Singing Pig

Go and take a look at http://www.paulfoshauctions.co.uk/auctions.php The returns on some of these properties look very good. Lot 90 in the June auction has 20 bedrooms and a price of £280k. It didn't sell, but housing benefit will pay £54.23 per week for a room.This means it could generate £1084 per week. You could make them an offer of £250K to avoid stamp duty and you will get a return of 22%.

The Welsh valleys are a good place to stick some money. Trouble is I've already got 26 properties and I dont really want many more. It all depends on how much hassle I have to put up with.Managing 20 bedsits will not be much fun.

Still you can buy quite nice terraced houses and still make the numbers work and it will be quite easy to manage.

I still believe that for landlords with plenty of equity, the future of property is rosy.You just need to know where to look.

The Mortgage Works have already introduced some reasonable mortgage products at 5.49% but rip off fees of 2.5%.Once the mortgage industry recovers, the housing market will improve.It always has and always will.Most professional landlords new that the market could not keep rising, so the current state of affairs comes as no surprise.

You are right, buy to let is not over. There will be some juicy opportunities if you time things right. Ajay Ahuja reckons he's got a high street bank facility for 18m and will be buying 400 props this year!

Hi MrIgnorant (nice name by the way!).

Completely agree with your posting and the current state of affairs has been expected for some time now it's hardly a shock. I rarely come on SP anymore and more specifically the Market Discussion area as several posters keep bangin on about BTL being finished, 50% price crashes, etc, etc . . yawn! It's refreshing to hear a balanced viewpoint, and yes the Mortgage Works seems to be coming up with some innovative products recently, we are beginning to see a recovery with the lenders but I think it will be a slow one.

Information moves quick in banking.  Apparently RBS did not expect a loss this quarter, then revealed the biggest in British history.

They didn't need to pursue a rights offer either.  Then two weeks later they needed the money quickly.

Bear Stearns was "quite liquid".  Then JP Morgan and the Fed bailed it out of bankruptcy.

JP Morgan said today that trading conditions had "substantially deteriorated".  And on it goes.

So back to that 18m facility for Ajay Ahuja to buy some (falling) property.  They might offer him £100K for his next residence if he's lucky.