Misery of the BTLers and property developers...

Kenny4315

Graham_Devon wrote: »

So what happens to all the houses that these amateur BTL investors leave behind? They just vanish in a puff of smoke?

They don't get used / bought and all these people come to you to rent your place?!

Are you listening ... many of the houses currently as BTLs will be sold to other BTLers, but the ones buying will be in a stronger financial position, and will not be dekcuf by a 15% correction in the market, as they have equity.

Graham_Devon

Kenny4315 wrote: »

Are you listening ... many of the houses currently as BTLs will be sold to other BTLers, but the ones buying will be in a stronger financial position, and will not be dekcuf by a 15% correction in the market, as they have equity.

I edited and covered myself with that.

So what happens to your supply and demand then!?

I'm getting dizzy as this circle were going around in gets larger and larger.

15% correction? 15?! Stronger position with assets falling maybe 40% from peak? Stronger position with higher interest rates?!

Kenny4315

Graham_Devon wrote: »

Of course, you will probably avoid this answer and just say you will buy them. Which leads us back to earlier....how are you going to buy them when interest rates are back up to 5%, your making no money on the rent, and your asset is falling.

I have £1/4m in cash on deposit, do you not read my posts. That means I can buy outright, as can many other investors would sold in 2007.

mewbie_2

Kenny4315 wrote: »

Are you listening ... many of the houses currently as BTLs will be sold to other BTLers, but the ones buying will be in a stronger financial position, and will not be dekcuf by a 15% correction in the market, as they have equity.

Sorry to butt in but I think you're talking nonsense. The days of BTL's being able to equity release some profits to buy another place are so over. Even if they could, why would they? It's a FALLING market, it's the END of a BUBBLE. Not really time to be buying.

Fast forward a few years when prices have bottomed, maybe even starting to rise moderately. Still no one buys BTL's. Why? Because that bubble, that get rich quick scheme / dream is now over. For a generation.

Why did no one, hardly anyone, want to be a landlord ten years ago? Because it's a scuzzy, boring, downbeat, hassly way to make a miserable living from ungrateful nuisance tenants.

End of.

mp2

Kenny4315 wrote: »

Rent value is almost entirely based on supply and demand. At present there is an oversupply and thus rents have been coming down. Once the supply evaporates then there will be an under-supply ..... what's the supply of money got to do with paying the rent. You need somewhere to stay and you'll therefore pay the market rate, out of what you earn, you don't go to the bank to get supply. You either pay or you move back to the parents, or you have to get a place in the budget you have, that's the economics of it.

so if you have a 200k mortgage on a house bought last year and i have a100k mortgage on the house next door, bought today, do you expect us both to be charging the same rents? or will i and everyone else buying at cheap prices undercut you to win the tenants.

everyone buying properties at tomorrows prices/next years prices will undercut you because they can. they will have half your debt and can charge half the rent yet still make the same returns as you use to.

Graham_Devon

Kenny4315 wrote: »

I have £1/4m in cash on deposit, do you not read my posts. That means I can buy outright, as can many other investors would sold in 2007.

What, 2 houses?

That will keep the competition at bay!

Tell me. Why would someone pay you rent, when your rent will have to be more expensive, by quite a long way, than the mortgage to buy these properties left from the bankrupt investors?

We still havent covered interest rates either....

Kev09

Kenny4315 wrote: »

Are you listening ... many of the houses currently as BTLs will be sold to other BTLers, but the ones buying will be in a stronger financial position, and will not be dekcuf by a 15% correction in the market, as they have equity.

I am a new entrant to the BTL market and Kenny I am going nowhere! fact is the gravy train is over for you guys, you sound very complacent that suddenly all the new entrants are going to disappear leaving only you and the other experts!

Dan:_4

mewbie wrote: »

Sorry to butt in but I think you're talking nonsense. The days of BTL's being able to equity release some profits to buy another place are so over. Even if they could, why would they? It's a FALLING market, it's the END of a BUBBLE. Not really time to be buying.

Fast forward a few years when prices have bottomed, maybe even starting to rise moderately. Still no one buys BTL's. Why? Because that bubble, that get rich quick scheme / dream is now over. For a generation.

Why did no one, hardly anyone, want to be a landlord ten years ago? Because it's a scuzzy, boring, downbeat, hassly way to make a miserable living from ungrateful nuisance tenants.

End of.

I hope every landlord doesn't chuck in the towel or local councils will have a problem trying to house everyone.

Graham_Devon

Dan: wrote: »

I hope every landlord doesn't chuck in the towel or local councils will have a problem trying to house everyone.

Again, they simply buy up the reposessions. I believe they are already starting to do just that. Or at least there was an announcement by clown stating something along those lines.

mewbie_2

Dan: wrote: »

I hope every landlord doesn't chuck in the towel or local councils will have a problem trying to house everyone.

Hi Dan, I am not talking about landlords. I am talking about BTLetters. They're not landlords. They are wannabees - little experience - saw the pound signs and had some equity to play with in their own property. It's been a massive game for a few years. They will go gradually, and for some, painfully.

Leaving the landlords. The pro's. The old timers.