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[Incognito]

What about the massive increased interest you pay over the lifetime of your mortgage compared if you wait 3 years and get the same property for 1000s of pounds less?

You can't be as thick as you seem. But perhaps you are.

At present on a single property I have, I'm paying an average of £300 a month interest. Say to give you a rough guestimate of £10000 interest over 3 years. Property prices rise on average 100% every 8 years so say a 300% price rise on one of my average properties of £80,000 works out at a £320000 sale.

So no, you're right I'm a fool for spunking away a potential 300% return over worries about roughly a 4.5% loss over my final return.

Give me your tips to make money Sas, I'll make sure I do the complete opposite. I'll be coining it in.

Don't forget, these figures haven't even incorporated the fact that my tenant is paying my mortgage. (It hasn't reflected inflation either, but I didn't want to confuse you, chump)

[sasguru]

At present on a single property I have, I'm paying an average of £300 a month interest. Say to give you a rough guestimate of £10000 interest over 3 years. Property prices rise on average 100% every 8 years so say a 300% price rise on one of my average properties of £80,000 works out at a £320000 sale.

So no, you're right I'm a fool for spunking away a potential 300% return over worries about roughly a 4.5% loss over my final return.

Give me your tips to make money Sas, I'll make sure I do the complete opposite. I'll be coining it in.

Don't forget, these figures haven't even incorporated the fact that my tenant is paying my mortgage. (It hasn't reflected inflation either, but I didn't want to confuse you, chump)

I stopped reading at the point highlighted above
I really hope for your sake you're just trolling.
PS You haven't been here long or you'd know I've made a tonne on BTL. Not as much as DP with his million, obviously.

[DimPrawn]

Property prices rise on average 100% every 8 years

http://img156.imageshack.us/my.php?i...epricescw9.gif

Not even close mate.

Here's a tip. You see when the squiggly line is well below the straight line, well then is a good time to buy. You see when the squiggly line is well above the straight line, well then is a good time to sell.

HTH

[Incognito]

I stopped reading at the point highlighted above
I really hope for your sake you're just trolling.
PS You haven't been here long or you'd know I've made a tonne on BTL. Not as much as DP with his million, obviously.

http://news.bbc.co.uk/1/hi/business/2693411.stm

Don't forget, short term annual rates of increase/decline will slew the current picture, but the market always corrects itself.

I've very happy financially with my portfolio as well thanks, so maybe we just go at it in different ways.

[sasguru]

http://news.bbc.co.uk/1/hi/business/2693411.stm

Don't forget, short term annual rates of increase/decline will slew the current picture, but the market always corrects itself.

I've very happy financially with my portfolio as well thanks, so maybe we just go at it in different ways.

Ah yes, the classic time-series error of taking short term variation as a trend. As explained ad nauseum to DP on the GW thread.
Funny he seems to get it when it comes to house prices.
You don't clearly. The long term trend in house prices is 2.8% per annum.

[Incognito]

http://img156.imageshack.us/my.php?i...epricescw9.gif

Not even close mate.

Here's a tip. You see when the squiggly line is well below the straight line, well then is a good time to buy. You see when the squiggly line is well above the straight line, well then is a good time to sell.

HTH

Again short term trends are influencing your figures. Of course a four year recession is going to knock your gains when compared over an 8 year period. I plan for long term investment, I will see each property complete it's 25 year full mortgage cycle (Unless we're just about to enter a recession in year 22, etc).

Again, 83 to 2003 will produce separate figures compared to 88 to 2008.

Also, I take into account local factors compared against national averages as well and I have properties that will benefit from the Olympic regeneration as well as Crossrail, so again these properties will buck any national trend at that moment.

[sasguru]

I plan for long term investment, I will see each property complete it's 25 year full mortgage cycle (Unless we're just about to enter a recession in year 22, etc).

.

So over the 25 year period you'd rather pay the hundreds of thousands extra interest rather than waiting till say 2011-2012 when the bottom hits, buying up loads of properties with your war chest and selling at roughly the peak in about 2019.

To each their own, I suppose.

[Incognito]

Ah yes, the classic time-series error of taking short term variation as a trend. As explained ad nauseum to DP on the GW thread.
Funny he seems to get it when it comes to house prices.
You don't clearly. The long term trend in house prices is 2.8% per annum.

You're talking tosh. I provided statistics for a trend indicating price rises from 1983 to 2003. 20 years isn't too short term when a mortgage lifetime is 25.

Another example

Notice the rise from 1995 to 2005, just under 200%. It's the easist thing in the world to produce figures to back up your argument with the current climate. I'm speculating on the market recovering and continuing as it has.

[Incognito]

So over the 25 year period you'd rather pay the hundreds of thousands extra interest rather than waiting till say 2011-2012 when the bottom hits, buying up loads of properties with your war chest and selling at roughly the peak in about 2019.

To each their own, I suppose.

I showed you my figures, where's the hundreds of thousands come into it? I also explained that my strategy is to pay the interest from the rental income, I receive between 4% and 30% returns over my portfolio.

And no, I'm not in it for 7 year returns.

[sasguru]

You're talking tosh. I provided statistics for a trend indicating price rises from 1983 to 2003. 20 years isn't too short term when a mortgage lifetime is 25.

Another example

Notice the rise from 1995 to 2005, just under 200%. It's the easist thing in the world to produce figures to back up your argument with the current climate. I'm speculating on the market recovering and continuing as it has.

Classic
From someone who can't tell the difference between real price rises as shown in DP's Nationwide graph and absolute value as shown in the BBC article.
Please do carry on making an arse of yourself