Buy-to-let investors: 'Let us off capital gains tax and we'll sell to first-time buye

[AtW]

Because the tax would just be passed on to the tenants

Only if tenants can afford it.

[vetran]

Only if tenants can afford it.

as there are fewer rental properties than tenants then they probably need to lube up!

sorry that is the reality.

[AtW]

as there are fewer rental properties than tenants then they probably need to lube up!

If they don't have money, what good lube is going to make? They'll have to move out - end result would be those landlords won't have any rent while interest will still need to be paid.

[vetran]

If they don't have money, what good lube is going to make? They'll have to move out - end result would be those landlords won't have any rent while interest will still need to be paid.

no they just end up with less disposable income. This is what the figures & anecdotes say. If they can't afford it someone else will. There are plenty more tenants in the sea.

[d000hg]

Should be max 3.

Why?

And 7 is some kind of magic golden ratio figure?

No, I was answering his question, and 7 is the tipping point on that chart.

[AtW]

Why?

3 was the ratio for a very long time. It's empirically good ratio that works with interest rates being 5-6%.

[AtW]

no they just end up with less disposable income. This is what the figures & anecdotes say. If they can't afford it someone else will. There are plenty more tenants in the sea.

Yeah yeah, those extra money would magically be paid by their employers.

[PurpleGorilla]

Buy-to-let investors: 'Let us off capital gains tax and we'll sell to first-t...

Again, reading the news this week ... clearly not living in the real world.

Sorry let me check outside...

No, still the same overpriced properties!





http://www.mirror.co.uk/news/uk-news...-times-6769726

[Andy2]

I dont think uk house prices are that high compared to rest of the world
You can still get a BTL yield of 5-6%, if the house prices were high you will be lucky to get 2-3%

[meridian]

I dont think uk house prices are that high compared to rest of the world
You can still get a BTL yield of 5-6%, if the house prices were high you will be lucky to get 2-3%

You're only looking at one side of the equation.

The developer next door to me has said, my property is worth X on the market and I want a 5% return, therefore I will set my rent accordingly and increase it every year based on the nominal house value.

Rents are going up to match house prices.