Something to cheer the renters up

guyrulius

olibrofiz wrote: »

I cannot believe how nasty and scornful some posters on here have been!

So what if the OP bought the house with the idea it would go up in value - she'd earmarked the profits

That is precisely the point that many find objectionable. Those 'profits' are not from added value, but are in fact bought with interest paid by somebody else.

The whole of the increase in house prices has been achieved because those at the bottom of the chains took out ever greater mortgages which filtered up.

I hope the OP manages to make the right decision for her and her family and that they get through it unscathed. I fear that many will not.

ncooper1974

Rick62 wrote: »

If however you took a further advance secured on your main residence and you used this to reduce your BTL mortgage, keeping a clear audit trail, then you could offset that interest against your rental income for tax purposes.

So I could borrow money against my PPR, at a lower interest rate, use the monies to bring down my BTL mortgage and then still claim tax relief on the interest element at the higher interest rate (BTL mortgage)? are you sure?

neas

Welcome to the collapse of the biggest pyramid selling scheme ever!

dannyboycey

No nastiness from me. Just an overwhelming sense of indifference.

olibrofiz

I think I see what you mean Guyrulis, but the profit I was thinking of would be from the (hopeful) increase in value of the house over the years, I wasn't thinking of how it was achieved.

'The whole of the increase in house prices has been achieved because those at the bottom of the chains took out ever greater mortgages which filtered up.'

That'd be all of us on our second house and up then.

Trollfever

When folks make bad investment decisions they should cut their losses and run.

"Don't try to catch a falling knife."

MissMoneypenny

Trollfever wrote: »

When folks make bad investment decisions they should cut their losses and run.

"Don't try to catch a falling knife."

Don't you mean "never throw good money at bad money"

Pobby

Was talking to a buddy today. He bought @ £400k 4 years back. His circumstances have changed as his income has sunk.Up for £350k and still cannot sale. 10 big houses in his village are all up on the market.

ali82

I thought this website was supposed to be informative and constructive, what I've read is utter rubbish and comes across as school yard bullying?!!!!

So she mad a mistake, everyone does, who knew when prices were going to fall it's all well and good saying I told you so now!!

Anyway Kazd I hope you and your family figure something out, maybe your tenants won't mind paying and extra £50 a month? Defiantly get rid of the agents

Good Luck

3under3

I agree with ali82. Interesting to note that when the OP originally asked on this forum about buy to let a couple of years go no-one was advising against as they do now. It's easy to be wise after the event.

Hope you work out what's right for you and your family OP.