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Estate agent article justifying BTL.


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Nice find. 

The simple truth is buy to let buyers must outbid the owner occupiers to be successful. However marginal that rise in prices is, it's still a rise in prices.

If there's a silver lining to all this it's btl brigade taking a kicking. 

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Nope, loose credit and housing props are to blame for the housing crisis.

This is like asking, "Is bronchitis the reason for breathlessness among smokers?". Yes, but also no, because the fundamental cause is the smoking.

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7 hours ago, spyguy said:

Mid Devon?

It more likely to be 2nd home owners and holiday lets.

 

Well, thanks to me clicking in that  Facebook is pitching me weberts for Rob Stoyle Hoe to sell your house $$$$

 

 

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BTL is still going strong in West Suffolk a few properties completed just after lockdown ended and now have to let signs outside. How many bounce back loans involved in those? One over the road went for a 30% increase in 4 years. Captive audience here lots of American military to house. one BTL even enquired if I was interested in selling mine it's daft.

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8 hours ago, Locke said:

Nope, loose credit and housing props are to blame for the housing crisis.

This is like asking, "Is bronchitis the reason for breathlessness among smokers?". Yes, but also no, because the fundamental cause is the smoking.

Competitive bidding creates HPI... BTL collapse eases that competition.  Your 'nope ' is misguided in my view.

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14 hours ago, Wayward said:

Competitive bidding creates HPI... BTL collapse eases that competition.  Your 'nope ' is misguided in my view.

  1. Why do BTLers even BTL, as opposed to saving in the bank, or investing in businesses?
  2. Are they bidding up prices with cash, or credit?

Most people who smoke end up with bronchitis, just as in most loose credit environments, you get BTL scum bidding up prices. However, even if there weren't BTLers in a given environment, everyone else would also bid up the prices.

With tight credit, there are much fewer BTLers bidding up prices and there is less bidding up from OO too.

Just like bronchitis, BTLers are a symptom, not a cause and the cause is loose credit.

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No problem with BTL should be a business with licensing and business rates with high deposit requirements.

People do need rental properties and there is a market for specially built holiday rentals also.

However outbidding families for housing or leaving places empty no thanks.

Landlords always tell me that they are business people powering the economy and as I work in hospitality it would be nice to level the playing field and have the holiday homes near me pay circa 7% FMT business rates.

Houses would then either be owner occupied or higher yielding business rentals, not these empty most of the year 600k+ holiday rentals which only exist to service debt on a second home.

 

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2 hours ago, Locke said:
  1. Why do BTLers even BTL, as opposed to saving in the bank, or investing in businesses?
  2. Are they bidding up prices with cash, or credit?

Most people who smoke end up with bronchitis, just as in most loose credit environments, you get BTL scum bidding up prices. However, even if there weren't BTLers in a given environment, everyone else would also bid up the prices.

With tight credit, there are much fewer BTLers bidding up prices and there is less bidding up from OO too.

Just like bronchitis, BTLers are a symptom, not a cause and the cause is loose credit.

Also housing benefit helps.  I have known people on benefits in housing that they could have never afforded without it (because they weren't working).  If they have not got housing benefit their landlord would have been stuck and had to sell.

Edited by iamnumerate
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  • 417 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% +
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      • Even
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      • up 5%



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