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Debate House Prices
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Terrible suffering in BTL land reported daily...
Comments
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ooooeerr sounds a bit ..... what is your occupation .... :rotfl:
Work it out mate, you really need a clue? :beer:
Lets just say the peeps I deal with are brown bread, there pining for the fjord, there turning there toes up, they've kicked the bucket, they are no more they are and ex-person, capiche?:rotfl:0 -
Just out of interest, where are the bears who sold out and are waiting for the bottom of the market living? Would it be in rented accomodation maybe? And who owns that house? I think bears have a moral obligation to move out of rented accomodation to teach their landlord a bl00dy good lesson, lol.
It's one of life's amusing little ironies, but a sharp fall in house prices is better for BTL landlords than a long period stagnation because it tends to cement people into the rented sector. Also as interest rates remain low the yield increases to provide income. There isn't a massive excess in supply of rented houses in residential areas and everyone has to live somewhere.
My judgement a couple of years ago was that BTL was a risky investment because I was expecting stagnation rather than a crisis, and at the levels of rents I was seeing locally I saw no income. At that point the BTL paradigm was mostly based on capital growth and in fact it made a lot of sense to rent rather than buy a house because like for like rental was cheaper.
It's different now. If I had the cash I'd be snapping up houses, even on the basis of a fall for a couple of years and a recovery over the next 5 back to current levels, which is a very conservative view, the rental income appears secure incremental cash. I think we're starting to see that analysis in the market personally, but we'll have to wait and see. There will at present be little consumer competition for houses, and the prevailing view is that BTL is a disaster, which oddly enough makes it a contrarian opportunity.
It's the inability to look at opportunities rationally which I find amusing about the bears on this forum. A lot of it appears to be about squinting down straight lines with your mates and building a snowball based on second hand information, old graphs, and speculation snipped from newspaper columns (incidentally if you ever want a really good laugh, read an in-depth journalist written article in a newspaper about something you actually know something about).
I don't know what will happen, but I think the probabilities are good for a fairly well hedged bet on BTL. Unless half the population suddenly die, a good house in a decent area will be a good proposition in a crowded country.
2 things darling:
One, we aint had the stagnation bit yet:rotfl:
Two, where's this money coming from to buy with?
Your deluded babe
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Broders, it is coming from where it always has done, 1st you save hard for a deposit, 2nd You find a starter home that you like, 3rd You visit your Bank/Building Society manager present your case to them and then Yipee you are on the housing ladder.FungusFighter wrote: »2 things darling:
One, we aint had the stagnation bit yet:rotfl:
Two, where's this money coming from to buy with?
Your deluded babe
If that is to complicated for you I expect I can break it down further for you.0 -
pickles110564 wrote: »Broders, it is coming from where it always has done, 1st you save hard for a deposit, 2nd You find a starter home that you like, 3rd You visit your Bank/Building Society manager present your case to them and then Yipee you are on the housing ladder.
If that is to complicated for you I expect I can break it down further for you.
Name a lender who will lend you on a BTL with the size of loans you got mate and I'll give you a tenner:beer:
Things have chaged buddy boy, you ain't doing nothing other than paying off a mountain of debt for the rest of yer working life.:T Sorry but you and all yer deluded fellow BTlers are just hooked into debt slavery, yer just don't know it yet:eek:0 -
FungusFighter wrote: »You make it far too easy mate
Man, are u desperate or what?
Little touchy FF, for one who has obviously done FAll if he has inherited it all, bet your dad's really pleased that he left all his hard work to a waste of space like you ..... NOT. :rolleyes:
I had to work for my stuff to set up the position I'm in and use my brain and brawn. Giving orders all day I doubt if you'd could order the tea ...0 -
FungusFighter wrote: »Work it out mate, you really need a clue? :beer:
Lets just say the peeps I deal with are brown bread, there pining for the fjord, there turning there toes up, they've kicked the bucket, they are no more they are and ex-person, capiche?:rotfl:
capiche ????? (you have spelt, ca pee kay), spelt entirely incorrectly, is from the italian verb Capire..... to understand.
Io Capisco, etc. Is the present tense ....
If you do wish to quote Italian then at least get it right ... Hai Capito ? :rolleyes: (have you understood ?)
http://italian.about.com/library/verb/blverb_capire.htm0 -
Just out of interest, where are the bears who sold out and are waiting for the bottom of the market living? Would it be in rented accomodation maybe? And who owns that house? I think bears have a moral obligation to move out of rented accomodation to teach their landlord a bl00dy good lesson, lol.
It's one of life's amusing little ironies, but a sharp fall in house prices is better for BTL landlords than a long period stagnation because it tends to cement people into the rented sector. Also as interest rates remain low the yield increases to provide income. There isn't a massive excess in supply of rented houses in residential areas and everyone has to live somewhere.
My judgement a couple of years ago was that BTL was a risky investment because I was expecting stagnation rather than a crisis, and at the levels of rents I was seeing locally I saw no income. At that point the BTL paradigm was mostly based on capital growth and in fact it made a lot of sense to rent rather than buy a house because like for like rental was cheaper.
It's different now. If I had the cash I'd be snapping up houses, even on the basis of a fall for a couple of years and a recovery over the next 5 back to current levels, which is a very conservative view, the rental income appears secure incremental cash. I think we're starting to see that analysis in the market personally, but we'll have to wait and see. There will at present be little consumer competition for houses, and the prevailing view is that BTL is a disaster, which oddly enough makes it a contrarian opportunity.
It's the inability to look at opportunities rationally which I find amusing about the bears on this forum. A lot of it appears to be about squinting down straight lines with your mates and building a snowball based on second hand information, old graphs, and speculation snipped from newspaper columns (incidentally if you ever want a really good laugh, read an in-depth journalist written article in a newspaper about something you actually know something about).
I don't know what will happen, but I think the probabilities are good for a fairly well hedged bet on BTL. Unless half the population suddenly die, a good house in a decent area will be a good proposition in a crowded country.
The "bears" who sold out at the peak of the property market are more than likely looking for the next investment bubble. Certainly not property from speaking to a couple of professional investors.
The stock market corrected very quickly in the credit crisis, as stocks and shares being liquid investments were easily cashed in. The property market (in investment terms) is going to take a lot longer to stabilise. There will always be a one off opportunity, I'm not denying that, but in general terms the property market has a lot longer to go before settling down. When interest rates start to rise there will be a further shake out that will affect homeowners in equal measure to BTL investors.0 -
I'm a LTB-er and doing very nicely thank you. God bless the MPC.0
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I know what this thread is all about. The sky has fallen down (house prices have crashed), and the bears are`nt seeing the blood, guts and pain that they were so looking forward to.Freedom is the freedom to say that 2+2 = 4 (George Orwell, 1984).
(I desire) ‘a great production that will supply all, and more than all the people can consume’,
(Sylvia Pankhurst).0 -
Spend all day dishin out orders and looking at !!!!!!.
my mind boggles at the lifestyles some people think indicate they've made it.
sounds hideous to me.Those who will not reason, are bigots, those who cannot, are fools, and those who dare not, are slaves. - Lord Byron0
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