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HenryWeston

Btl Idiot

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just seen this on money saving expert:

http://forums.moneysavingexpert.com/showthread.html?t=105446

Hi everyone.

Need to come up with £50K by Sept 2006. I want to know how many credit cards can you have without destroying your credit rating.

I feel that it's easier to comeup with a£50K on credit cards (between me and my husband ) rather than borrowing a loan to that amount.

I would appreciate all your insights

Thanks for your concerns.

It's a deposit money for a purchase of a flat. made reservations yesterday. SInce it's off plan, completion is Sept 2006. Buy-to-let mortgage (15% deposit)

The purchase price is £320:K but valued at £420K.

I know the valuation of this as I have the same 3 bed flat in the same development which was valued at £400K last August 2004

:o:o:lol::huh::o

im wondering how many BTL's are funded like tis? :blink: i hope they are saving £460 in cash for the bankcruptcy fees in a few years! :lol:

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Also, I am an accountant, so when it comes to figures, i am quite accurate.

Also, I am using debt to buy assets or investment properties. I am not using the money to buy consumer products.

PMSL, :lol::lol::lol::lol::lol::lol::lol:

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just seen this on money saving expert:

http://forums.moneysavingexpert.com/showthread.html?t=105446

im wondering how many BTL's are funded like tis? :blink: i hope they are saving £460 in cash for the bankcruptcy fees in a few years! :lol:

What gets me is this:

"The purchase price is £320:K but valued at £420K..."

'Valued' by whom? <_<

This is the kind of wild speculation that was rewarded during the bull-run but an attitude that will cost many people a lot of money. A typical amateur investor who just doesn't know when to stop investing!

She caps it off/sums it up nicely:

"I know it is a risk, but like any business, it has to come with some risks or else everybody will be doing it."

:lol::blink::lol:

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They did but it appears to be ignored. I think they are members of the Rosie fan club so we can guess where it will end.

There's also a dig on that thread about here. Where is the crash, coming fairly soon if you can't make you figures add up (£320,000 and £1800 a month on a flat worth £420,000). Actually mate its going to be worth at most £320,000 now sale prices are readily available online.

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Quality...

so.. self cert mortgages...

:) christ.. go directly to prison..

anyway a repayment mortgage against that is

£1873.14 a month....

£1306.66 interest only....

at 4.9%..

Good luck

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Quality...

so.. self cert mortgages...

:) christ.. go directly to prison..

anyway a repayment mortgage against that is

£1873.14 a month....

£1306.66 interest only....

at 4.9%..

Good luck

Why do people think someone will sell them a property worth 420k for 320k? Do they think people are stupid, to throw 100k away?

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Also, I am an accountant, so when it comes to figures, i am quite accurate.

PMSL, :lol::lol::lol::lol::lol::lol::lol:

I actually don't believe her, no qualified accountant would be so stupid!

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Cannae believe an accountant would advocate borrowing 50K on credit cards to finance a deposit - mortgage and credit cards then needing to be paid. Obviously a wind-up merchant. I wonder how many hours are spent commenting on and replying to such jokers?

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If I had known she was a complete Muppet I wouldn`t have bothered to reply on the thread.

Reply To A Muppet

Yes, personally I think this is a wind up, anyone on this site to blame?

Somebody please post link to this thread on MSE, just so she knows what we think of her.

Edited by Young Goat

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it is an amazing logic that she feels that her identical flat is valued at £400k even though she has just bought another one for £320k, if it was me i would see that i have just lost £80k on my first flat and would be in no mood to buy another one on a credit card !

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I actually don't believe her, no qualified accountant would be so stupid!

she may not be a qualified accountant. the term 'accountant' is not a protected one unlike that of, say, 'solicitor'. which means that anyone can call themselves an 'accountant'. think of it as being called an 'estate agent'. any form of pond life can call themselves an estate agent as we all know!

mind you accountancy exams have been dumbed down in recent years like everything else. perhaps she is one of the 'new breed' of accountants who is unfamiliar with the concept of matching long term assets with long term debt.

