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Are We Heading For A Crash - Will The Bubble Burst ?

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buy to let using a residential mortgage

http://www.websitetoolbox.com/tool/post/em...post?id=1305005

jayy says " as you all know that a buy to let requires 15% deposit or 10% with 2/3 lenders now. i recently bought a flat in scotland for £36k of which i had to put down around £6000k including costs.

however - i am now thinking of buying a further property for buy 2 let but telling the lender i am moving in to it so as to qualify for a residential mortgage instead - so my initial cost is only 5% down! if i had done this on the previous property above i would only have put in £1800!!! and use the other £4000k for further properties.

Ajay says he has done this many times and simply notified the lender on completion that he has changed his mind and is letting it out. he says that they will either: charge you a fee for letting it out typically a few hundred quid, or - charge a higher interest rate. I am thinking of doing this many times over. WHAT DO YOU GUYS THINK? HAS ANYONE BOUGHT LIKE THIS SUCCESSFULLY BEFORE?

"

ajay = fraudster

jayy = IVA candidate 2008

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I like this one:

Birmingham apartment help

hi

I NEED HELP !!!!!!!!! i purchased a very nice apartment in April 2005 for my partner to let, we'v recently split up and he has decided to live in London were he works as a policeman and I have an empty fully furnished apartment and I don't know what to do with it, I have my own house and cant afford the morgate on the apartment although its breaking my heart i think I will have to sell it but I don't know where to start I've never sold property before- what do I do? Any advice will be much appreciated.

Anyone got any advice for the young lady? If she paid £140k for it (guess) then according to Land reg figures she's loosing 1.9% value on it per month - that's £2,660.

My advice would be don't be such a muppet in the first place!

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I like this one:

Birmingham apartment help

Anyone got any advice for the young lady? If she paid £140k for it (guess) then according to Land reg figures she's loosing 1.9% value on it per month - that's £2,660.

My advice would be don't be such a muppet in the first place!

Which area has prices falling 1.9% PER month? That's about 25% per annum - do you believe that?

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WTF is this site about?

Did you know you could earn up to £2,000 per month profit by owning and renting out an exclusive central London property? Prices start from only £150,000 and you can get up to a 441% return on your money in 3 years!

VISIT PH PREMIER

That is a MASSIVE Claim.

£150k central London??

£600k in 3 years?

:lol::lol::lol::lol::lol::lol:

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"Just come out of a mortgage seminar today and believe me the future is rosy ceretainly no sign of a crash!"

"Wow, a house price crash, fantastic, I will be able to increase my portfolio further before prices go up again :-)" - from MoneyFarmer

After browsing the site they seem like a flock of vultures, circling the country looking for fresh meat to devour. If a crash or significant correction occurs how do you think the behaviour of this sector will influence the future movement of prices. Would you not expect sharper rises and falls over shorter time scales as the "investors" pile in and out of the market in search of capital gain. The advent of the amateur property developer/investor and the Internet must surely have changed the dynamics.

If you were in charge and had made a rash boast to end boom and bust, how would you change things?

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If you were in charge and had made a rash boast to end boom and bust, how would you change things?

Restrict what the banks can lend!!

Ban BTL unless it was part of a business. Thus ensuring that business followed strict guidelines.

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Guest wrongmove

Apartment is a flat and the land reg has Birmingham flats falling by 5.7% in the last quarter:

Flats - Birmingham - Land Reg

There are not enough sales for this figure to be statistically meaningful, and the little data there is, is not mix adjusted - we have been here before many times. Look again at the data you linked to - maybe her flat is in Dudley, up 26.7% QoQ ! (Equally flawed data)

Edited by wrongmove

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Restrict what the banks can lend!!

Ban BTL unless it was part of a business. Thus ensuring that business followed strict guidelines.

Thought I'd share this little gem I found after a quick browse of the Buy To Let Finance part of the site's forum.

The 100% buy to let mortgage is here.

I quote:

"UNLIMITED

100% BUY TO LET FUNDING

BUY AN UNLIMITED NUMBER OF PROPERTIES

WITHOUT USING ANY OF YOUR OWN MONEY!"

Sounds too good to be true, doesn't it?

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The Fish wrote:

After browsing the site they seem like a flock of vultures, circling the country looking for fresh meat to devour. If a crash or significant correction occurs how do you think the behaviour of this sector will influence the future movement of prices. Would you not expect sharper rises and falls over shorter time scales as the "investors" pile in and out of the market in search of capital gain. The advent of the amateur property developer/investor and the Internet must surely have changed the dynamics.

