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I'm shocked she isn't in a ltd company anyway...

"And Sofia is now considering moving all of her properties into the limited company before the tax freeze ends on March 31"

her tax bill must be extraordinarily high if the properties are personally owned!!!

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3 minutes ago, crazypabs said:

I'm shocked she isn't in a ltd company anyway...

"And Sofia is now considering moving all of her properties into the limited company before the tax freeze ends on March 31"

her tax bill must be extraordinarily high if the properties are personally owned!!!

She has that smug "I'm better than you" look/piggy face too.

#justsaying

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Some great comments:

DevReb, Exeter, United Kingdom, 1 hour ago

Landlords. . taking out a government loan. . to use as a deposit for buying additional properties. . Has this country gone bonkers? How has the Taxpayer now become responsible for expanding landlords' portfolios? OSBORNE tried to crush them. Can the government make up its mind - or is this simply a sweetener before the next Osborne property tax tsunami? Ps, from all the new, flash limos on UK streets, the German motor industry must be delighted with our government business support hand-outs. It's just a pity the businesses being supported are Mercedes and BMW.

Ivan K., Staffs, United Kingdom, 1 hour ago

BTL has not only priced out many hard-working people in certain areas, it's also destroyed many communities. Many shorter-term tenants with no lasting stake in their area care little for even basic standards. The houses look more unkempt, gardens untended, litter is frequently more evident on the street, as is dog filth. Another damaging legacy from Tony Blair's destruction of the society we once knew.

dave the mechanic, leigh on sea essex, 1 hour ago

The government are not interested in first time buyers, they don`t care 2 hoots, how many people buy second homes, or affordable housing, it matters not to them, all that matters is revenue. every time the economy comes to a halt they look at the housing market to get us out of trouble, over the last 10 years they have achieved it buy dropping interest rates to zero, using peoples savings, quantitative easing which devalued the pound, so what can they do this time, as that ship has sailed now, they are now borrowing 15 billion pounds a month at the moment so 9 million people don`t lose there jobs, if they stopped furlough, the housing market would not be worth a carrot, who knows what next year will bring, but there is one thing that is certain without further borrowing, which every taxpayer will be responsible for, property will crash.

John Frumm, Reading, United Kingdom, 29 minutes ago

As a landlord, Buy to Let is no longer financially viable unless it is on a big scale. We have one little flat protecting my pension lump sum and we barely break even. Since buying it 3 years ago, the initial value has dropped by 20%, there is always someone wanting money for roof repair fund, ground rent, Japanese knotweed inspection, removal of fly tipping rubbish, refurbishment of the flat after a tenant moves out when the place has been trashed (just try touching the deposit and see what happens) etc The law is heavily weighted in favour of the tenant. Don't fall into the trap!

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Posted (edited)
1 hour ago, Bruce Banner said:

Indeed it is.

I must say I am normally sceptical of how many threads are really ramping threads, but I have noticed an uptick in property ramping articles and posts recently, not especially on here, but certainly on other more popular sites.

Stuff such as, buy your London flat now before all the people from Hong kong move in and take them all. This sort of drivel.

Edit : As if by magic yet another "house prices" thread on that well known site appears !

Edited by Gigantic Purple Slug
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1 hour ago, highcontrast said:

Isn't this just another classic Daily Mail VI article- i.e. "get on the housing ladder/BTL ladder ASAP!" ?

Just an everyday LL, out n about, working hard, putting the 'Great' into Britain.

Sofia, who owns a mortgage advice firm in London, says: 'I wanted to bring in a partner to buy my next buy-to-let but hadn't got round to it. When the stamp duty holiday came in, I thought right I'm going to do it.' 

As a mortgage adviser, Sofia is aware that banks were carrying out stricter checks on landlords' own earnings. 

Oh, she *owns* a mortgage company.

Been buying since she was 23 .... so saved hard then...

Now assuming she has 4-5 Btl where she claims then shell be underwater as prices have been falling for a good few years.

Shell 'save' a few k - if she gets the finance. But shell pay s24 taxes on rental income. Mental. Lunacy, unless shes getting a massive sub from elsewhere.

And her tax bill will be horrendous.

https://suite.endole.co.uk/insight/company/10861127-penny-house-financial-services-limited

I've seen winkle stalls with higher turn over. Her earnings must shite.

 

 

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37 minutes ago, 24gray24 said:

Can't help feeling this is 1929 rather than 1919... 

Since everyone suspects BTL is toast, I can only assume Sofia behaves like Grace Kelly. 

She must be offering a lot of mortgage advice to have been able to afford 5 buy to let properties in Bucks in the last six years! Its hardly a cheap area - her latest purchase was a £410k flat. And she is only 29. A large inheritance or wealthy parents perhaps?

 

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10 minutes ago, MARTINX9 said:

She must be offering a lot of mortgage advice to have been able to afford 5 buy to let properties in Bucks in the last six years! Its hardly a cheap area - her latest purchase was a £410k flat. And she is only 29. A large inheritance or wealthy parents perhaps?

 

Also to have afforded a thinly veiled advert for her company on the Mail website. Doubt that's cheap either. 

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'I have all my accounts ready for the bank,' she says, 'but it is not a check I would normally expect my lender to make.' 

?

As opposed to almost every other self-employed person?

Edited by spacedin
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"The stamp duty hiatus could save thousands for landlords."

Is this the real reason for the hiatus?  A nice little window to shift properties into companies before the 20% tax relief cap on mortgage interest?  Plus maybe a little bit of cashflow for the Treasury thrown in?

