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VacantPossession

Now The Btl's Are Ruining Eastern Europe

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A TV programme a week or so ago highlighted the "plight" of a young man unable to buy a property in the UK, or even most of Northern Europe. It started, apparently, as a "sympathy" story. But as the programme progressed we learn bit by bit that this young man was not interested in actually living where he is purchasing. Indeed, on the one hand he is painted as a poor wafe shut out of the Uk market, but then the most extraordinary thing happens. It turns out that he is looking to buy cheap property in a foreign culture he knows nothing about, has no intention of living in, and is merely trying to do what thousands of other get rich quick spivs do: purchase a buy-to-let.... with very little deposit and a wing and a prayer bank loan.

This is getting absurd. This young bloke was currently "unemployed". He was clearly attempting to find an alternative way to make a living apart from actually working. In so doing, when you multiply him by several hundred, or thousand, you see an emerging pattern: You can't make money out of UK property any longer, so let's switch to Eastern Europe where the market is, as yet, "untapped".

Words fail me for the adequate description of this appalling enterprise. Not content with screwing up the UK market, BTL's are now seeking to grossly distort Eastern European economies which can even less cope with such distortions than the UK market did. Essentially, this young man had absolutely no grasp whatsoever of the accumulated harm he and fellow BTL's are going to do to economies which are already in a disaster zone. Effectively his actions are a direct affront to the local population, and his action, multiplied by several thousands, are going to falsely inflate a market which the indiginous population is already struggling to take part in.

It is time people STOPPED this insanity. The pan-European property market is festooned with people like the above. They are screwing up whole economies, exploiting those who cannot fight back, creating inflation where there should be none, putting their personal greed before the stability and contentment of entire nations, pricing local people out of decent housing, and acting in a way that is reprehensible.

When are people going to stop seeing property as a lottery opportunity? They wouldn't do it with the NHS. They wouldn't package oxygen for limited consumption. They wouldn't exploit their own children in this way. When are people going to wake up and see that the acculmulated consequences of their little schemes to make a quick profit is resulting in appallling circumstances for other people.

It is time property resumed its original purpose: the purchase of a place to live in and enjoy, not an investment opportunity. Before long we'll have feckless young men taking flights out to deepest Mongolia to "exploit" the hitherto dormant "market" in straw huts as a "holiday home" haven. It is disgusting, a betrayal of humanity and it must stop.

VP

Edited by VacantPossession

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I disagree,

Most people investing in Eustern Europe are getting ripped off and are helping pumping money into their economy. Once HPS crashes badly here they will pull out there is it will effect the houseprices there as well.

:P

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When are people going to stop seeing property as a lottery opportunity? They wouldn't do it with the NHS. They wouldn't package oxygen for limited consumption. They wouldn't exploit their own children in this way. When are people going to wake up and see that the acculmulated consequences of their little schemes to make a quick profit is resulting in appallling circumstances for other people.

They would, if they could find a way.

It is time property resumed its original purpose: the purchase of a place to live in and enjoy, not an investment opportunity. Before long we'll have feckless young men taking flights out to deepest Mongolia to "exploit" the hitherto dormant "market" in straw huts as a "holiday home" haven. It is disgusting, a betrayal of humanity and it must stop.

VP

They won't stop of their own accord. They will have to be stopped. Many argue the market will sort it out. As we have already discovered in this country, leaving it to the market disrupts the lives of generations and screws the economy.

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They are screwing up whole economies, exploiting those who cannot fight back, creating inflation where there should be none, putting their personal greed before the stability and contentment of entire nations, pricing local people out of decent housing, and acting in a way that is reprehensible.

Although remember as well that people like this can only do it because the law allows it, and most importantly because the banks freely lend them money to do it.

The money supply should be shut off from these speculative property fools.

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I disagree,

Most people investing in Eustern Europe are getting ripped off and are helping pumping money into their economy. Once HPS crashes badly here they will pull out there is it will effect the houseprices there as well.

:P

Totally agree, also the Eastern Europeans are pissing themselves, 300,000 euros for Grans old shed that was worth 25,000 two years ago! Anyone that invests in Turkey, Bulgaria etc. over the past few years will have problems.

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Trust me, Eastern Europeans will be having the last laugh. I can't speak for all Eastern European countries, but most people in the former Soviet Union own their own homes and have little remaining (if any) debt on it - one of the very few good things to result from communism. It's still a cash society out there, no-one will be borrowing more than they can afford to exaggerate their buying potential because people keep their money under the mattress - preferably in U.S. Dollars - and do not trust banks. So, without the utility to borrow 5 million times their annual salary, house prices for the majority will be kept under control.

The BTL activities abroad tend to involve new developments let out as corporate accommodation or to rich (corrupt) officials. The average salary is only one or two thousand pounds a year...you aren't going to make big bucks from the average Ruskie. You go to Moscow or Kiev and you're going to see expensive boutiques, nice cars, posh restaurants etc. This is only a reflection on the diversity, not the standard of living. The only market I can see the BTL'ers tapping into is the one catering for self-serving "hand in the till" type officials or rich bankers who no-one should feel sorry for anyway.

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I can't speak for all Eastern European countries, but most people in the former Soviet Union own their own homes and have little remaining (if any) debt on it - one of the very few good things to result from communism.

It has nothing to do with communism. They bought their homes after the old regime had collapsed under a similar scheme as Right To Buy in the UK. During communism, vast majority of them lived in state-owned flats.

Investing in Eastern Europe is not as attractive as it may sound. With mortgages more and more accessible, most people choose to buy rather than rent. They have never experienced a HPC and most of them don't believe in it. They truely believe that house prices can only go up.

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As we have already discovered in this country, leaving it to the market disrupts the lives of generations and screws the economy.

If we'd left it to the market, this would never have happened: interest rates would be 8-10% and BTL by the unemployed would be a fantasy.

The only reason house prices have exploded is because we have a corrupt central bank which chose to set interest rates at around 40-50% of the rational level in order to make Gordon Brown look good.

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It has nothing to do with communism. They bought their homes after the old regime had collapsed under a similar scheme as Right To Buy in the UK. During communism, vast majority of them lived in state-owned flats.

Since you're picking on the trivial details and missing my point, if it wasn't for communism, most people wouldn't be in a position to have the "right to buy" in the first place. I'm not advocating communism, it's just the way it was.

Investing in Eastern Europe is not as attractive as it may sound. With mortgages more and more accessible, most people choose to buy rather than rent. They have never experienced a HPC and most of them don't believe in it. They truely believe that house prices can only go up.

Bank lending is in its infancy. Two of the main reasons for the UK's housing bubble is the ability to borrow proportionally more money in relation to one's salary than one used to, and the change in living situations (i.e. more single people living on their own). Most people do not have credit cards or borrow and the population in the former USSR is decreasing.

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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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