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Ungeared

I Don't Believe It!

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Mate at work, just confided in me, his wife has a friend over the road who's going through a divorce, her other half has moved out, loads of debt,she has a bit of a drink problem, no one is paying the mortgage, possibly being repo'd, was on for 190k, 2 bed terrace in Slough, now on for 160k.

Anyhow, as i'm a HPCer I've been asking every month or so has your neighbours house sold yet? well he told me on Weds that he's actually buying it!! for 160k ( the frigging asking price) this guy has, in the last 8 months paid of his mortgage on his main home, he's 47, i have beat the HPC drum to him over the last 3 years and yet he's looking to get a 90k mortgage (4.29% fix for 5 years) and use his saving for the rest, he reckons he'll get £900 a month for the house, however, there is an identical house for rent in the same road currently up for rent at £850, it's been on a void since December 2010 no takers, the other stupid and i mean ****ing stupid thing he's going to do is ....he has another flat, which is currently let for £550 a month with decent tenants, he is going to serve notice on these people and move his wifes drunk friend in there and charge her £650 a month.

I can honestly say, i am bewildered at my friends behaviour, i have tried to explain to him the pitfalls of everything he is doing, paying the asking price, the state of the market, chucking out decent tenants, what if they don't leave, what if the drunk doesn't pay her rent, what if you lose your job, I have honestly decided not to talk to him about this subject anymore for fear of losing my temper, I just wanted to highlight to you guys the stupidity of some of the idiots out there at the moment!

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that's not an awful yield - if he knows the house (therefore lower risk for him) and if housing benefit cuts (and the economy) don't drop rents and increase voids (I think they will in some places but i don't know Slough) then it isn't too bad, for the slough house anyway, also notwithstanding the dangers of leverage. On a pure value basis he has overpaid, a bit, and I would thought patience will bring a lower price in coming years, but this isn't the financial suicide that some property investment has been since 2001.

stockmarket still looks a better bet, but many people prefer bricks and mortar, and his own elbow grease is tax-free of course

Edited by Si1

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£160K going for £900 pcm?

I see there are a lot going for £850 asking, many voids.

And £160K seems to be base asking price for the same thing in Slough....loads of them

Good luck to him.

Edited by Bloo Loo

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Mate at work, just confided in me, his wife has a friend over the road who's going through a divorce, her other half has moved out, loads of debt,she has a bit of a drink problem, no one is paying the mortgage, possibly being repo'd, was on for 190k, 2 bed terrace in Slough, now on for 160k.

Anyhow, as i'm a HPCer I've been asking every month or so has your neighbours house sold yet? well he told me on Weds that he's actually buying it!! for 160k ( the frigging asking price) this guy has, in the last 8 months paid of his mortgage on his main home, he's 47, i have beat the HPC drum to him over the last 3 years and yet he's looking to get a 90k mortgage (4.29% fix for 5 years) and use his saving for the rest, he reckons he'll get £900 a month for the house, however, there is an identical house for rent in the same road currently up for rent at £850, it's been on a void since December 2010 no takers, the other stupid and i mean ****ing stupid thing he's going to do is ....he has another flat, which is currently let for £550 a month with decent tenants, he is going to serve notice on these people and move his wifes drunk friend in there and charge her £650 a month.

I can honestly say, i am bewildered at my friends behaviour, i have tried to explain to him the pitfalls of everything he is doing, paying the asking price, the state of the market, chucking out decent tenants, what if they don't leave, what if the drunk doesn't pay her rent, what if you lose your job, I have honestly decided not to talk to him about this subject anymore for fear of losing my temper, I just wanted to highlight to you guys the stupidity of some of the idiots out there at the moment!

You sure he's not f**king the drunk? Can't see any other logical explanation, and her being useless doesn't mean she's not great in bed.

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You sure he's not f**king the drunk? Can't see any other logical explanation, and her being useless doesn't mean she's not great in bed.

He's is getting an awful lot of earache from his missus regarding this deal, i personally think he's taken leave of his senses

this is the rental, anyone with property bee can see it has been to let since Dec 2010

http://www.rightmove.co.uk/property-to-rent/property-28638634.html

I think the only thing that may be a deal breaker and save him from this stupid idea is that there are 3 charges against the house from what he's told me.

Edited by Ungeared

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stockmarket still looks a better bet, but many people prefer bricks and mortar, and his own elbow grease is tax-free of course

Not this summer.

Also, not looking good longer term from here.

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He's is getting an awful lot of earache from his missus regarding this deal, i personally think he's taken leave of his senses

This is the house for sale

http://www.rightmove.co.uk/property-for-sale/property-31881296.html

this is the rental, anyone with property bee can see it has been to let since Dec 2010

http://www.rightmove.co.uk/property-to-rent/property-28638634.html

I think the only thing that may be a deal breaker and save him from this stupid idea is that there are 3 charges against the house from what he's told me.

When men take leave of their senses there is usually a woman who gives topnotch BJs involved somewhere.

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Not this summer.

Also, not looking good longer term from here.

you seem to be making a general case for avoiding hard assets altogether (possible exception of gold, I don't know your view)

however, even then, a diversified share portfolio would lose less than leveraged property imho

but we might be argueing on different points to be frank

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Another property Lemming.

I have known a few intelligent people’s brains go to mush when buying. The other half usually has something to do with it. Best let them crack on. They have listened but not heard and ultimately it will be their own cash deposit they pish up the wall.

Only annoying thing is that people’s stupidity is dragging this out. Then again they are stopping most stupid people from buying nowadays, with record low transactions, you are still bound to get some determined lemmings slip the net to through their money at the banks.