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mind you accountancy exams have been dumbed down in recent years like everything else. perhaps she is one of the 'new breed' of accountants who is unfamiliar with the concept of matching long term assets with long term debt.

Actually, as a qualified accountant I must disagree with you on this point.

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I feel that it's easier to comeup with a£50K on credit cards (between me and my husband ) rather than borrowing a loan to that amount.

Wonderful things credit cards.

...if it was me i would see that i have just lost £80k on my first flat and would be in no mood to buy another one on a credit card ! [Loanshark]

It's not a "loss", just a 'deferred capital gain'.

I actually don't believe her, no qualified accountant would be so stupid! [Young Goat]

Really? Look what George Simpson did to GEC / Marconi:

http://news.bbc.co.uk/1/hi/business/4375106.stm

1990 TO 2005 - DOWNFALL

Lord Weinstock stepped down as chief executive in 1996, under pressure from investors who wanted a more adventurous strategy for the firm.

His replacement was George Simpson, an accountant and veteran of the car industry.

Mr Simpson turned the group's strategy on its head, spent its cash pile and made huge investments in the telecoms sector and internet world, while selling off its traditional industrial and defence arms.

During the rest of the decade GEC's spending spree plunged it into debt, forcing it to cut thousands of jobs.

2005 - THE FINAL BLOW

In 1999, Marconi Electronic Systems split from GEC and merged with British Aerospace to form BAE Systems.

Meanwhile, the internet bubble burst and so did GEC's hopes.

GEC was renamed Marconi Corporation in May 2003 after a £4.7bn financial restructuring needed to keep it afloat.

The final blow came in May 2005 when Marconi missed out on a contract with its biggest customer, BT, worth a life-saving £10bn. Challengers Ericsson and Siemens were flexing their muscles and squeezing out smaller rivals.

Following months of speculation, in which Chinese telecoms group Huawei was tipped to make a bid, the firm sold off the bulk of its assets to Ericsson, finally laying an icon of the airwaves to rest.

mind you accountancy exams have been dumbed down in recent years like everything else. perhaps she is one of the 'new breed' of accountants who is unfamiliar with the concept of matching long term assets with long term debt. [gasket37]

Actually, as a qualified accountant I must disagree with you on this point. [Young Goat]

So accountancy exams have always been dumbed down.

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So accountancy exams have always been dumbed down.

ooh you bitch!! :P

i was going to ask young goat when exactly he/she qualified but bit my tongue - no need to 'fight' amongst ourselves...

ah - arnold weinstock - what a great guy he was! my favorite quote from him was when he was told a subsiduary had made a profit, he said "excellent - please send it here".

Edited by gasket37

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it is an amazing logic that she feels that her identical flat is valued at £400k even though she has just bought another one for £320k, if it was me i would see that i have just lost £80k on my first flat and would be in no mood to buy another one on a credit card !

...THE 400K valuation was in august 2004.

IF SHE'S IN LONDON SHE'S GOT A BIG PROBLEM!!!

even at that optimistic forecast,the flat then woulld be worth 350k MAX.

probably more like 300k if she accepted........that's 20k below price paid.

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I actually don't believe her, no qualified accountant would be so stupid!

I know a number of Chartered Accountants who have been that stupid. One friend of mine has interest only mortgages on all his properties, including his own flat. But its ok, because he's 'in it for the long term' and his 'property is his pension'!

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Same here

I work with an Accountant ( a Manager) who kept here last house and got the 2nd interest only 'because prices can only go up' (this is in the South East) - I didn't ask how should would pay for it

Err - defies logic

Z

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mind you accountancy exams have been dumbed down in recent years like everything else. perhaps she is one of the 'new breed' of accountants who is unfamiliar with the concept of matching long term assets with long term debt.

You are almost certainly wrong on this point! The accountancy exams taken by 3 of my friends last year were not dumded down.

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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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