We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Debate House Prices
In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
house price falls help buy-to-let investors
silvercar
Posts: 50,944 Ambassador
From The Times today (6/3/09):
http://property.timesonline.co.uk/tol/life_and_style/property/investment/article5851138.ece
Investors with cash, or able to raise money from the equity in their own home, are buying at the expense of first time buyers. Lower house prices and low interest rates is leading to an increase in investment in property.
Unless QE leads to a greater availability of mortgages for FTB, the fall in house prices will help envourage investment in homes at the expense of FTBs.
http://property.timesonline.co.uk/tol/life_and_style/property/investment/article5851138.ece
Investors with cash, or able to raise money from the equity in their own home, are buying at the expense of first time buyers. Lower house prices and low interest rates is leading to an increase in investment in property.
Unless QE leads to a greater availability of mortgages for FTB, the fall in house prices will help envourage investment in homes at the expense of FTBs.
I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
0
Comments
-
Wheres AD44DOWNEY when you need him,he'll be frothing at the mouth like a rabid dog with this news.
Back on topic...............inevitably would happen,if your selling do you wait for a ftb to arrange finance or take the cash offer.Official MR B fan club,dont go............................0 -
uh-oh..... cue much frothing and foaming at the mouth.....
Good for a laugh though
I've got that Friday feeling.....0 -
Wheres AD44DOWNEY when you need him,he'll be frothing at the mouth like a rabid dog with this news.
Back on topic...............inevitably would happen,if your selling do you wait for a ftb to arrange finance or take the cash offer.
:rotfl:
Great minds??
Fools seldom??
Who cares??0 -
<frothing at the mouth> there should be a prison for those slum buy to let landlords <still frothing at the mouth with anger> :rotfl: :rotfl:0
-
In all seriousness my EA family member told me this a few months ago this was happening.
Unfortunatly you get the usual stuff on here about such news but at least now people will se I was actualy trying to be helpfull.0 -
The question is, though, how much of a rental market is there left for these BTL-ers to plunder? :rolleyes:0
-
Well the more people who can't get a mortgage to buy, the more tenants there are.
The more people buying property to rent out, the more properties available.
Should balance out. The people that will lose out will be the tenants with bad credit/ rely on benefits who will be squeezed out of the decent properties by the renters waiting to buy.I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.0 -
If they want to leverage up for a rapidly depreciating asset, then let them go ahead.Politics is not the art of the possible. It consists of choosing between the disastrous and the unpalatable. J. K. Galbraith0
-
Sir_Humphrey wrote: »If they want to leverage up for a rapidly depreciating asset, then let them go ahead.
I would of thought cash buy would not be leveraged at all?
Could it be those nearly retired savers are now looking to get a return on cash?0 -
Sir_Humphrey wrote: »If they want to leverage up for a rapidly depreciating asset, then let them go ahead.
very subjective and too much of a generalised point.
how can it be bad to get into BTL when you can:
buy a property factoring any future price drops
take advantage of any tax efficiency to insulate against any losses
receive a decent yield better than having savings paying at 0.5%
and a major flaw in your post, you're never over-leveraged buying with cash
0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.6K Banking & Borrowing
- 254.5K Reduce Debt & Boost Income
- 455.5K Spending & Discounts
- 247.5K Work, Benefits & Business
- 604.3K Mortgages, Homes & Bills
- 178.6K Life & Family
- 261.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards