Rosie Murray-West asked this question in the Telegraph today.
Is the buy-to-let bandwagon on the run again, and if so, should you jump on? Many will be surprised to hear the health of the buy-to-let industry described as anything but sickly.
Housing speculation is something of a sickness in Britain. This idea - that property development should not be the preserve of the rich but should be democratically shared by all - is deeply ingrained in our national psyche.
Have we learnt nothing from the financial crisis? Show me the way to the nearest Paragon office, I need a mortgage now. I want to be a productive land-lady, not a feckless worker.
Welcome back! It's been a while...
ReplyDeleteWelcome back Alice. You've been sadly missed.
ReplyDeleteBut the bubble IS the UK economy, so all government policy will be dedicated to keeping it afloat.
On the other hand I understand narrowboat prices are falling (classic supply and demand model) - so there might lay my answer.
I do think we are in bubble and still have a way to fall.
ReplyDeleteBut, my family have jointly invested in property.
We are unsure of the future, but the fact is inflation is higher than interest rates, so you lose money by having it in the bank.
We would consider other types of investment, but with the economy in such a state most imo are as risky or more so. Which isn't to say I think property is safe..
What I don't understand is why people consider BTL owners worse than other types of investors.
Didn't a guy try to buy up all the coco in Europe not long ago?
Ok not an essential commodity.
But wheat for example spent most of the last 15 years around £100 per ton, often less, as low as £60, right now its around £190, more for the highest quality.
Speculators did the same around 2007-08 also, although now it may be more to do with inflation.
The same happens with energy prices, the oil market was rigged even before the fake global warming scare, but now our own government forces prices up. Particularly of note with the bad weather.
"I need a mortgage now. I want to be a productive land-lady, not a feckless worker."
Purely government policy to screw savers and try to push money into property to prop-up the banks.
Maybe the Land-lady is making the logical choice given her circumstances.
Yes complain about it, but blame the right target.
This is infact typical of whats happened in Britain over the last generation. The elites have tricked one group of British people to blame another group of British people who problems caused by THEM!
(Not just refering to your post but also the article you link)
"so all government policy will be dedicated to keeping it afloat."
ReplyDeleteerm what?
You mean like giving away 9bn a year in foreign aid, just want the UK economy needs!