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He's is getting an awful lot of earache from his missus regarding this deal, i personally think he's taken leave of his senses

This is the house for sale

http://www.rightmove.co.uk/property-for-sale/property-31881296.html

this is the rental, anyone with property bee can see it has been to let since Dec 2010

http://www.rightmove.co.uk/property-to-rent/property-28638634.html

I think the only thing that may be a deal breaker and save him from this stupid idea is that there are 3 charges against the house from what he's told me.

Just read down after my post!!!! Says it all. Wonder how many divocres this will sporn in 5 to 10 years.

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Tell me I'm wrong here.

Your mate is a controlling psychopath. His wife has no idea of the state of his finances because he is secretive and lies constantly and convincingly.

No-one living in a £200 000 road has £70 000 in savings eight months after paying off their mortgage.

He is doing her. He is buying out her husbands 50%.

Possible she is handing him her 50% to enable him to obtain a cheap mortgage.

He will move her into his flat the better to do her and get her on social security, diguising the nature of their relationship.

Also she can not then be connected to the income from her house and need not declare the asset.

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I've seen this a few times. Had frequent chats with mates in the pub over the last few years - housing market's overvalued, it's ridiculous, so-and so's house is up for howmuch?!, it's all gonna end in tears, etc. And then only for some of them to buy at or near the peak, especially over the last 6 months or so. I've tried to find explanation for it - wife pressure, couldn't wait any longer, kids growing up. But, I think one of the main things I've noticed is that people have done this because they are bored! Fairly comfortable but mundane life, work in office, get paid, weekends are the same routine. But no real excitement, no real feeling of making progress in life, especially together as a couple. So, buy a big house, do it with your partner, get a big mortgage, plan on all this new furniture and decoration and stuff for your new home, get the decorators in... It's really exciting, it feels like you're getting on.

Like the OP, I too avoid the subject now - no point losing good mates over it.

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Tell me I'm wrong here.

Your mate is a controlling psychopath. His wife has no idea of the state of his finances because he is secretive and lies constantly and convincingly.

No-one living in a £200 000 road has £70 000 in savings eight months after paying off their mortgage.

He is doing her. He is buying out her husbands 50%.

Possible she is handing him her 50% to enable him to obtain a cheap mortgage.

He will move her into his flat the better to do her and get her on social security, diguising the nature of their relationship.

Also she can not then be connected to the income from her house and need not declare the asset.

Yep. Of course he could just be stupid, but this is the other scenario that matches the facts supplied.

When it looks like a duck and talks like a duck.....

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But, I think one of the main things I've noticed is that people have done this because they are bored!

same explanation given for poor investment decisions elsewhere - high risk stocks, high risk funds, etc - good investing is commonly boring

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He's is getting an awful lot of earache from his missus regarding this deal, i personally think he's taken leave of his senses

This is the house for sale

http://www.rightmove.co.uk/property-for-sale/property-31881296.html

this is the rental, anyone with property bee can see it has been to let since Dec 2010

http://www.rightmove.co.uk/property-to-rent/property-28638634.html

I think the only thing that may be a deal breaker and save him from this stupid idea is that there are 3 charges against the house from what he's told me.

I am pretty surprised that is all you get in Slough for £160K/ 850pcm. Is it just because it is close to London?

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He's is getting an awful lot of earache from his missus regarding this deal, i personally think he's taken leave of his senses

This is the house for sale

http://www.rightmove...y-31881296.html

this is the rental, anyone with property bee can see it has been to let since Dec 2010

http://www.rightmove...y-28638634.html

I think the only thing that may be a deal breaker and save him from this stupid idea is that there are 3 charges against the house from what he's told me.

Steady on - you're revealing people's identities.

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Mate at work, just confided in me, his wife has a friend over the road who's going through a divorce, her other half has moved out, loads of debt,she has a bit of a drink problem, no one is paying the mortgage, possibly being repo'd, was on for 190k, 2 bed terrace in Slough, now on for 160k.

Anyhow, as i'm a HPCer I've been asking every month or so has your neighbours house sold yet? well he told me on Weds that he's actually buying it!! for 160k ( the frigging asking price) this guy has, in the last 8 months paid of his mortgage on his main home, he's 47, i have beat the HPC drum to him over the last 3 years and yet he's looking to get a 90k mortgage (4.29% fix for 5 years) and use his saving for the rest, he reckons he'll get £900 a month for the house, however, there is an identical house for rent in the same road currently up for rent at £850, it's been on a void since December 2010 no takers, the other stupid and i mean ****ing stupid thing he's going to do is ....he has another flat, which is currently let for £550 a month with decent tenants, he is going to serve notice on these people and move his wifes drunk friend in there and charge her £650 a month.

I can honestly say, i am bewildered at my friends behaviour, i have tried to explain to him the pitfalls of everything he is doing, paying the asking price, the state of the market, chucking out decent tenants, what if they don't leave, what if the drunk doesn't pay her rent, what if you lose your job, I have honestly decided not to talk to him about this subject anymore for fear of losing my temper, I just wanted to highlight to you guys the stupidity of some of the idiots out there at the moment!

Not very difficult to see what's going on here. She obviously gives good head :lol:

EDIT: I now see Laughing Gnome beat me to it! And it has to be said with a far more rigorous breakdown of events.

Edited by General Congreve

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And then only for some of them to buy at or near the peak, especially over the last 6 months or so. I've tried to find explanation for it - wife pressure, couldn't wait any longer, kids growing up. But, I think one of the main things I've noticed is that people have done this because they are bored!

you mention pressure, but the kind of parents and parents-in-law pressure that bears on you for years and years is insidious, maybe people get bored of that and just give in, the pressure alone may not be enough

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  • 312 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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