Saturday, June 21, 2008
Buy to dept
Johnny-come-lately property investors will find it tough out there. By Edmund Conway Recent weeks have confirmed what many of us suspected for some time: that buy-to-let would be Britain's own subprime crisis. In an eerie echo of the United States experience, it was the collapse of one relatively small part of the property market that helped to trigger a full-blown fall in nationwide prices. The only difference is that whereas the main US epicentre was sub-prime - the mortgages of poor families - our Achilles' heel was the comparatively more middleclass world of private property investment.