and the handling of recent protests and riots across the country.
• Mass immigration is a significant concern for many UK citizens, with over 700,000 people entering the country on a net basis in the last 12 months, putting pressure on housing, schools, and public services.
• Mark criticises the Rwanda deportation, it feels like the plan was a "scam," especially after Dominic Cummings' revelation that Boris Johnson knew it would never work due to ECHR constraints, despite allocating £10 billion to the project.

BEST MOMENTS

"I studied economics. The first module I did was the supply and demand curve. It's very, very simple. If demand remains the same and supply reduces then price has to go up and that's what's happening to rent."

"About 6% of the land in this country is built on 57% is agriculture and 35% is natural or semi natural land. So, you know, do we want to get rid of all the farms? Absolutely not. Do we want to produce food? Absolutely."

"What happens is on a flat that ordinarily might have been rented for £800 and you've got an old tenant in there maybe paying £650 because they're on a, some sort of protected tenancy or rent control or whatever that property comes back on the market, it might rent for £1400, £1500, £1600."

"I think a lot of the sort of levelling up fund was marketing. I think there were a lot of sort of gimmicks in there."

"I think if Starmer really wants to gain credibility over some of the core issues that are going on at the moment I think he needs to find a genuine solution to stopping boats and remember the boats are only 30/50,000 people a year, reducing legal immigration, which is probably a bigger problem."

VALUABLE RESOURCES

https://www.youtube.com/user/progressiveproperty https://www.progressiveproperty.co.uk/the-progressive-co-founders/

ABOUT THE HOST

Mark has bought, sold or has managed around 1,000 property units for himself, Rob, his family and his investors since 2003. He is a system and spreadsheet geek and has developed a complex, confidential deal analyser system of buying residential, commercial and multi-let properties.

CONTACT METHOD

Email: Markhomer@progressiveproperty.co.uk

LinkedIn: https://www.linkedin.com/in/markhomer1

Facebook: https://www.facebook.com/markprogressive

Twitter: https://twitter.com/markprogressive

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

Mark revisits a previous episode this week and discusses one of the questions he repeatedly gets asked, whether it is worth using additional cash to pay off your mortgage or if it is better to invest it elsewhere? Join Mark in this episode to hear his thoughts and answers to this common question.

KEY TAKEAWAYS

• If you are even slightly disciplined you should not pay your mortgage off. If you are worried about interest rates then look at fixed rate mortgages.
• If you can invest your cash somewhere else, you will earn more back on that lump sum than you will be paying in interest on your mortgage.
• Property is still by far the best investment opportunity particularly in terms of lending from banks; they will always give you a great interest rate on anything you borrow.
  
  

BEST MOMENTS

“Why would you want to pay of your mortgage if you can get consistently good returns by investing in your isa and getting much much higher investment returns”

“You’ve got to make your money work for you, no one else will look after your money like you do”

VALUABLE RESOURCES

https://www.youtube.com/user/progressiveproperty https://www.progressiveproperty.co.uk/the-progressive-co-founders/

ABOUT THE HOST

Mark has bought, sold or has managed around 1,000 property units for himself, Rob, his family and his investors since 2003. He is a system and spreadsheet geek and has developed a complex, confidential deal analyser system of buying residential, commercial and multi-let properties.

CONTACT METHOD

Email: Markhomer@progressiveproperty.co.uk

LinkedIn: https://www.linkedin.com/in/markhomer1

Facebook: https://www.facebook.com/markprogressive

Twitter: https://twitter.com/markprogressive

‘Brought to you by Progressive Media’: https://progressivemedia.uk/