Smith Posted January 27, 2023 Share Posted January 27, 2023 https://www.telegraph.co.uk/property/uk/landlords-abandon-property-investment-improved-savings-rates/ Where there's an expectation of rising prices, it makes sense to accept a return somewhat below the savings rate, because you'll also hopefully be getting capital appreciation. But in a falling market, being a landlord is a significant amount of hassle and risk compared to a savings account. Quote Link to comment Share on other sites More sharing options...
msi Posted January 27, 2023 Share Posted January 27, 2023 ....and who will they sell to? Quote Link to comment Share on other sites More sharing options...
rantnrave Posted January 27, 2023 Share Posted January 27, 2023 My savings account has never rung me at 8pm on Friday with a broken boiler... Quote Link to comment Share on other sites More sharing options...
Smith Posted January 27, 2023 Author Share Posted January 27, 2023 7 minutes ago, msi said: ....and who will they sell to? We keep being told there's a huge shortage of housing, although strangely demand seems to have dried up along with the cheap credit. Quote Link to comment Share on other sites More sharing options...
msi Posted January 27, 2023 Share Posted January 27, 2023 21 minutes ago, Smith said: We keep being told there's a huge shortage of housing, although strangely demand at the insane inflated prices seems to have dried up along with the cheap credit. Only one way to sell. How much can they save after paying all that CGT? Quote Link to comment Share on other sites More sharing options...
Si1 Posted January 27, 2023 Share Posted January 27, 2023 Wow the innumerate f#ckwit boomers will have a field day doing new tricks with their oversized desktop office calculators. The % key will never have seen so much action. Quote Link to comment Share on other sites More sharing options...
BaldED Posted January 27, 2023 Share Posted January 27, 2023 1 hour ago, Smith said: We keep being told there's a huge shortage of housing, although strangely demand seems to have dried up along with the cheap credit. Funny eh? It's now a shortage of buyers and money supply. It's a hard life. /sigh Quote Link to comment Share on other sites More sharing options...
Nomadd Posted January 27, 2023 Share Posted January 27, 2023 1 hour ago, Smith said: https://www.telegraph.co.uk/property/uk/landlords-abandon-property-investment-improved-savings-rates/ Where there's an expectation of rising prices, it makes sense to accept a return somewhat below the savings rate, because you'll also hopefully be getting capital appreciation. But in a falling market, being a landlord is a significant amount of hassle and risk compared to a savings account. She owns another five properties with no mortgages that she is keeping for now because she has good tenants. I wonder for how much longer? Quote Link to comment Share on other sites More sharing options...
fellow Posted January 27, 2023 Share Posted January 27, 2023 (edited) 2 hours ago, rantnrave said: My savings account has never rung me at 8pm on Friday with a broken boiler... My savings account has never failed to pay me and I have never had to take legal action to change away from a bad account. Edited January 27, 2023 by fellow Quote Link to comment Share on other sites More sharing options...
rantnrave Posted January 27, 2023 Share Posted January 27, 2023 28 minutes ago, fellow said: My savings account has never failed to pay me and I have never had to take legal action to change away from a bad account. I've never had to pay a fine for failing to get a tax return on my savings account in on time... Quote Link to comment Share on other sites More sharing options...
ftb_fml Posted January 27, 2023 Share Posted January 27, 2023 3 hours ago, msi said: ....and who will they sell to? Me (for half what they paid, obviously) Quote Link to comment Share on other sites More sharing options...
msi Posted January 27, 2023 Share Posted January 27, 2023 15 minutes ago, ftb_fml said: Me (for half what they paid, obviously) We'Re NoT gIvInG iT aWaY..... Quote Link to comment Share on other sites More sharing options...
ftb_fml Posted January 27, 2023 Share Posted January 27, 2023 23 minutes ago, msi said: We'Re NoT gIvInG iT aWaY..... Not at the moment; maybe 6-12 months down the line if I'm lucky and the housing market finally gets the karmic rebalance it so desperately needs.. Quote Link to comment Share on other sites More sharing options...
Blobsy Posted January 27, 2023 Share Posted January 27, 2023 Ahh, I can hear the beautiful dulcet tones of the btl (lower case) crew squealing. Things are are only just getting going as well. Â Lulz. Quote Link to comment Share on other sites More sharing options...
