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erat_forte

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Mrs e-f was babbling on this morning about the btl genius in East Anglia, on the front page of the Telegraph. Help me, what do I say?

Babble on about the story of some traditional pimp who prospered? If necessary point out the parallels, and the fact that the property pimp is holding something much more essential to ransom than the sexual pimp ever did.

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It's just a bit of a shame that Balls didn't say Labour must back honest business because backing any old business including the dodgy ones seems to have been one of the main reasons leading to Labour's latest downfall.

Edited by billybong

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Interesting. He thinks he's OK up to 9%.

Let's remind ourselves of the Basel 3 risk weightings out for consultation:

Basel%2Brevisions%2Brisk%2Bweights.png

BTL is looking to end up in a bin where it is risk weighted 100% or possibly 110%, so roughly three times the risk weight of most prime lending (which would be DSR less than 35%, and LTV less than 80%).

Hence the idea that the rate he'll be paying in due course may be easily in excess of twice times present-owner occupier SVRs is not unreasonable.

Let's see what they've been doing:

SVRs%2Boff%2Blow.png

OK, so if things go as the Bank of England are signposting, he'll have a negative cash flow portfolio, (which may well have almost halved in value from today's price).

I'm out.

You could suggest to your other half that the regulator is going to extinguish interest-only lending into the residential sector and kill of this nonsense Brown era BTL crap for good, crucifying this Cambridge educated herbert in the process. No offence to any decent hpcers similarly affected, by I'll bet my own money he read Geography.

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condition 40. is interesting, explicitly eliminating HPI from the calculations of LTV. If the loan is written with the property valued at £100k then, without significant building work or a new loan being written, that is the value it is on the lender's books at for the life of the loan

is that standard practice already, or can lenders currently mark to market in their favour the property securing older loans?

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sounds fairly sensible

“Initially I wanted to build a buy-to-let empire with hundreds of properties, but I’ve realised that it’s better to have fewer properties and better cash flow."

If the article is the whole story, then I have no problem with landlords of his ilk

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... crucifying this Cambridge educated herbert in the process. No offence to any decent hpcers similarly affected, by I'll bet my own money he read Geography.

Looks like he did Business Management at University Campus Suffolk (an institution affiliated with UEA and Uni of Essex), followed by a Postgraduate Diploma in Entrepreneurship at the Judge Business School in Cambridge.

http://www.ucs.ac.uk/Alumni/Your-Stories/Ryan-Windsor-profile.aspx

http://insight.jbs.cam.ac.uk/2014/cambridge-entrepreneurs-graduate/

Edited by Eddie_George

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sounds fairly sensible

“Initially I wanted to build a buy-to-let empire with hundreds of properties, but I’ve realised that it’s better to have fewer properties and better cash flow."

If the article is the whole story, then I have no problem with landlords of his ilk

Then you must be ignoring the 9 families he has forced out of owner occupation, who will never have secure stable accommodation so he can have his 9%.

Edited by BuyToLeech

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Then you must be ignoring the 9 families he has forced out of owner occupation, who will never have secure stable accommodation so he can have his 9%.

19pc he said

and to say that his actions have forced families out of owner occupation and that they will never have secure stable accommodation is utter nonsense

I can think of dozens and dozens of people that have, at some time, lived in a rented flat or house and subsequently gone on to own their own home (i.e. really own with no debt, none of this mortgage malarkey) - which is what I think you mean when you use that phrase

there is no reason at all to think that someone living in one of his rentals right now will not do the same at some point in the future

nor is there any reason at all to think that someone living in a rental does not view that as secure stable accommodation either: it certainly can be

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19pc he said

and to say that his actions have forced families out of owner occupation and that they will never have secure stable accommodation is utter nonsense

I can think of dozens and dozens of people that have, at some time, lived in a rented flat or house and subsequently gone on to own their own home (i.e. really own with no debt, none of this mortgage malarkey) - which is what I think you mean when you use that phrase

there is no reason at all to think that someone living in one of his rentals right now will not do the same at some point in the future

nor is there any reason at all to think that someone living in a rental does not view that as secure stable accommodation either: it certainly can be

Nine homes are no longer available to own. So nine fewer families will own.

People will rent for a while, and then own, and then rent again.

The sun will rise, and set, and rise again. Babies will be born. People will die.

The wind will erode cliffs, which will then rise again as the earths core drives vast tectonic plates across the surface of the globe.

In the distance, a tiny bird, resting on a branch, cocks her head, listening for the coming of spring.

Lightyears away a gas cloud coalesces, and a new star flickers into life from the ashes of the old.
The details of the world, are an interesting distraction, but we don't usually need to worry about them.
Somewhere, a landlord is evicting his a tenant. A woman cries.

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urgh, property made him millions in six months, and he is only 19 years old (looks). I hope many people w*nked over that front page.

Edited by 200p

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