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Increasing reposessions = reduced prices AND increase in demand for rented property. Couple this with ridiculously low interest rates - what could possibly go wrong?
Seriously though - some folks are going to make a killing!
if you have the cash or access to cheap mortgages then yes, so thats the bankers sorted then.
I am glad they can profit from their mistakes, whilst everyone else pays for it.
You need VERY big slugs of capital now. Id be surprised if you'd get better than 60% LTV.
Yes, if you're holding cash. But if you're holding that sort of cash there other things on whcih you could also be making stonking returns for the same level of risk.
But if you're holding that sort of cash there other things on whcih you could also be making stonking returns for the same level of risk.
Columbian marching powder import / export?
london, at least, is massively oversaturated with rental property and there are fewer people looking, so places are staying empty and rent levels have dropped significantly so it income from it's no certainty.
Its all in a downward spiral in Manchester. People with BTL mortgages are losing so much cash every month due to the drop in the rent prices that they're just handing over the keys and walking away.
It'd be a nice time to buy a flat to LIVE in. What a mad concept. People are taking stupid offers at the moment. Decent 2 bed flats in the city centre are now going for about £90,000. Which sounds about right. Its staggering to think the money some people must have lost
Rental values are also dropping, so making profits is still not going to be easy.
BD -what other investments are sound at the moment, in your opinion?
(Not that I've got money to invest, you understand, just interested)
Short term - maybe not - you need a lot of your own capital to invest in it, and the increased number of properties coming onto the letting market are depressing rental levels, so reducing income.
Longer term - maybe - provided that you have the capital to invest, and can afford to see that capital drop some more in the next 1-2 years, in 10 years plus you should have seen a growth in the capital value of your properties.
Those who can afford to buy at the bottom of the house price market (anyone a lucky guesser as to when that may be?) and who is willing to look at it as a long term investment should do quite well. If a couple of hundred grand fell into my lap I'd be looking to buy 2-3 houses to keep for 15-20 years which should help create a nest egg to pay for the kids to go through uni/training/whatever.
you would think it would be a good time but it isn't. I have a number of friend that are in property some with reasonably large portfolios and at teh moment dont even have let on 50% of their properties. Unless you are in places like London or Edinburgh and have some residule cash that you are not going to miss for a few years and want a long term investment then yes it is the time. Low property prices allows you to sell at a later date at a big profit.
The best time to buy is when it looks like the worst time to buy.
Or is that shares?