Tuesday, April 1, 2008
Greedy flipper gets her comeuppance
Inside Track persuaded Tamsin Barks to take out mortgages worth more than £1.1 million to buy seven homes in Britain, Florida and Spain. The technique, called "flipping", seemed simple and promised to make her a fortune. However five years on, Mrs Barks faces the prospect of a £300,000 loss plus ongoing maintenance costs. A flat that she bought in Manchester for £172k has been recorded at the Land Registry at £203k, misleading potential investors in the development.. At the moment Mrs Barks makes about £3,500 a month in rent. That leaves her with a shortfall of at least £1,500/month. "I'm scared I'll go bankrupt. I thought it was too good to be true, and I wish I had stuck to my instincts. Property investment seemed sensible, it was bricks and mortar."