Overseas property or UK buy to let ?

Jim_B_3

sconieroany wrote:

if I don't invest in property now, I will be faced with having to find a lot more cash for each of my daughters in the future to give them a start on the property ladder.

You could spend your hard-earned pennies on yourself and tell your daughters that they've got to make their own way in this life; you've raised them, fed them and educated them and now they've got to get out there and sort things out for themselves.

If you say it well with some stirring music playing you'll have time to change the locks before they come sloping back looking for a handout.

sconieroany

Jim_B wrote:

You could spend your hard-earned pennies on yourself and tell your daughters that they've got to make their own way in this life; you've raised them, fed them and educated them and now they've got to get out there and sort things out for themselves.

If you say it well with some stirring music playing you'll have time to change the locks before they come sloping back looking for a handout.

Classic !!:laugh: :laugh:

inmypocketnottheirs

sanfrancisco wrote:

Do we know this? With ever shrinking birth rate, why are you so sure that this is the case?

Are you happy when your coucil tax goes up? Water bills? Gas/Electricity? Nursary fees? Are YOU being a gloom monger for not wanting these things to go up?

What about when my income goes up should I complain then too?

inmypocketnottheirs

dunstonh wrote:

UK Buy to lets (with mortgages) are high risk at present. If you are a high risk investor, then it's fine to consider it. However, do not underestimate the risk involved. Many are and if the cascade of events occurs to create a property crash, you could be looking at a 30% price drop followed by a shortage of people renting. Ignoring potential gains and losses on property value, rental yields are generally too low for the risk you are taking. By the time you pay the rental management company and tax, it's not worth it. You also run the risk of the property being empty for a period or a tenant not paying or doing damage.

The time to do buy to let was 5 to 7 years ago. Unless you are experienced in this field and know what to look for in a property and can get a good deal with good rental yields, or it is for the very long term and no borrowing is involved, I would steer clear.

Largely it also demands on the area. If you are in an area with high demand and low supply then this can outweigh a lot of the very valid points above. But as in the case of the OP, where else would anyone advise that an investment be made then?

Tassotti

Estonia

Mortgages at 3%, 70% LTV

Prices on the up. Easyjet fly there. Get yourself a place on the outskirts of the capital Tallinn for around 50K (centre, apartments 130K+). Repayments £280 per month.

With regards to management, I find I have far less problems/stress with my overseas properties than my UK places.

However, this is because I manage my portfolio in the UK myself. Not really possible to do overseas, but find a good agent, and practically hassle-free. Okay it does cost, but you have £500 a month to spare.

Prices are rising at around 12% per annum in Estonia. (hears cries of bubble from the doomers)

If you continue looking overseas, I would recommend looking at capital cities rather than holiday resorts. More chance of letting the property.

I have a couple of front line apartment in Sunny Beach, Bulgaria which does okay for rentals, but only because it is front line and good facilities...hundreds of apartments sitting empty and many people struggling to make repayments

Great place for a holiday though

The problem with trying to rent out apartments in the resorts (be it Bulgaria, Morrocco or wherever) is that it is cheaper to buy a package deal and so most people will do that.

How many people wan't the hassle of booking flights, finding an apartment to rent, sorting out airport transfer to complex, and so on...?

Don't know much about the Scotland property market.. How's it doing?

England property still rising though...good for investors..not so good for FTBs.

klaatu

Tassotti wrote:

Don't know much about the Scotland property market.. How's it doing?

It's very slow, from my current experience of trying to sell. Or maybe it depends on the area and the type of property. Maybe no-one wants a traditional cottage in a rural area at the moment. Or maybe our price is too high - but the agent doesn't think so.

Steve