Investors Moving In?

Thrugelmir

BuddyBonthenet wrote: »

LOL! I watch it on iPlayer so I can skip those bits too!

I did wonder if they rushed to get this series shown so the prices were more relevant with the market changing so quickly. There are still a lot of people at every auction they show. There seem to have been a lot more repossessed properties recently that were in a reasonable condition. If I came into some money so that I could buy a property outright I'd consider an auction at the moment.

A lot of the more recent properties appear to be repossesed BTL's that are being sold to BTL investors.

They do seem to be stressing more and more on the programme to do your homework before buying at auction. Structural surveys aren't cheap, this might why be the buyers are only getting them done after purchasing. Makes you wonder how many people lose their deposits by not being able to complete the purchase.

BuddyBonthenet

Thrugelmir wrote: »

A lot of the more recent properties appear to be repossesed BTL's that are being sold to BTL investors.

They do seem to be stressing more and more on the programme to do your homework before buying at auction. Structural surveys aren't cheap, this might why be the buyers are only getting them done after purchasing. Makes you wonder how many people lose their deposits by not being able to complete the purchase.

Yes, it does and how many of them realise they have to complete with in 28 days (I think!)?!

QTPie

Well there are some odd things going on...

We are currently under offer to an investment buyer who is paying cash (so I am hoping to exchange very quickly - so will see very quickly if it works out). The argument for buying is that "it is a better place to have the money than in the bank"

Ours really is NOT your typical investment buy at all: so I can only assume that the purchase is not only rental yield (which is not very high for this house), BUT captal investment in the (medium/longer term).

The buyer is a very astute businessman and very familiar with the property business, so I have no doubt that he knows what he is doing...

As my husband says, "maybe we are wrong to sell it now", BUT selling (at a reasonable price) allows us to move on. Keeping it (and renting it out ourselves) would be riskier and wouldn't allow us to release as much equity...

QT

Thrugelmir

QTPie wrote: »

Well there are some odd things going on...

We are currently under offer to an investment buyer who is paying cash (so I am hoping to exchange very quickly - so will see very quickly if it works out). The argument for buying is that "it is a better place to have the money than in the bank"

Ours really is NOT your typical investment buy at all: so I can only assume that the purchase is not only rental yield (which is not very high for this house), BUT captal investment in the (medium/longer term).

The buyer is a very astute businessman and very familiar with the property business, so I have no doubt that he knows what he is doing...

As my husband says, "maybe we are wrong to sell it now", BUT selling (at a reasonable price) allows us to move on. Keeping it (and renting it out ourselves) would be riskier and wouldn't allow us to release as much equity...

QT

Out of curiosity what do you think the gross rental yield is on your property?

QTPie

Thrugelmir wrote: »

Out of curiosity what do you think the gross rental yield is on your property?

Just over 3% (which sounds low - I thought that most people were looking for 6%+).

My house is great, in a great location, well built and very easy to maintain. BUT it is not a typical "BTL" property at all...

QT

Thrugelmir

QTPie wrote: »

Just over 3% (which sounds low - I thought that most people were looking for 6%+).

My house is great, in a great location, well built and very easy to maintain. BUT it is not a typical "BTL" property at all...

QT

As you say very odd. Any possibility of developement on your land plot?

QTPie

Thrugelmir wrote: »

As you say very odd. Any possibility of developement on your land plot?

Absolutely zero (very, very small plot and it is a mid-terrace).

I can only think that it is longer term investment (5/7/10 years). It is in a very good location in a very popular city: prices will pick up here...

QT

Thrugelmir

With prices still falling and unlikely to rise for a long time. Why buy your property now as an investment?

brit1234

Degenerate wrote: »

If one is to believe the doom-mongers here that we are all headed for a hyper-inflationary financial armageddon, then tangible assets like houses and land are the safest place to put your money, regardless of their decreasing nominal values in a currency that, allegedly, is soon to be rendered worthless.

You have it a bit wrong. Inflation isn't uniform across the board, Imports will cause the hyper inflation through the weak pound and the quantitative easing. At the same time House prices/land not affected by the pound will continue to crash as it is still massively overvalued and the finance (security vehicles) and fraud (liar loans) supporting it has gone.

So in reality even though my deposit is getting little interest that is off put by the large house price falls. Its when I decide to buy a place and buy white good/TV (imported) its going to really cost me.

QTPie

Thrugelmir wrote: »

With prices still falling and unlikely to rise for a long time. Why buy your property now as an investment?

No idea... am just trying to race to exchange AS QUICKLY as possible...

Buyer also doesn't want a survey (he is a professional in the building industry).

As I said, VERY bizzare.

QT