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winkie

Btlers Opting Out

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Guest muttley

What a wonderful find,winkie.Reading those comments has really cheered me up!

So BTL is stressful and not very profitable?

They still don't get the whole picture though.When BTL King says he is going to sell his BTL portfolio,David A advises.......

You might need to spread them out more than you think, and choose each one carefully.

Why?

CGT of course. If you only dispose of one a year you'll be able to use each years annual allowance. Taper Relief comes into it as well, and you'll have to look at how long you have held each one and which you get best discount from. Ideally, get them jointly owned before disposal as you then should get two lots of annual relief as well.

Yeah,right!! Actually,if you wait long enough there won't be any CGT to pay!

BTL King isn't impressed though.....

When I say systematically I am hopefully timing it so that it is at a good time of year to be sold, ie not around Xmas as I fully understand the way the market works in the location around that time of year.

He's going to wait for the Spring bounce!! :lol::lol::lol:

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What a shame, problems can seem worse when prices not rising.

http://www.singingpig.co.uk/discussion/forum/?f=7&m=75146

They are thinking now what most people think BEFORE they enter BTL. Led in by greed, and leaving the reality until later.

It's encouraging to see that the tide is turning. A few of them openly admit they are in it for capital appreciation, which has now vanished. Expect a tidal wave of property to hit the market very soon!

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Guest muttley

Another BTL expert tells all.

The one massive factor for me now though is simply that I will be staggered if there is any real growth in property prices in the next 3 years at least.

Therefore I just cannot see the point of tying up valuable cash in an asset that will remain almost static, value wise (may even reduce), for years, whislt at the same time having the risks and hassles that tenants and management bring.

You would be a sitting duck for all the hassles, whilst not being compensated for this with the growth. Some may say cashflow is a compensatory thing. However, I really do need some convincing that the 8% Gross yield that seems to be highly acceptable these days in BTL is anything to shout about. It probably allows you to break evcen at best most of the time.

BTL King shows just why he is "The King"

John - I actually don't have a problem managing these properties, its managing the people within them I'm having problems with!

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I love the fact that a bloke who calls himself the 'BTL King' is getting out of BTL.

:lol::lol::lol:

These people are idiots. I wonder how many other BTL amateurs who were "in it for the long term" six months ago are waking-up to the reality of net depreciation.

Why do these people treat the place like its their own? Would they hire a car and paint it a different colour? I just do not understand their mentality, yet I have to be pleasant and polite to them.

Damn right you do - they're paying your wages. Now get your **** down to B&Q and unblock my sink.

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Brilliant discussion. And very important. Most of the recent BTL brigade have this sort of portfolio, 5 properties or so on interest only mortgage. Guess what borrowing to invest is and always has been a risky strategy. With their talk of slow disposal to avoid CGT they are at risk of being hoist by their own petard. 20% losses on 4 houses initially bought for £100k would bankrupt many. Try remortgaging your main property when thats fallen in price and you remortgaged it in the first place two years ago to start your portfolio. It's just the same as 1990. I knew three BTL'ers that ended up bankrupt.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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