Jump to content
House Price Crash Forum
Sign in to follow this  
Jack Chilli

Gold?

Recommended Posts

Hi all,

Can anyone out there tell me what their views on Gold as a 'safe' investment are?? Would anyone put house sale proceeds into it..like, you know...'til a good time to buy again??? Just wondered! Be appreciated. Is it that simple??

Share this post


Link to post
Share on other sites
Hi all,

Can anyone out there tell me what their views on Gold as a 'safe' investment are?? Would anyone put house sale proceeds into it..like, you know...'til a good time to buy again??? Just wondered! Be appreciated. Is it that simple??

Check out the financial section, there's loads of threads on this sort of thing!

Oh, and Diversify, Diversify, Diversify.

Share this post


Link to post
Share on other sites

Hi all,

Can anyone out there tell me what their views on Gold as a 'safe' investment are?? Would anyone put house sale proceeds into it..like, you know...'til a good time to buy again??? Just wondered! Be appreciated. Is it that simple??

You can't live in it, you can't eat it, you have to pay to store it, it isn't useful to you, people can discover more of it & undermine the value of yours, you don't earn any interest from storing it, the list goes on & on.....not to mention that it can be stolen from you.

Share this post


Link to post
Share on other sites

Hi all,

Can anyone out there tell me what their views on Gold as a 'safe' investment are?? Would anyone put house sale proceeds into it..like, you know...'til a good time to buy again??? Just wondered! Be appreciated. Is it that simple??

Gold is freakin great. As is uranium, silver, molyb.... The long term argument for house bulls has been 'there is only so much land' well you can keep building upwards so housing is unlimited but you sure cant invent gold.

I do have rosey glow this week as MAW, NDM, REI, NEV, JIN and physical have been good to me this week

You can't live in it, you can't eat it, you have to pay to store it, it isn't useful to you, people can discover more of it & undermine the value of yours, you don't earn any interest from storing it, the list goes on & on.....not to mention that it can be stolen from you.

Yawwwwwwwwwwwnnn. I guess your house portfolio is up 8% THIS WEEK. No? Feeling tetchy?

Share this post


Link to post
Share on other sites

Funny that you ask. I raised a rent this evening & got an immediate acceptance from the tenants, funny what that can do to the value of property......

What very good timing. Maybe you can sinc all your rents with the TSX, HUI, XAU

Bon chance.

Share this post


Link to post
Share on other sites
Funny that you ask. I raised a rent this evening & got an immediate acceptance from the tenants, funny what that can do to the value of property......

saying that, another of your tenants could be ripping out your boiler for scrap as we speak.

funny how investments dont trash your portfolio or wipe a dirty protest message 'landlords are scum' in your bathroom before they leave. or burn. or have leaks or new roofs.

**had my proposal for backing line using queens bohemian rhapsody for a confectionary manufacturer today.

the mainline was "mama - just killed a maynards". but they thought it unsuitable. shame as i had many others already lined up. frankie valli 'walk like a maynard' & whams 'im your maynard' to name 2.

Edited by right_freds_dead

Share this post


Link to post
Share on other sites

Why would I do that?

Remember that the benefit of a rent rise is split between the landlord & the bank as 100/0.

Mmmm, property....I love it.....

:D

I will (have) regretted getting into a one on one with you. Its like me trying to explain to my ex that a thousand pound Chloe handbag is not an investment..

She ignored me too!

I bow to your superior wisdom ;)

Share this post


Link to post
Share on other sites
Guest Riser

Funny that you ask. I raised a rent this evening & got an immediate acceptance from the tenants, funny what that can do to the value of property......

Investors have been banking on capital growth as rents are no longer delivering the 10% yield traditionally required to justify BTL. There are no doubt many landlords who are now sitting pretty after buying before 2001 but the capital growth that as fueled the party for so long is now gone and they are now facing year on year erosion of their leveraged portfolios.

After the initial six month agreement rents may indeed be increased at just two months notice but this should be balanced against the cost of possible void periods and risks associated with taking on new tenants. Sterling Gold has increased 20% since August and may be sold same day, it will take months to sell and realise the paper capital growth in BTL portfolios.

Gold is a limited resource, if all of the gold ever mined were put into a cube it would fit under the Eiffel tower, and unlike paper money it can't simply be created by governments printing more or banks generating electronic money through debt as they lend up to ten times more cash than they have received in customers deposit accounts. The increase in gold says much more about the devaluation of western currencies than change in the value of physical gold. Ten years ago average salary could buy 30% of a house now it will only buy around 15% yet the public think HPI is a good thing :blink:

eiffel.jpg total above earth gold around 140,000 tons

post-1619-1136624327_thumb.jpg

Edited by Riser

Share this post


Link to post
Share on other sites

Investors have been banking on capital growth as rents are no longer delivering the 10% yield traditionally required to justify BTL. There are no doubt many landlords who are now sitting pretty after buying before 2001 but the capital growth that as fueled the party for so long is now gone and they are now facing year on year erosion of their leveraged portfolios.

After the initial six month agreement rents may indeed be increased at just two months notice but this should be balanced against the cost of possible void periods and risks associated with taking on new tenants. Sterling Gold has increased 20% since August and may be sold same day, it will take months to sell and realise the paper capital growth in BTL portfolios.

Gold is a limited resource, if all of the gold ever mined were put into a cube it would fit under the Eiffel tower, and unlike paper money it can't simply be created by governments printing more or banks generating electronic money through debt as they lend up to ten times more cash than they have received in customers deposit accounts. The increase in gold says much more about the devaluation of western currencies than change in the value of physical gold. Ten years ago average salary could buy 30% of a house now it will only buy around 15% yet the public think HPI is a good thing :blink:

eiffel.jpg total above earth gold around 140,000 tons

Agreed. I fear though that you are wasting your breath explaining it to TTRTR. He does'nt understand that he can't put his rents up EACH week to compensate for the davaluing £ whereas Gold et al is rising each week. He will only understand fiat currencies when he suddenly realises he is a relative pauper.

To illustrate the scarcity of gold I have a stake equivalent to the 'fair share' of all of the employees of my company (500). And that assumes central banks holding none at all. If that were taken into account I would probably have the equivalent of 1000 people i.e owning a village.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 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%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.