Another Buy-to-Let thread

theartfullodger

ognum wrote: »

Artful

I am so pleased other LL admit to the need to pay out large amounts some years!

Aye: House bought, 4-bed student let, 2006, very old warm-air heating: When I bought I figured that might survive 2 or 3 years so 10+ years a bonus: Gently failing, stops too often so rip out old stuff, pipes and radiators & boiler etc etc etc, very disruptive job!

Yup, every now & then a big bill turns up..

Cakeguts

Location of properties super important. You can choose the tenant if the area is popular. We have a couple of tenancies that are longer than 10 years and continuing. A big expense would be something like a new boiler. The properties are fully managed by a local agent so we pay for that. One small mortgage. All others mortgage free. Our model of business fits the area. There is no point in trying to let to students if the nearest university is more than 10 miles away. You will run into difficulties if you try to let to young single people if the area is favoured by families. I did a lot of research before arriving at the kind of property that we have bought. One of the most important aspects turned out to be a drive or private parking. There are others that fit our business model you need to research to find out what fits yours.

This is a business you have to research to find out what kind of property you need to buy. We don't have typical 1st time buyer type properties. You may find that in your area too that there are is an oversupply of cheap property available to rent.

Crashy_Time

theartfullodger wrote: »

Possibly: Sometimes negative profit. (One house I rent out will have £9k+repairs/refurb this tax year... I'm fine with that)

Like pretty much any other business

So a loss is what you mean?

Crashy_Time

http://uk.businessinsider.com/the-british-property-boom-is-over-2017-4

trailingspouse

Thanks, brilliant.

It is semi-hypothetical at the moment, and because of that I don't have any figures to work on. Or rather, by the time it ceases to be hypothetical, the numbers could be totally different from what my best guess would be now - so not a lot of point in crunching.

But I get the general feeling from the comments so far that if it's done right (which it would be), it would be worth it. And also, there's a part of me that likes the idea of having some control over the way the investment performs (rather than just sticking it in a fund and hoping for the best, at the mercy of global influences that we can't do anything about). Our existing business bases its reputation on us being the best at what we do, and we would be bringing that same mindset to anything else we chose to do, so I think it's definitely an idea that's worth chasing.

Crashy_Time

trailingspouse wrote: »

Thanks, brilliant.

It is semi-hypothetical at the moment, and because of that I don't have any figures to work on. Or rather, by the time it ceases to be hypothetical, the numbers could be totally different from what my best guess would be now - so not a lot of point in crunching.

But I get the general feeling from the comments so far that if it's done right (which it would be), it would be worth it. And also, there's a part of me that likes the idea of having some control over the way the investment performs (rather than just sticking it in a fund and hoping for the best, at the mercy of global influences that we can't do anything about). Our existing business bases its reputation on us being the best at what we do, and we would be bringing that same mindset to anything else we chose to do, so I think it's definitely an idea that's worth chasing.

Not sure how buying an illiquid investment at the peak of the biggest property bubble in history when the PTB are cracking down on BTL ticks this box? Certain ways of investing will give you the chance to benefit from global downturns, I don`t believe property is one of them.


Have you read this.....https://www.amazon.co.uk/Investing-Demystified-Speculation-Sleepless-Financial/dp/0273781340 ?

trailingspouse

Not sure how buying an illiquid investment at the peak of the biggest property bubble in history when the PTB are cracking down on BTL.

Well, I bought property in 1979, 1984, 1986, 1988, 2000, 2004 and 2013, so 'this too shall pass'. People will always need somewhere to live, and it would be a long term investment if we did it at all.

Re the powers that be cracking down on buy-to-let - tell me more, because that is exactly what I was getting at in my original post when I asked if there was still money to be made. In what ways are they cracking down?

Crashy_Time

https://audioboom.com/posts/5793636-sell-up-hold-or-expand

robatwork

I think he was posting well before 2014 under another ID.

As, it seems apparent, were you.

Crashy_Time

eggha wrote: »

take anything Crashytime says on here with the world's largest bucket of salt as he has been predicting a house price crash since he started posting here in 2014. He is so blinkered in his predictive ability of a crash that he can no longer see the trees, let alone the wood

It`s not me saying it though, it is a landlord with 20 odd properties who isn`t over-leveraged. If he is worried then surely those who are over-leveraged should be really worried?