Is Buy-To-Let Bust?

pizzagirl

If people want to participate in the murky business of BTL speculation then that is their perogative, but they shouldn't be incentivised by the government in doing so. Quite the opposite in fact, they should pay a substantial levy.

baby_boomer

I'd personally gradually reduce the tax incentives but not impose a levy. Government can't be seen to work in such an arbitrary manner in an area where people have invested for the long term and we are in a collapsing market.

Buy-to-let doesn't have to be so speculative.The speculative bubble will go, for the banks' own safety.

In the long term, if you need a pension fund of £500K+ to retire in any sort of comfort, then as private sector pensions wither on the vine, there are bound to be people who can afford second and third properties as a genuinely affordable way of funding their retirement.

The government incentives will probably remain, because they haven't got an alternative housing policy for those who can't afford to buy e.g. indebted students.

Not to mention their fear of crashing the housing market further with a massive buy-to-let sell off just before an election

CluelessJock

Tell me, how was it possible for so many to become deluded, or is it only posters on this site that have fuelled the idea (amongst yourselves) that the property price boom was solely the doing of buy to let landlords?

What planet are you lot on?

PasturesNew

CluelessJock wrote: »

Tell me, how was it possible for so many to become deluded, or is it only posters on this site that have fuelled the idea (amongst yourselves) that the property price boom was solely the doing of buy to let landlords?

What planet are you lot on?

If you take the average intelligence, half are below average. We are the other half.

CluelessJock

PasturesNew wrote: »

If you take the average intelligence, half are below average. We are the other half.

As I suspected, totally delusional!

ad9898_3

CluelessJock wrote: »

Tell me, how was it possible for so many to become deluded, or is it only posters on this site that have fuelled the idea (amongst yourselves) that the property price boom was solely the doing of buy to let landlords?

What planet are you lot on?

I can't recall anyone on here specifically saying it was all to do with BTL landlords, however it has to be said that the relaxing of interest only mortgages criteria(and so BTL) is partly responsible for the current housing boom/bust cycle.

It would be very interesting to see how many chains would have completed over the past 8 years if BTL speculators had not been in the market. I think most would be shocked.

Of course I'm not slighting all landlords (its hard though:D) but I'm sure their is a significant majority who bought into the 'pyramid scam' of BTL, for example the Wilsons, who by their own admission couldn't care less about yield only capitol appreciation.

This of course has all come home to roost now and I for one will be glad to see the back of it. Some BTL landlords have been astute and will continue to do ok, however the 'dinner party brigade' are going to lose everything, the Wilsons included, it's just a matter of time.

GDB2222

PasturesNew wrote: »

If you take the average intelligence, half are below average. We are the other half.

Actually, a large proportion of the people posting here are probably top decile.

mewbie_2

GDB2222 wrote: »

Actually, a large proportion of the people posting here are probably top decile.

Definitely... although I had to Wiki "top decile" to find out what it meant.

JonnyBravo

ad9898 wrote: »

I can't recall anyone on here specifically saying it was all to do with BTL landlords, however it has to be said that the relaxing of interest only mortgages criteria(and so BTL) is partly responsible for the for the current housing boom/bust cycle.

It would be very interesting to see how many chains would have completed over the past 8 years if BTL speculators had not been in the market. I think most would be shocked.

Of course I'm not slighting all landlords (its hard though:D) but I'm sure their is a significant majority who bought into the 'pyramid scam' of BTL, for example the Wilsons, who by their own admission couldn't care less about yield only capitol appreciation.

This of course has all come home to roost now and I for one will be glad to see the back of it. Some BTL landlords have been astute and will continue to do ok, however the 'dinner party brigade' are going to lose everything, the Wilsons included, it's just a matter of time.

Yep agreed.

It doesn't sound quite as good as a topic to ask "Will some buy to let be bust?"
Just as it doesn't sound quite as good to say "Some of the av. house price increase is due to BTL"

So it would seem CluelessJock is as deluded as carolt.... just from opposite ends of the spectrum.

Gorgeous_George

BTL will prosper IMHO.Tighter lending and more sensible LTVs will mean that there are less people in a position tio buy than before. There will be just as many houses therefore it follows that the average number of houses owned by a property owning individual will rise.

Those BTLers who bought over more recent years will struggle with those who bought phlats struggling most.

Some of the worst strugglers will join the ever-increasing band of parasitic bankrupts.

GG