Mr Punter

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About Mr Punter

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    HPC Regular
  1. I am all for long term tenancies where the tenant is able to use the property as their own. I understand that in Holland there are lots of properties owned by pension funds and let on secure tenancies. Pension fund gets reliable return, tenant gets security and sensible rent. It should be a model for social housing over here. I am currently renting, but if I owned where I live and decided to move to s similar place, the costs (stamp, agents and legal) would be £30k. That pays a lot of rent.
  2. 1982 interest rate 14.35% 2007 5.25% People rarely buy houses for cash and their measure of affordability is monthly payment cost, not house price.
  3. So, The World Is Collapsing....but...

    If they bought in 2005 they would have an asset worth more than they paid, so why are they numpties?
  4. Somebody Explain What Is Happening

    Like I have said before, to a hostile audience, people don't really care about house prices, it is just about affordability and sentiment. Keep your money in the building society, earn nothing on it and pay someone else's mortgage, or borrow at low rates and one day own an "asset". With high IRs it would be so, so different.
  5. A New Home For Less Than £11K!

    Drainage and services £10k. Can't live in uninsulated shed as would freeze / burn to death. Kitchen / bathroom would be nice as well. Why not live in a tent? I think £80k is about the minimum cost to build a house, or £10k plus £800 - £1000 per metre.
  6. Cash Is Not King

    In the early 90s, the saying was "cash is flash, wad is God". If you had readies, you could clean up from the misfortune of those that didn't. How times have changed. For the past year I have left £20k in an instant access "high interest" account. After basic rate deduction, it earned £320. Not quite enough to cover dinner for 2 including tip but without drinks, at Bald twit's eaterie, and I run the risk of food poisoning. My, how times have changed.
  7. I do new build house projects and am NHBC registered. They don't seem to be too concerned about build quality and their main exposure is for faulty foundations and drainage in years 8 to 10. It is a shame there is not a value added service where there is a more rigorous inspection and advice service, so that mistakes can be avoided or remedied early on and the customer can be handed a fault-free property. I would happily pay an additional £1000 per unit to avoid snagging and callbacks.
  8. Absolutely. Also, one is now responsible for rates on empty commercial property, which are about £25k per year. Imagine if IRs had gone up instead of down - that is what happened in the last recession and I feel it is an example of why there has not been a crash on anything like the scale of 1989. With business rates, It could have ended up costing me £60k per year if base rates had gone to 7%. I decided to split the property into more manageable sizes and refurb as there was still good demand for smaller units and the location is v. good. As the work was extensive, I was no longer liable for the rates. A combination of this decision and a good helping of luck paid off. I have seen several instances of owners demolishing buildings where they don't see a prospect of letting in the medium term so they can avoid the rates liability.
  9. Leases have 4 years left - 5 tenants. Offices. I don't own a house and have some other cash. Incidentally, the property is owned by a Limited Company. If I did choose to sell, could I sell the company so the buyer could take over the base + 1.25 mortgage?
  10. Yes I did, but the return I am making is still far better that any savings and I feel that it is safer than investing in equities or commodities, about which I know little. The current costs are about £20k per year and the income is £65k. In 12 years I will owe nothing on this. As the place is now fully tenanted, I could now sell easily. I am also looking into the tax advantages of making this a pension fund. I have bought and sold lots of property throughout the economic cycle and I do not focus on trying to buy at the bottom and sell at the top. If I did, I could only manage one transaction every 12 years. There are some on here that haven't even managed that!
  11. As an anecdotal, I bought a commercial property in 2007 as the site had redevelopment potential. Mortgage of £420k, my money £400k. Took a refurb and 12 months to let but is now full let to good covenants total income £65k PA. There are 12 years left on the mortgage - base plus 1.25%. I have put in a total of £520k and will have a nice pension out of it. Set bloodbath = nothing.
  12. I Have Had Enough

    In your first post you say you have had enough of the UK and are going to apply to be posted abroad. Now you are looking to buy a house in Wiltshire. Twunt.
  13. Time To Put The Price Up?

    Do While myHouse=vCluttered GetSkip RentGarage ClearCrap Loop
  14. Red Tape Will Hit Property Investors

    I imagine this is to prevent / control areas becoming student ghettos. I am not sure that I agree that planners should have that much influence on how a residential property is used, although there are some previously family areas that are no-go because of scummy students.