Mortgage firms rush to repossess homes as families feel credit crunch

[Gonzo]

Peckham? What kind of muppet would want to live in the **** hole that is London.

It is not called Peckham any more, we call it North Dulwich these days, it is "up and coming"

Those tower blocks that you see on the titles of "only fools and horses" are actually in Acton.

[Diver]

Result!

There was yet another prog on C4 all about chaps & chapesses with exactly this business plan... they get in first, buy the property before it gets repossessed & the unfortunates get a better result & still live in the house.

Exactly. Also look for recently inherited property. the families usually want a quick buck and will usually settle well below market for a quick sale

[AtW]

will usually settle well below market for a quick sale

How much below, 5%, 10% or 50%? Market prices are not fixed - they will go down as people will need to sell and others won't be able to get morgage nor want it at current rates in the first place.

[Bagpuss]

A prime development of dock front 2 bed apartments in Liverpool was on offer at 250k last year. A repossessed one just sold at auction for 110k. Nice 140k loss there!

[Diver]

How much below, 5%, 10% or 50%? Market prices are not fixed - they will go down as people will need to sell and others won't be able to get morgage nor want it at current rates in the first place.

Depends on many factors. you decide what you will pay. they understand that you will walk away if they don't drop the price enough, and no chain or waiting for mortgages.

[rootsnall]

A prime development of dock front 2 bed apartments in Liverpool was on offer at 250k last year. A repossessed one just sold at auction for 110k. Nice 140k loss there!

It was front page news in atleast one local paper, just what the developers needed with a few thousand more still to sell. The auction figures for some of the Manchester repo flats were also interesting.

[AtW]

Depends on many factors. you decide what you will pay. they understand that you will walk away if they don't drop the price enough, and no chain or waiting for mortgages.

This all greatly depends on whether you have cash to do the buy, or you need a morgage yourself - I reckon the latter will be pretty limited, especially for B2L market, limited by high interest rates, which will have much higher spread between them and BoE rates.

[Diver]

This all greatly depends on whether you have cash to do the buy, or you need a morgage yourself - I reckon the latter will be pretty limited, especially for B2L market, limited by high interest rates, which will have much higher spread between them and BoE rates.

If you have to mortgage for buy to let, then you are taking a big gamble indeed

[Bagpuss]

If you have to mortgage for buy to let, then you are taking a big gamble indeed

Isn't that what most people do? i.e. use gearing to give high % returns, or rather did. I fully expect SASguru to arrive now and spoil the thread

[AtW]

If you have to mortgage for buy to let, then you are taking a big gamble indeed

But surely most of those who entered that market did so by taking out a morgage? I know companies play a fairly big role in it, but in the last few years B2L was growing due to individual investors who were surely taking out morgages.