Property Snakes and Ladders; 2009

barrooo

Have to agree, it was a bit dull this week. However next weeks looks promising, I thought I heard one soundbite of £30k negative equity, mwahhahahaha(evil laugh)

lostinrates

John_Pierpoint wrote: »

Hi Rob,
Would I be right in thinking you are under 40?
As Beannie said at the beginning the tourist market for this edge-of-Dartmoor town has an ageing demographic profile - think "empty-nesters" (now known as boomerang kid households) rather than DINKY's or the bucket& spade brigade.
.

Thing is, when I look at my parents who might well spend that sort of money on a holiday, so joyous are they to be old enough to go without the encomberances of children (though occasionally they taketeenage grandchildren) yet young enough to be able to cope in alien environments without too much confusion fear, they go further afield. Not having to pick up after small children or cater for preteen faddy diets they want service: 4/5 star hotels, and if they were going to go self catering theywould want more privacy than that offered.

Mini_Bear

£1700 a week for a 3 bed cottage thing??
it only costs 2k to rent out the biggest (4BED 4 BATH), designer woodland lodge at centre parcs over the xmas period for gawd sake!!
the guy seemed really greedy and not that likeable. the woman, an accountant, was far more realistic.

dopester

Crazy stupid BTL house-hogging (9 of them?) greedy, debt-fuelled, hpi fake-success baby-boomers.

Him wanting to spend fortunes on top-end expensive gizmos.. electric blinds, mood lighting, remote music systems - mind riddled with disease of endless money in debt-fuelled economy. Compromised on gizmos due to the sheer debt levels already involved and a partial awakening to his estimated rents not being realistic - even 25% of those estimates will be tough to get soon enough.

Wasting money on antique furniture to suit their own taste, when not only are the values of such furniture set to plummet, but doesn't suit the railway holiday-lets.

Leverage works two ways, and now it is time to feed.

Beeny: How much are you expecting to get for them?

Colin: The three-bed, peak season, is £2000 a week and the two-beds around £1700 a week.
--
Beeny: How many weeks of the year do you expect to be renting this out?

Colin: The people we've actually spoken to, in and around here, they're actually renting them out for 40 weeks a year, not a problem.

Beeny: Most people who have holiday lets expect them to be rented out for 20 weeks a year, like half-of-the-year.

Jenny: We always take a Winter holiday and lots of our friends do and I don't think it'll be a problem. (Not anymore debt-heads)
--
Beeny: They bought the railway station for £325,000... and have a budget of £290,000 although I'd be amazed if it doesn't cost more. They're estimating an annual revenue of a stratospheric £140,000 a year... which would make them a 22% return on their investment, over 3 times the industry average.
--
Beeny: I think you're quite optimistic in a) the figure, and b) how much time it's going to be let. You're expecting to get double the amount of weeks let that normal holiday cottages get, for double the amount of money.

Colin: Sounds good doesn't it.

We've decided to sell the house in Southampton that we've been in for nearly 13 years now, cause we do need to get as much as possible out of it, as the budget here has really gone out of the window, and to finish it, the only way to do it is to sell the house.

It is a bit of a shock, and I don't think it's fully dawned on me yet what we've done and what we've left behind."
--
Beeny: "Colin and Jenny now have no family home and a massive £600,000 debt."

Cannon_Fodder

Their booking section on the website is laughable...

10 July 2009[STRIKE]£1375 to £1000 [/STRIKE]to £800

17 July 2009[STRIKE]£1100 to £950[/STRIKE] to £700,[STRIKE]£1400 to £1250 [/STRIKE]to £900

etc...

Doesn't smack of desperation, much. Better to be reasonably priced up-front, then after a year of near-100% occupation and word of mouth, then edge the prices up...

dopester

Mini_Bear wrote: »

£1700 a week for a 3 bed cottage thing??
it only costs 2k to rent out the biggest (4BED 4 BATH), designer woodland lodge at centre parcs over the xmas period for gawd sake!!
the guy seemed really greedy and not that likeable. the woman, an accountant, was far more realistic.

He was a carpenter (retired?) and she an accountant who was just as greedy as her husband. House/home... loads of BTLs, new development/holiday lets costing over half-a-million pounds.. always leveraging up. Greed. Beeny showing them the issue of one ensuite bathroom when it could be used by both upper bedrooms. "We've just been away this weekend with friends, in our dressing downs and stuff and it wasn't a problem." (Another holiday).

You know that on that holiday, as on all their others of recent years, all they will have talked about is the latest expensive blinds, new flashy expensive gizmos, latest cars, and their extensive ever property portfolios always rising in value as there is shortgage of supply, and they can leverage up to tighten demand further for FTBs out of their reach until houses cost... well banking system can't collapse can it.

LisbonLaura

Lotus-eater wrote: »

I'm, suprised no one has talked about the money yet, they made £14k the first year, minus expenses....... they said their mortgage was £4k a month.
The agencies said they could get £24k a year after their fees.
Doesn't work does it? Especially as they are supposed to be making two wages out of it.

And if they made so much profit from 12 BTL's, why have they now got a mortgage of £600k? Something is not right here.

Exactly L-e. The figures were so glib & so detached from any reality that they were an insult to some viewers intelligence.
Isn't it supposed to be reality tv? - or just more 'let's make cheap telly progs that suit the advertisers, & appeal to lcd viewers?

dopester

£4K a month mortgage. :rotfl:

:rotfl:

Others like them might have been temporarily rescued by lowered interest rates, but the hidden effect working behind the scenes is capital values plummeting.

Chris2685

This episode sucked... It is not what this program is about.
Since when do they want to see people building a holiday home?
It was a pure publicity stunt, they didn't want any input from the presenter and did whatever they wanted...

So much potential in that place too, for the right clients, but the prices they wanted were crazy.

neas

i live near this place could take a little look se lol.