want to buy and then rent out

Stabilo

mystic_trev wrote: »

You're looking at past performance, and as they say in the adverts, your Investment can go up as well as down.

I've had two BTL's for the past 11 years, ones nealy gone up four times in value the other nearly three times, do you expect that to continue? Property only forms a part of my Investment Portfolio and it's a part I think is grossly overvalued - I wouldn't dream of buying at todays 'yields' Although Property has done extremly well in the past decade, it's mainly for two reasons - Property was cheap in 1996 after coming out of the last 'Crash' Interest rates have been extremly low duringthat time, making afforability easy, but that's now played 'catch up'

Anyone who thinks Property will double in the next ten years has to be insane! That would make the average home worth over £400,000 and with the average payrise around 2% ( below inflation) who's going to be able to afford them?

The best scenarion for the housing market would be a Generation of fairly static prices, barely keeping up with Inflation. If there's a recession in that timeframe, expect a dramatic 'revaluation' of the Housing market, and I don't mean up!

That's why I recommend you purchase at 30% BMV. This will protect you from a severe crash.

Doozergirl

Wow, Stabilo, that's a veritable goldmine of information you've got on that forum. Where did you find so many experts? :rolleyes:

tomstickland

It's so simple that any fool could do it. The whole world could be rich!

Mrs_pbradley936

My son rents his flat out and lives with us. He has lived in it from time to time and I do charge him to live here. I suppose It all depends on how well you get on with your family. I know exactly what you mean though, you can afford the mortgage but by the time you add council tax, bills, service charges and food you are struggling. My son feels the same.

mystic_trev

tomstickland wrote: »

It's so simple that any fool could do it. The whole world could be rich!

Click on the link for an explanation!


http://en.wikipedia.org/wiki/Tulip_mania

Stabilo

tomstickland wrote: »

It's so simple that any fool could do it. The whole world could be rich!

Should this read 'If it's......'

I am SO glad people think it's not simple, it helps keep the competition to locate BMV's to a minimum.

Stabilo

Doozergirl wrote: »

Wow, Stabilo, that's a veritable goldmine of information you've got on that forum. Where did you find so many experts? :rolleyes:

I found them at networking events, seminars, other forums etc. Some have more than 100 properties and some are just starting out.

wecanhelpu

This is a joke, right?

tomstickland

Now that every pub in the land has a resident property expert I just know that it's not a good idea. I've yet to find a money making idea that doesn't break the law of energy conversion. ie: put time, effort and money in and make money.

englishdesi

are you allowed to rent out a property on a residential mortgage ?