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Ajay Has Gone Barking Mad

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http://www.ahuja.co.uk/property-news/ajays-blog/inflation/

So bring on the high inflation. If they keep interest rates as they are a property investor can only win. Wages are forced upwards which means rent can be pushed upwards. My advice to you is borrow as much as you can and stick it in property.

If you want a rule of thumb you make £1,000 for every £100,000 borrowed for every 1% the inflation is above the government’s target.

So if inflation hits 6% which some experts are predicting (I have seen true reported inflation at over 10% in some articles!) then you can expect to make £4,000 every year for every £100,000.

I have around £7.5m debt. At a quick calculation I am set to make £300,000 every year in real terms simply for having this debt.

Who said debt was bad again???????

Woof Woof grrrrrrr

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http://www.ahuja.co.uk/property-news/ajays-blog/inflation/

So bring on the high inflation. If they keep interest rates as they are a property investor can only win. Wages are forced upwards which means rent can be pushed upwards. My advice to you is borrow as much as you can and stick it in property.

If you want a rule of thumb you make £1,000 for every £100,000 borrowed for every 1% the inflation is above the government’s target.

So if inflation hits 6% which some experts are predicting (I have seen true reported inflation at over 10% in some articles!) then you can expect to make £4,000 every year for every £100,000.

I have around £7.5m debt. At a quick calculation I am set to make £300,000 every year in real terms simply for having this debt.

Who said debt was bad again???????

Woof Woof grrrrrrr

:lol:

Tit.

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I think what he has forgotten is that the BofE no longer set interest rates. The number that the BofE comes up with is now an irrelevance that the open market will sort out to a proper number called LIBOR, and it's that the banks will charge him in interest on his £7.5m debt.

Hence why the interest rates people actually pay have been going up while the BofE thinks it's been cutting them.

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you make £1,000 for every £100,000 borrowed for every 1% the inflation is above the government’s target

and then you lose it for every 1% interest rates go up to bring the inflation back to target. :lol::lol::lol:

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http://www.ahuja.co.uk/property-news/ajays-blog/inflation/

So bring on the high inflation. If they keep interest rates as they are a property investor can only win. Wages are forced upwards which means rent can be pushed upwards. My advice to you is borrow as much as you can and stick it in property.

If you want a rule of thumb you make £1,000 for every £100,000 borrowed for every 1% the inflation is above the government’s target.

So if inflation hits 6% which some experts are predicting (I have seen true reported inflation at over 10% in some articles!) then you can expect to make £4,000 every year for every £100,000.

I have around £7.5m debt. At a quick calculation I am set to make £300,000 every year in real terms simply for having this debt.

Who said debt was bad again???????

Um, am I being stupid, but that doesn't make any sense at all :unsure:

Sounds like he's confusing interest rates and inflation and mixing them together?

Or maybe he has found a magical way for the banks to pay him for having his debt.

Sounds like a load of bulls**t to me.

Please correct me if I'm wrong.

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That is one frightened boy looking for safety in numbers

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He learned all he knows from Alan Sugar- used to run a big company, now its small.

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Um, am I being stupid, but that doesn't make any sense at all :unsure:

Sounds like he's confusing interest rates and inflation and mixing them together?

Or maybe he has found a magical way for the banks to pay him for having his debt.

Sounds like a load of bulls**t to me.

Please correct me if I'm wrong.

He might have his debt on long term fixed rates of course, in which case rising inflation probably would work to his advantage. Agreed that what he writes there is incoherent rubbish though.

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Ajay is a perfect example of why we are in the shit. A guy with no business plan and clearly no clue of how business works gets million of pounds in loans.

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If you look at it from a purely psychological point of view, the very fact that he uses the word 'debt' rather than a bullish buzz word like 'investment', does smack of someone cracking under the pressure of their own foolishness. I.e. Writing/talking in such a way as to incoherently justify their own actions.

Also the act of attempting to drag people down with him by effectively advising them to partake in his foolishness tells me that if not mentally, then financially at least, he is past the point of no return and is trying to enforce a 'if i cant have it no one can' scenario.

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I think he is f**ked if he is not careful.

The cost of borrowing can only go up, which will be faster than he can raise rents.

And with house prices falling, renters will start buying on the way down, shrinking his "pool" of good tennants, leaving him with more "subprime" ones.

Polish and other foreign workers can't find work and are leaving.

And that doesnt factor in 1-2 million unemployed when the job losses mount.

Not good odds.

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i like this blog entry in april. see if you can spot any errors....

=====================

Current Myths At Play

1. You cannot get a mortgage

This is one of the biggest myths going round. It has been well reported that two thirds of mortgage products have been pulled which is correct. But the number of mortgage products is irrelevant to the amount of money there is to lend.

HSBC (who are worth £100 Billion) have announced they will lend and match any rate that you are on.

Lenders are just pulling some of their "sexy" products that entice you in and replacing them with unexciting products with sensible rates at roughly 1.5% above base rates which is still pretty good.

2. A Recession is likely

A recession is only 10% likely. The IMF has reduced UK's anticipated GDP growth to 1.6%. For it to be a recession we have to see the GDP growth being negative. This is highly unlikely.

3. Prices will crash

Interest rates are low and will be getting lower. Liquidity is already coming back as we can see with all the major banks still offering buy to let mortgages at 85% loan to value.

Residential buyers will still stay out of the market. By the time they realise property prices have stopped dropping and got back to their end of 2007 prices the landlord would have firmly locked their position in.

Fundamentals ALWAYS over rule hype. There is nothing at play to make property prices crash unless liquidity was withdrawn from landlords, there was mass unemployment on the horizon, interest rates were set to rocket or major punitive taxes were being introduced. If anything all the opposite is true.

Interest rates are getting lower

Liquidity is rising for landlords

Unemployment is getting lower

Tax is being reduced

4. Buy to Let will cause the crash

There have been a lot of novice investors buying overpriced city centre apartments from companies like Inside Track who now cannot afford to keep them. This is a small proportion of the market and these properties will come in to the professional landlord in time.

The only things that can cause a crash are stated above.

====================

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he should start flogging his secrets to amassing £7.5M of debt property, to generate an income stream

like this guy - http://www.propertyinvestmentsecrets.co.uk/offer/index.htm

who is advertising ALL OVER THE NET, even on top of this site, with this "free pdf" download. Theres still more milk to be extracted from the last fools who think property is a sure winner now.

you can tell we are in a bubble, why aren't people telling us about dotcom-investmentsecrets...?

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If they keep interest rates as they are a property investor can only win.

I stopped reading at that point. Guess I didn't mis anything.

Nomadd

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he should start flogging his secrets to amassing £7.5M of debt property, to generate an income stream

like this guy - http://www.propertyinvestmentsecrets.co.uk/offer/index.htm

who is advertising ALL OVER THE NET, even on top of this site, with this "free pdf" download. Theres still more milk to be extracted from the last fools who think property is a sure winner now.

you can tell we are in a bubble, why aren't people telling us about dotcom-investmentsecrets...?

Andy Shaw, part-time Alan Partridge lookey-likey

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  • 395 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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