- Welcome to Hong Kong , the freest economy in the world, its the future. Everyones a property investor here. Double your money within a year but think carefully before the next spin of the wheel ( 75% falls anyone?)

Edited by dessie123

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Thought I'd share this little gem I found after a quick browse of the Buy To Let Finance part of the site's forum.

The 100% buy to let mortgage is here.

I quote:

"UNLIMITED

100% BUY TO LET FUNDING

BUY AN UNLIMITED NUMBER OF PROPERTIES

WITHOUT USING ANY OF YOUR OWN MONEY!"

Sounds too good to be true, doesn't it?

Effectively they are offering a turnkey operation for those (1) with sufficient equity in their existing portfolio who can find (2) BMV property with (3) sufficiently good yields.

Why would that be too good to be true. All it takes is (1) plus shedloads of graft to find (2) and (3).

Their figures make that perfectly clear, FFS.

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Apartment is a flat and the land reg has Birmingham flats falling by 5.7% in the last quarter:

Flats - Birmingham - Land Reg

Away from the grim grey of Birmingham, down the road in Dudley and Coventry massive rises on flats in the last 3 months. :lol:

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Guest mattsta1964

Restrict what the banks can lend!!Ban BTL unless it was part of a business. Thus ensuring that business followed strict guidelines.

Dream on!

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The Fish wrote:

After browsing the site they seem like a flock of vultures, circling the country looking for fresh meat to devour. If a crash or significant correction occurs how do you think the behaviour of this sector will influence the future movement of prices. Would you not expect sharper rises and falls over shorter time scales as the "investors" pile in and out of the market in search of capital gain. The advent of the amateur property developer/investor and the Internet must surely have changed the dynamics.

- Welcome to Hong Kong , the freest economy in the world, its the future. Everyones a property investor here. Double your money within a year but think carefully before the next spin of the wheel ( 75% falls anyone?)

I think Hong Kong was a bit different as it was passed over to Chinese rule. Not an everyday occurence.

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There are not enough sales for this figure to be statistically meaningful, and the little data there is, is not mix adjusted - we have been here before many times. Look again at the data you linked to - maybe her flat is in Dudley, up 26.7% QoQ ! (Equally flawed data)

There's nothing wrong with Land Reg figures – Birmingham had 588 flat sales in three months whereas your talking about Dudley which had 123 sales (significantly less). Also avearge Dudley flat prices are £20k less than Birmingham so no doubt people who can't afford Birmingham prices are paying over the odds for flats in Dudley and then commuting.

One final thing – if somenone is talking about Birmingham there is no way they mean Dudley - they are completely different areas!

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"Wow, a house price crash, fantastic, I will be able to increase my portfolio further before prices go up again :-)" - from MoneyFarmer

yet again I have to highlight the flipside of a correction (jn any market) is that the money supply also dries up - in this case mortgage companies will be much less willing to let any tom dick or harry- especially a BTL landlord with 5 mortgages already against falling house prices and a weak rental market - take out a loan. If it wasn't for this then I would think there was hope yet for the property market. The risk performance of mortgage loans has been steadily decreasing for the past year or so - the process is actually already happening, but the visible effects from the BTL landlord's perspective (tighter borrowing criteria and higher high street lending rates) will only kick in gradually , almost stealthily. Bit like a boiled frog - boiled BTLer.

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There's nothing wrong with Land Reg figures – Birmingham had 588 flat sales in three months whereas your talking about Dudley which had 123 sales (significantly less). Also avearge Dudley flat prices are £20k less than Birmingham so no doubt people who can't afford Birmingham prices are paying over the odds for flats in Dudley and then commuting.

One final thing – if somenone is talking about Birmingham there is no way they mean Dudley - they are completely different areas!

You can't get a property bull to see reason - even when the facts are presented before them. By their nature they will never see anything other than what the want to see. The only time they will see a crash is with the benefit of hindsight, when it will all be too late. ;)

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You can't get a property bull to see reason - even when the facts are presented before them. By their nature they will never see anything other than what the want to see. The only time they will see a crash is with the benefit of hindsight, when it will all be too late. ;)

Wise words – I shall try to heed them before getting wound up by the constant bear baiting :)

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  • 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%



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