Sunday, March 29, 2009
More bad news for property ‘investors’
Developers in the UK are drawing up contingency plans to deal with an expected increase in real estate investors defaulting on payments for off plan properties including taking them to court. Developers are worried that investors who put down deposits on properties a year or more ago will either discover they can't find a mortgage to cover the balance, or will be prepared to lose their deposits rather than put themselves straight into negative equity. Builders are also looking at lobbying the Government to make up the shortfall for first time buyers.