The future of B&B and BTL

mewbie_2

MissMoneypenny wrote: »

Sorry mewbie. I didn't see that you had already posted this missing quote.

It's no problem at all. So rare I post anything of meaning that I fully expect people to skip past a mewbie post, unless they are looking for some old Xmas cracker style jokes and a diversion from the serious subject matter.

WTF?_2

IveSeenTheLight wrote: »

I think you mean chucky

ISTR = I Seem To Recall

IveSeenTheLight

!!!!!!? wrote: »

ISTR = I Seem To Recall

Cool, sorry about that
I must be getting too old :rotfl:

mystic_trev

chucky wrote: »

you are a funny character !!!!!! - yes i have purchased a couple of properties recently and will go in again shortly when the seller accepts my offer.

there were discounts and it suits me to purchase property for my partuclar circumstances. i also purchased that had corporate tenants that renewed on me buying the property - which means i have rent for a guaranteed term from their company. I bet you gave 'em one of CD WOW £2 Off discount vouchers too :rotfl: http://forums.moneysavingexpert.com/showthread.html?p=160452#post160452

Chucky dear fellow, you've rather let yourself down by deleting all your old posts, which would have showed you're just an ordinary chap like the rest of us - not Hugh Grant!

WTF?_2

IveSeenTheLight wrote: »

Cool, sorry about that
I must be getting too old :rotfl:

Some others:

IIRC: If I Recall Correctly.
IOW: In Other Words
IMO: In My Opinion
FTW: For The Win ('it rules!')
!!!!!!? .... errrrrrrm

wymondham

!!!!!!? wrote: »

Some others:

IIRC: If I Recall Correctly.
IOW: In Other Words
IMO: In My Opinion
FTW: For The Win ('it rules!')
!!!!!!? .... errrrrrrm

You forgot !!!!!! - always woondered what this meant !!

WTF?_2

mystic_trev wrote: »

Chucky dear fellow, you've rather let yourself down by deleting all your old posts, which would have showed you're just an ordinary chap like the rest of us - not Hugh Grant!

You don't get to buy houses with 50% down in Notting Hill and Kensington by paying two quid more for a CD than you have to!

+1 to Chucky for MSE nous! :money:

Although, buying properties in the prime areas of London at the peak of the boom kind of negates that. -100000 :wall:

chucky

just to get back on track and to upset the HPC crew in the house

http://www.myfinances.co.uk/news/mor...l-$1241818.htm

http://www.telegraph.co.uk/finance/p...-per-cent.html

http://ukpress.google.com/article/AL...l8sFWrRG3I4lSA

http://www.mortgagestrategy.co.uk/cg...03&h=401&f=402

WTF?_2

chucky wrote: »

try this one - came on at £495k earier this year land is now at £385k on the Notting Hill/Bayswater border
http://www.rightmove.co.uk/viewdetails-10279377.rsp?pa_n=2&tr_t=buy&mam_disp=true

he'll take some serious offers - but probably way too much for you !!!!!!
not the greatest but unless you 'incentify' and agent good places will be snapped up as they come on the market. something probably beyond your means though...

as for buying at the peak of the boom - not sure about that.
looks like your making things up AGAIN, but makes great reading.

also 50% LTV - not my words sorry. never said how much LTV was at the time but AGAIN your making things up, but makes good reading for the troops.

Original quote: http://forums.moneysavingexpert.com/showpost.html?p=14488367&postcount=23

(dated 26-09-2008)

FungusFighter:
So hands up everyone who bought property in the last 2 years with 50% or more deposit - did you?
Chucky:
I did - twice and will probably go in again before the end of the year.

i have a good rate, good LTV (going by lowish prices) and have enough cash liquidity elsewhere in the event it is ever needed.

What can I say? Just going by what you said.

meester

carolt wrote: »

http://www.guardian.co.uk/money/2008/sep/30/buyingtolet.property

Interesting involvement from Martin in there too:

Martin Lewis, of the Money Saving Expert website, warned the government that forcing B&B's borrowers to go elsewhere could send many buy-to-let landlords to the brink.

"When Northern Rock was nationalised, in order to help it repay some of its debts, it pushed mortgage rates for those no longer on fixed or discount deals to hideous penalty levels. It's possible the same will happen for Bradford & Bingley.

"This wouldn't be a problem in a normal mortgage market, but right now, especially for those who've over-borrowed, it's incredibly tough to get a new deal. We could start to see nationalised repossessions."

Why are we supposed to feel sorry for them?

What if somebody had borrowed £195,000 to buy Northern Rock and Bradford and Bungley shares, and watched them fall to zero?

Would we feel sorry for them too?

Fact is, the only reason these people might be in trouble, is they borrowed huge amounts of other people's money to gamble with, and now they are rightly seen as a high risk as property prices plunge. If they had not been so greedy in the amount they had borrowed, a rise in interest rates would not be a problem.

In order of credit crunch victims sympathy the list would come something like this:

1. Pensioners whose pensions have been wiped out by the bank nationalisations
2. People that were gullible enough to listen to the property !!!!!!, and foolishly bought at the peak of the market and overstretched themselves so they are now in trouble.
3. People who took out 125% mortgages in order to buy an overpriced flat AND a holiday they couldn't afford, and now a couple of years later they need more debt to maintain their irresponsible lifestyles, but cannot access it.
4. Buy-to-letters who, let's not forget, borrowed money to speculate in the housing market

Plenty of wise heads advised not to buy-to-let at less than 10% yield, to safeguard against just this scenario, but did the BTLers listen? Did they hell.

There are plenty of buy-to-let landlords who WON'T be hit by this, those that bought at sensible yields, or bought a few years ago, and were not insanely stupid enough to buy flats that yield only 4%.

If I open up a shop 10 miles from the nearest house and my business goes bust, nobody will bail me out, so why should idiot btl'ers be subsidised? They are no different from the banks that bought all this toxic debt, they acted irresponsibly and must not be bailed out.

And let's not beat about the bush, that's what Martin is calling for. He's saying that the nationalised banks (which have been nationalised PRECISELY because they lent to these fools) should bail out BTLers using OUR money, by offering lower mortgage rates than available on the free market, with the subsidy of taxes.