Casual-observer Posted January 27, 2023 Share Posted January 27, 2023 5 hours ago, msi said: ....and who will they sell to? Exactly..who’s ploughing £160k for a 7% yield…fu@k that Quote Link to comment Share on other sites More sharing options...
Dyson Fury Posted January 28, 2023 Share Posted January 28, 2023 Quote Growing numbers of investors are ditching their buy-to-let properties for savings bonds. Years of rock-bottom interest rates drove a boom in the buy-to-let sector as it was near impossible for savers to get a decent return by leaving their money in the bank. But this is now changing. The article's author completely misses the real point. The vast majority of BTLers were not investing their own money. They bought their houses with other people's money, borrowed at rock-bottom interest rates, on IO mortgages (not available to owner-occupiers) with the benefit of tax relief on the mortgage interest (not available to owner-occupiers). The savers who originally deposited those funds were meanwhile being robbed blind. Quote Link to comment Share on other sites More sharing options...
bartelbe Posted January 28, 2023 Share Posted January 28, 2023 Saving accounts which mostly offer less than base rates? Quote Link to comment Share on other sites More sharing options...
no_dependent4663 Posted January 28, 2023 Share Posted January 28, 2023 On 1/27/2023 at 5:32 PM, Si1 said: Wow the innumerate f#ckwit boomers will have a field day doing new tricks with their oversized desktop office calculators. The % key will never have seen so much action. 😂 Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted January 29, 2023 Share Posted January 29, 2023 Someone is trying to offload hundreds of flats and hmo's in Weston-Super-Mare. Right move is flooded with them. Can't see anyone wanting them unless they're giving them away. I expect the current owner will still pocket a few quid. Much better to get your 3% from the bank if you have capital Quote Link to comment Share on other sites More sharing options...
Homeless Millionaire Posted January 29, 2023 Share Posted January 29, 2023 Can't see anyone wanting them unless they are selling them at a competitive rate. ie, likely around 50% of what they were bought at. The btl types will not go bust, their world will not end. They are simply on a learning curve and will go back to working a 9-5 and driving a 7 year old Honda like the rest of us. Quote Link to comment Share on other sites More sharing options...
Homeless Millionaire Posted January 29, 2023 Share Posted January 29, 2023 In purely economic terms it will be in the current government's interests to see money moving from very illiquid property and into cash and hence VAT income through spending. The property bubble has dramatically slowed the velocity of money and tax take. Â Â Â Quote Link to comment Share on other sites More sharing options...
Bruce Banner Posted January 29, 2023 Share Posted January 29, 2023 On 27/01/2023 at 18:44, rantnrave said: I've never had to pay a fine for failing to get a tax return on my savings account in on time... As long as it's an ISAÂ . All our ISAs are now locked into fixed rates at an average of 4.32% tax free for between 3 & 5 years. Worth 5.4% to a basic rate tax payer, or 7.2% to a higher rate tax payer. Compare that to current BTL yields . Quote Link to comment Share on other sites More sharing options...
Up the spout Posted January 29, 2023 Share Posted January 29, 2023 2 hours ago, Wurzel Of Highbridge said: Someone is trying to offload hundreds of flats and hmo's in Weston-Super-Mare. Right move is flooded with them. Can't see anyone wanting them unless they're giving them away. How do you say 'Mortgage broker mis-selling scandal'? Quote Link to comment Share on other sites More sharing options...
70PC Posted January 29, 2023 Share Posted January 29, 2023 On 1/27/2023 at 4:00 PM, msi said: ....and who will they sell to? Good question. If I was an FTB looking for a place to buy would I really be interested in the decrepit fraction of a badly converted house? Renters will live in substandard accommodation to get out of the rain but they will not buy this rubbish. Short of give away prices, nor will other BTLs Quote Link to comment Share on other sites More sharing options...
MrMonkey Posted January 29, 2023 Share Posted January 29, 2023 On 27/01/2023 at 16:00, msi said: ....and who will they sell to? I thought that, when landlords exit the market, their properties simply disappear from existence. Quote Link to comment Share on other sites More sharing options...
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