Buy to let. Good idea at the moment?

sixpence.

EdGasketTheSecond wrote: »

Buy to let is an occupation as well as an investment. Don't think the estate agent will sort it out when things go wrong; they won't.

Really? If you're giving a property manager a 10-15% cut for full coverage then surely it's their job not yours.

I view by to let as too risky personally. Better to buy outright if you can.

EdGasketTheSecond

sixpence. wrote: »

Really? If you're giving a property manager a 10-15% cut for full coverage then surely it's their job not yours.

Yes when things are just ticking along but when there's a serious problem then the legal agreements are always with the landlord and tennant and the buck stops with the landlord to sort things out e.g. legal dispute, non-payment of rent, secured tennancy, property damage, insurance issues, major repairs, nuisance tennants.

dividendhero

EdGasketTheSecond wrote: »

Buy to let is an occupation as well as an investment. Don't think the estate agent will sort it out when things go wrong; they won't.

I would dispute that statement, I've a couple of BTL's and agent sorts everything for us - some LL's don't mind been contacted by tenants over minor jobs as the agents contractors have call out charges etc, £50 to change a fuse can be saved

jungle_jane

We have both BTL and shares in an ISA...i have to say the shares are looking like the better investment. However either way i think it's better to diversify so I would recommend half in property and half moving into ISAs over the next few years. I am not sure what part of England you are looking at buying but 150k will get you a decent income off property but you obviously need to pay stamp duty, BTL product fees, tax etc and it's not the brilliant investment it used to be. At least the earnings are regular - with the shares the income arrives in drips and drabs throughout the year.

FWIW as someone with BTL i am increasingly moving investments towards the ISAs and reducing capital in the properties as its so much less hassle.

atush

eskbanker wrote: »

On what basis have you concluded that a buy-to-let represents better capital growth prospects and lower risk than more mainstream investment activities and products?

In fact equities (and by this i mean fund and not single shares which are riskier) have outperformed all property (incl London Property) over the decades.

If you want an income (esp in retirement) look at boosting your pension instead. Save tax.

jon52

IMHO, the risk of BTL depends on your investment horizon. If you are an income investor, you would probably have a long term view. Hence significantly reduce BTL investment risk ? just a thought.

DennisTenus

What's BTL?

eskbanker

DennisTenus wrote: »

What's BTL?

See the first three words of the thread title!

EdGasketTheSecond

DennisTenus wrote: »

What's BTL?

Bacon, tomato, and lettuce; yum!