Landlords move to sell buy-to-let properties

chucky

boyse7en wrote: »

Brandford??????



more what of their market value?

2/10 : Must do better

Brandford & Bingley

:rotfl: :rotfl: :rotfl:

excellent - another quality article!!

IveSeenTheLight

fatpig wrote: »

The rats are fleeing the sinking ship

How much longer before chucky the rat jumps overboard?

Well, this rat ai'nt jumping the ship.
With mortgages being harder to come by, I think it may be best to hold on to property, especially as the rent more than covers the mortgages, associated costs and allows overpayments to be made to reduce the capitol

JonnyBravo

IveSeenTheLight wrote: »

Well, this rat ai'nt jumping the ship.
With mortgages being harder to come by, I think it may be best to hold on to property, especially as the rent more than covers the mortgages, associated costs and allows overpayments to be made to reduce the capitol

Me neither.

Spotted this article a couple of days ago.

http://news.bbc.co.uk/1/hi/business/7783084.stm

The last paragraph is all about BTL landlords and how the picture oft painted wasn't really seen by their research.

(Sorry I think this should be in a larger type face to be on brit's thread really.)

Didn't bother to post the link though as brit1234 has a history of only hearing what he wants to hear and I couldn't really give a to$$ if he thinks we're all up the creek. :cool:
As for the opinions of fatpig or napoleon..... :rotfl:

Of course I'm more than aware this survey consists of voluntary respondants so it's easy to understand that some people in trouble wouldn't want to respond.
I'm happy to see a grey picture. Doesn't quite fit in with the tired old black and white opinions/cliches (sorry can't do an accent) spouted too often about BTL by some though.

:cool:

ad9898_3

I think, as with any business at this time and over the 2-3 years, some will fail, some will be ok and some will prosper. It all depends on your business model. BTL is going to be hit harder than some for a few of reasons, some of which are

1. It's quite a new thing with the masses (35 fold increase in only 10 years)
2. A lot of amateurs, who heard a mate was making a few quid and thought they'd join in.
3. It's connected to the housing market, and that as we all know is falling off a cliff, in the long term lower house prices will mean lower rent.

The 'real' amateurs, who just relied on HPI and not yield, will go bust, as we are seeing now.

JonnyBravo

ad9898 wrote: »

I think, as with any business at this time and over the 2-3 years, some will fail, some will be ok and some will prosper. It all depends on your business model. BTL is going to be hit harder than some for a few of reasons, some of which are

1. It's quite a new thing with the masses (35 fold increase in only 10 years)
2. A lot of amateurs, who heard a mate was making a few quid and thought they'd join in.
3. It's connected to the housing market, and that as we all know is falling off a cliff, in the long term lower house prices will mean lower rent.

The 'real' amateurs, who just relied on HPI and not yield, will go bust, as we are seeing now.

Absolutely.

The big mistake often made though is the definition of "amateur" or whichever term the poster chooses at the time.

Only recently starting in the business doesn't mean one has to have an amateurish approach. Nor does it have anything to do with the number of properties a landlord holds etc.
I've often seen a line similar to "well the Wilsons are in trouble, imagine what its like for the amateurs" trotted out when it's clear the Wilsons were the ones acting like amateurs.

ad9898_3

JonnyBravo wrote: »

Absolutely.

The big mistake often made though is the definition of "amateur" or whichever term the poster chooses at the time.

Only recently starting in the business doesn't mean one has to have an amateurish approach. Nor does it have anything to do with the number of properties a landlord holds etc.
I've often seen a line similar to "well the Wilsons are in trouble, imagine what its like for the amateurs" trotted out when it's clear the Wilsons were the ones acting like amateurs.

Was just about to mention the Wilsons, their business model was appalling, pyramid schemes are dodgy at the best of times, but they were the whole pyramid by themselves:D, they now have no exit strategy, unbelievable really.

econo_2

Hmmm, I know you have a thing Brit about this area of housing and I do have some sympathy with your position, but I fail to see how this type of investment is any different from people in the last two years or so of the bubble, jumping on a ethos of "I don't want to save. I'll just buy my own home and the price rises will save for me?" But their respectable chaps because they live in it right?

It also takes no account of those who invested in a property for 20-30 years because pension plans were and continue to be garbage and they see this as a better investment over the long term. Furthermore where do you expect all those who are not in a position to buy because of a variety of reasons to live then?

In the end, if anyone bought what they couldn't afford,mortgaged to the eyeballs in any form and in a bubble then more fool them.

On a completely different area of cause and effect which is what I guess is the main gripe and crux of this. It has sadly gone under the radar that the huge influx of immigrants over the last decade (legal and illegal) has for sure increased pressure on limited housing stocks and been a major contributor to price rises. If you take out the millions who have and remain resident then we wouldn't have had this appallingly destructive jump in prices.

Now with the numbers of unemployed rising by the week it's a pity the government didn't start improving the skills of UK citizens from the off and then took a look at who was really needed after that. This really is starting to look as though this recession could get very nasty indeed on many fronts.

IveSeenTheLight

ad9898 wrote: »

1. It's quite a new thing with the masses (35 fold increase in only 10 years)
2. A lot of amateurs, who heard a mate was making a few quid and thought they'd join in.
3. It's connected to the housing market, and that as we all know is falling off a cliff, in the long term lower house prices will mean lower rent.

Just on your 3 points

1. Ok, an increase in BTL's, but isn't there also an increase in private rental demand. What are the council house figures now compared to 10 years ago.

2. Whats is the point of this point?

3. I don't understand this logic. In general it is percieved (and may be the case in most areas) that renting is far cheaper than buying. Now granted on average house prices are dropping, which will make the cost of buying lower and close the gap to the rental market.
If rents were to drop as you suggest, then the gap would still exist and even with a drop in house prices, it would still be better to rent .
I would think that house prices / cost of mortgage would drop until it is better to buy than rent. Only then would rent possibly drop but until then may still increase (they are still in my area)