Buy-to-let bubble 'will burst'

mystic_trev

'The buy-to-let housing market is a bubble waiting to burst, a leading City commentator warned today.


James Hamilton, banking analyst at Numis Securities, said: 'A lot of people have made very good money in the past from buy-to-let. But if the housing market goes flat, there is every likelihood that many of them will want to sell up.' Hamilton warned that there were massive potential problems because many individuals have invested huge amounts of their total wealth in buy-to-let. 'Some retail investors have taken the very high risk strategy with such a high concentration of their money in a single asset class.

http://www.thisismoney.co.uk/mortgages/buy-to-let/article.html?in_article_id=421582&in_page_id=56&ct=5

Alan_M_2

"Banking analyst suggest market could down as well as up, at some point in the future.....maybe.....but I'm not quite sure when or how yet..."

I happen to agree with his sentiment, but I refrain from posting them on forums such as this as it looks a little...well.....obsessive for want of a better word.

He's not stated anything we don't already know to be possible and after all it's just an opinion.

falancan

We just sold our house and we think the market dont have much space to go up but quiet a big chance go down. We were living in our old house and the same time rent other bedrooms out. Now, we are renting a flat and waiting another chance to invest again(not in the uk housing market) What we count is the fact we put into the house equity is nothing when the interest is going up only bank take all the money.Is it make sense?

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The financially astute have already left the building or are quietly doing so.