'I have all my accounts ready for the bank,' she says, 'but it is not a check I would normally expect my lender to make.'

So lenders consider establishing the future earnings potential of the borrower not to be worth the due diligence.  The investment stands up on its own does it? 

What assumptions would you need to make for this to be true?  HPI forever + no IR rises + guaranteed bail out if things go wrong I guess...

 

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6 hours ago, Simhadri said:

https://www.telegraph.co.uk/business/2020/07/28/whisper-comes-1920s-style-post-pandemic-boom/

 

Whisper it, but here comes a 1920s-style, post-pandemic boom

Spanish flu saw huge loss of life but the recovery that followed offers a glimpse of what may happen today

+1,

House prices increased 20%, in two years during the spanish flu. 

Extremely likely, the same occurs again, but possibly by even much more. ?

So much new money being borrowed and pumped into the system.

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7 hours ago, Simhadri said:

https://www.telegraph.co.uk/business/2020/07/28/whisper-comes-1920s-style-post-pandemic-boom/

 

Whisper it, but here comes a 1920s-style, post-pandemic boom

Spanish flu saw huge loss of life but the recovery that followed offers a glimpse of what may happen today

Yeah...

Ww1, followed by Spanish.

LL made out like bandits....

The comment refers to the economy, not Lling.

 

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44 minutes ago, Speed1987 said:

+1,

House prices increased 20%, in two years during the spanish flu. 

Extremely likely, the same occurs again, but possibly by even much more. ?

So much new money being borrowed and pumped into the system.

In 1920, 80%+ rented.

 

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47 minutes ago, Speed1987 said:

House prices increased 20%, in two years during the spanish flu. 

Extremely likely, the same occurs again, but possibly by even much more. ?

So much new money being borrowed and pumped into the system.

 

GG

https://www.yourinvestmentpropertymag.com.au/expert-advice/john-lindeman/pandemics-panics-and-property-markets-270156.aspx

"...

The reason for this growth in housing demand was a huge rise in our population, as the green line in the graph shows. During 1919 our population grew by over 100,000 people, despite the fact that the Spanish flu had taken 15,000. The increase was caused by soldiers returning home after years away during the war who were joined by thousands of refugees and immigrants fleeing a disease and war-ravaged Europe to start new lives in Australia.

HOUSING DEMAND IS ALWAYS LINKED TO POPULATION GROWTH
Our population continued to grow by more than 100,000 each year during the first post war decade and this resulted in severe housing shortages in our biggest cities. Housing prices rose for several years and were followed by rent increases as housing demand grew from those who couldn’t afford to buy."

Looooooooolllzzzzz...yep exactly the same situation this time round... NOT! :)

laugh.gif.7ccf794593503aae8aee5222acfc6384.gif

 The BTL scum/VI bull trolls on here are really struggling to find something to cling on to aren't they.

 

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43 minutes ago, Speed1987 said:

+1,

House prices increased 20%, in two years during the spanish flu. 

 

Data source? I'm only asking because some months ago there were some posts on hpc about house price trends during Spanish flu and they were sharply down. Of course different data sources can say different things...

43 minutes ago, Speed1987 said:

Extremely likely, the same occurs again, but possibly by even much more. ?

So much new money being borrowed and pumped into the system.

The article says "in combination with the power of the virus to accelerate the transition from one economic age to another, we could indeed in a few years time be looking at more of a Roaring Twenties boom than a depression. Things could of course go the other way, but this would actually be a quite unusual outcome for a serious, global pandemic, the long term economic consequences of which are generally and ironically quite positive. Economic rebirth is in other words more likely than final death."

Not at all what you are saying.

This is entirely consistent with my understanding of KB's thesis. A correction in bubble house prices would indeed lay the economic foundations for an economic boom.

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17 minutes ago, highcontrast said:

 

GG

https://www.yourinvestmentpropertymag.com.au/expert-advice/john-lindeman/pandemics-panics-and-property-markets-270156.aspx

"...

The reason for this growth in housing demand was a huge rise in our population, as the green line in the graph shows. During 1919 our population grew by over 100,000 people, despite the fact that the Spanish flu had taken 15,000. The increase was caused by soldiers returning home after years away during the war who were joined by thousands of refugees and immigrants fleeing a disease and war-ravaged Europe to start new lives in Australia.

HOUSING DEMAND IS ALWAYS LINKED TO POPULATION GROWTH
Our population continued to grow by more than 100,000 each year during the first post war decade and this resulted in severe housing shortages in our biggest cities. Housing prices rose for several years and were followed by rent increases as housing demand grew from those who couldn’t afford to buy."

Looooooooolllzzzzz...yep exactly the same situation this time round... NOT! :)

laugh.gif.7ccf794593503aae8aee5222acfc6384.gif

 The BTL scum/VI bull trolls on here are really struggling to find something to cling on to aren't they.

 

2019 net immigration 227k.

HK 3 million passports.

Increased non-EU immigration.

Dingy boats across the channel.

New H&S fast track Visas.

Wait for Brexit, immigration ⬆️⬆️⬆️.

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14 minutes ago, Speed1987 said:

2019 net immigration 227k.

HK 3 million passports.

Increased non-EU immigration.

Dingy boats across the channel.

New H&S fast track Visas.

Wait for Brexit, immigration ⬆️⬆️⬆️

cat.gif.e4b62a169e70a0afa5d49042af47bf70.gif

So basically nothing like the Spanish flu/ending of WW1 then. Thank You for confirming x x.

Edited by highcontrast
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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% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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