Is buy to let still worth it?

[courtg9000]

My opinion only having been involved with property professionally.

Residential BTL really is only good if you can buy either in a down market or at a good discount against market.
To win at residential BTL you need to be concentrating on portfolio growth via a Buy, Refurbish, Rent, Refinance strategy. Just having a single BTL is not going give you a fantastic return on investment once you subtract all the costs. Finance is an issue right now for property.
With any BTL establish a maintenance fund and look at investing surpluses (high interest accounts - yes I know! but if its possible)
Commercial BTL or commercial led mixed use is different but its better for singles and can be a riskier punt but in my own opinion is a better investment.
If you are loaded there are quite a few portfolios knocking about (£1 million plus) especially in the North, Scotland and Northern Ireland and could return well but are not good idea if you are financing. With current rates financing any BTL is not the best idea at present. There is a lovely 500 property portfolio in the north west hitting the market anytime now which will be an absolute goldmine for someone!
My own advice is to be putting about 12% of all receipts into the maintenance fund as soon as they clear.

[d000hg]

Hi, this seems like a question to ask in forums such as MSE. I've looked in there and the consensus is that it's not worth it anymore. Having said that, your average poster on MSE is basically a low/average income earner, a scared peasant that only sees buy to let as a mean to get a few bucks per year so they can buy a barbie doll for their kids for Christmas.

I'd like to hear the opinion of my peers, the top 1% earners in this country. I have an ltd set up and am a cash buyer, no mortgage needed. Do you guys still invest in buy to let?

No, I haven't asked my accountant but I have an appointment with them in 2 weeks time.

Such a high-achiever as yourself should be able to find this information quite easily.

[PCTNN]

Such a high-achiever as yourself should be able to find this information quite easily.

I was not looking for information. I was looking for opinions based on other people's experience.

Have you forgotten to take your pills this morning or are you always this stupid?

[ChimpMaster]

As others have said already, it's easier to invest your lump sum @ close to 6% in a fixed rate bond (for example Coventry Building Society). Or look at high yielding shares like Vodafone, L&G, Glencore etc.

Vanilla BTL is doomed in current market conditions. For example, we fixed one mortgage at 2% during Covid - fortunately for 5 years - but if rates don't come down then we'll be looking at a refinance rate of around 5.5% to 6%. Our monthly interest-only payments will go up from £400/month to £1200/month. So we have to pay down the loans as much as possible before we refinance. And even then we'll take a hit on the bottom line.

Imagine those numbers across the country on any home that has a mortgage. And then add on the impact of section 24 taxation on rental revenue, which in itself is a complete sh1tshow. 'New' Landlords are in real trouble and many are selling, leading to a real shortage of rental properties.

Other, more resource intensive property investments can still work - like HMOs or Serviced Accommodation.

Even if I were a cash buyer, I would wait to see how the market settles and how long rates will stay high. Of course, there's no harm in looking now and aiming for a good yield, and then putting in some low ball offers on properties you like.

[Lance]

BTL is a business (always has been and only in the last 15/20 years has it been sufficiently safe that you can d it as a hobby)
Gone are the days when a hobbyist can just make money as interest rates are low and capital growthy is almost certain.

It's for professional landlords. If you ask the question "is it worth it?" on these pages then you're not a professional landlord so don't bother.
IMO.

[SueEllen]

If you buy this property it is dual purpose - https://www.rightmove.co.uk/properti...hannel=RES_BUY

[Win]

Those paving blocks just need to be laid down in the garden. Amazing property you can run a good business out of it.

[vetran]

If you buy this property it is dual purpose - https://www.rightmove.co.uk/properti...hannel=RES_BUY

comes with pre fertilised raised beds - winner!

[SueEllen]

This is how you make money out of buy to let - https://www.bbc.co.uk/news/uk-england-london-66520812


Just don't get caught.

[JustKeepSwimming]

This is how you make money out of buy to let - https://www.bbc.co.uk/news/uk-england-london-66520812


Just don't get caught.

So absolutely no punishment?

Company house his name, whilst I can't read accounts to save my life it does look like he did a bounce back loan grfit too, 48k.