Bye To Let

[DimPrawn]

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/04/16/cmbuy16.xml

Sixteen lenders have now pulled out of the buy-to-let market, with four - Britannia Building Society, Scarborough Building Society, The Mortgage Works and UCB Home Loans - closing their doors to landlords in the past week.

On Wednesday NatWest pulled all its buy-to-let rates (replacements have yet to be announced), while Woolwich introduced a 1.5 per cent fee for landlords wanting its standard variable rate mortgage and raised rates by as much as 0.7 percentage points on other deals.

The last 90 per cent buy-to-let mortgage has already been killed off. Now loans offering up to 85 per cent of property value are under threat, with dozens disappearing each week.

The past month has seen a vicious cull. Twenty lenders have pulled out of offering 85 per cent LTV mortgages for buy-to-let borrowers in that time, almost halving the number of players at that level.

There were only 145 such products available on Wednesday, according to Moneyfacts, compared with 806 one month ago - a loss of almost five in every six of these types of loan.

 

[rootsnall]

Trying to flog a BTL style northern terrace, no BTLers out there and no 100% mortgage FTBers either so I'm stuffed. I've just faced up to the fact I'm going to have to rent it out which means doing work on it

The EA suggested taking it to auction but I think it'll be a good 25% down ( if I'm lucky ) on prices from 12 months ago

 

[sunnysan]

Crash

Crash

Is this a crash yet or is it still a "correction"

 

[DimPrawn]

According to Brown

According to Brown

No boom and bust, just a "soft landing".

 

[Bagpuss]

Trying to flog a BTL style northern terrace, no BTLers out there and no 100% mortgage FTBers either so I'm stuffed. I've just faced up to the fact I'm going to have to rent it out which means doing work on it

The EA suggested taking it to auction but I think it'll be a good 25% down ( if I'm lucky ) on prices from 12 months ago

Surely someone on here will buy it, how much?

 

[DimPrawn]

Buy property?!? Are you mad.

Everyone (now) knows property only goes down.

 

[minsky1]

Buy property?!? Are you mad.

Everyone (now) knows property only goes down.

On a more positive note, i'm hoping that this will drive down the building cost of my latest project (office accom, with flat above).

Does this mean builders will be eager to win business, and hence give me a better price in a competitive tender situation?

 

[Bagpuss]

There was an interesting article in the paper last night

A young professional had put her house on the market a year ago, had 5 offers in a week but it fell through (she went for the highest but they were also in the weakest position)
A year later she put it back on at the same price, so far after 3 months, 1 offer >20% below 'market value' which she wouldn't take. Then she started going on about supply and demand innit so she would wait for a better offer

Another guy was going on about it being a buying opportunity and would pick up as soon as interest rates were reduced.

etc etc etc

None of the contributers were old enough to remember the last bust.


Even Beany's programme last night, 2 overconfident smug ladies looking to make 110k on two terrace houses, after overspending they were still looking for a similar margin by raising the price i.e. looking for 250k each. Six months later only 1 sold for 210k. Perhaps the next series should be Property Snakes and Ladders? or Jumping off the Property Ladder?

 

[Chugnut]

Even Beany's programme last night, 2 overconfident smug ladies looking to make 110k on two terrace houses, after overspending they were still looking for a similar margin by raising the price i.e. looking for 250k each. Six months later only 1 sold for 210k. Perhaps the next series should be Property Snakes and Ladders? or Jumping off the Property Ladder?

Or let's face it, "Baps Ladder".

 

[sasguru]

Surely someone on here will buy it, how much?

I'll buy it - in a year or two. For a fiver.