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can someone please explain what 50% fall would mean

2

Comments

  • thesaint
    thesaint Posts: 4,324 Forumite
    Part of the Furniture Combo Breaker
    Admin,

    Can we please have a HPC sub-forum?
    Well life is harsh, hug me don't reject me.
  • SquatNow
    SquatNow Posts: 2,285 Forumite
    50% price reduction basically means that all the BTL speculators who bought post 2003 would loose their shirts.

    :j

    They'de loose their entire portfolio and their own home and any nice cars, TVs etc that they have bought with the money they have defreyed from their tennants. (Sorry I have little sympathy for people that help cause a house price boom that destroys our entire economy...)

    That's why the BLT brigade start shouting obsceanities whenever anyone suggests prices could drop.
    Bankruptcy isn't the worst that can happen to you. The worst that can happen is your forced to live the rest of your life in abject poverty trying to repay the debts.
  • Generali
    Generali Posts: 36,411 Forumite
    10,000 Posts Combo Breaker
    SquatNow wrote: »
    50% price reduction basically means that all the BTL speculators who bought post 2003 would loose their shirts.

    :j

    They'de loose their entire portfolio and their own home and any nice cars, TVs etc that they have bought with the money they have defreyed from their tennants. (Sorry I have little sympathy for people that help cause a house price boom that destroys our entire economy...)

    That's why the BLT brigade start shouting obsceanities whenever anyone suggests prices could drop.

    The average BTL is bought on a 40% mortgage. Thus for the average BTLer a 50% fall in prices would mean only losing 5/6ths of their investment, leaving the income stream intact, all things being equal.
  • SquatNow
    SquatNow Posts: 2,285 Forumite
    Yes but where does the other 60% come from?

    Go on, you know you have to say MEW!

    Besides I explicitely stated those who joined post 2003 who tend to have a far higher %age. (Upto 120% in some case!). I wont argue with your 60% figures as they are probably correct as an average, skewed by the BTLers who bought places outright in the last crash or who have paid off their mortgages.

    If BTL was such a good idea, estate agents etc wouldn't actually be TELLING you about it, in fact they'de be trying to talk you out of it... keep it for themselves! They are only tell people about it as they've finished buying and need people to sell their BTL properties to at a profit!
    Bankruptcy isn't the worst that can happen to you. The worst that can happen is your forced to live the rest of your life in abject poverty trying to repay the debts.
  • nelly_2
    nelly_2 Posts: 17,863 Forumite
    10,000 Posts Combo Breaker
    Half price!
  • nelly wrote: »
    Half price!

    Nelly feeling sick now? All you Red talk trying to worry people aint going to pay off all us BTL's are rejoicing bring on at least another 10% Rise in house prices in the next year and we can glow in our little empires
  • manhattan
    manhattan Posts: 1,461 Forumite
    Uniform Washer
    Lol, im waiting for the "buy one, get one free" offers to start.:rotfl:
  • manhattan wrote: »
    Lol, im waiting for the "buy one, get one free" offers to start.:rotfl:

    Yeah that would be good us LL's could snap up even more and get the market covered and start charging top prices for rent for our wonderful homes we rent out
  • SquatNow
    SquatNow Posts: 2,285 Forumite
    Where you planning to get your mortgage from Pickles? The mortgage fairy? Credit go bye bye.

    Game over man, GAME OVER!
    Bankruptcy isn't the worst that can happen to you. The worst that can happen is your forced to live the rest of your life in abject poverty trying to repay the debts.
  • nelly_2
    nelly_2 Posts: 17,863 Forumite
    10,000 Posts Combo Breaker
    Nelly feeling sick now? All you Red talk trying to worry people aint going to pay off all us BTL's are rejoicing bring on at least another 10% Rise in house prices in the next year and we can glow in our little empires

    unsuprisingly you missed the joke

    I'll spell it out for you

    thred title - can someone please explain what 50% fall would mean

    my answer - Half price

    Maybe you chace of erm an empire as you put it is making you a bit of a !!!!!!


    maybe you were a !!!!!! anyway and thought buying a couple of chav hovels made you an empire

    The fact you refered to it as an empire says a lot actually (yeah I know your gonna claim you was joking and did get my joke too) except you know you didnt I know you didnt and so does everyone reading this

    Empire builder or monumental bore?


    Oh its a toughy

    Btw if you think its an afordability thing with me, its not, I earn well over 50 grand a year I just aint stupid
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