Buy To Let.....

[ChimpMaster]

Quite a lot more.
But I'm thinking of getting a one bed close to the City - not much more than £2000 rent then, although there may be scope for more depending on exactly where it is.
Have to look first - haven't been in the property market for years, don't know what's what nowadays.
My market is someone working in the City looking for a pied-a-terre.

Canary Wharf might be an option for you then, and it's not as expensive as the city. Or something around the highbury/Islington postcodes, which is a short bus hop into the city or a 45 minute walk.

£2000 means you're looking to buy a property for around £500,000 - £550,000. London rents are not as good from a ROI perspective because they are priced for price gains too (and they do go up more than outside of London). I would be wary of having just one big BTL property to rely on - it's better to buy 2 or 3 smaller ones so that you can protect your investments and be shielded should one of them remain empty for a while.

[sasguru]

A friend of mine bought a 1 bed/studio opposite St. Paul's a few years ago for about £250k and it rents for about £2000 pcm. However service charges are high generally in the city though so it's more like £1600 pcm.

Must have been quite a few years ago if it was only £250K.
I'm looking at considerably more than that to generate the same sort of rent, but at least I don't need a mortgage.

[MarillionFan]

Quite a lot more.
But I'm thinking of getting a one bed close to the City - not much more than £2000 rent then, although there may be scope for more depending on exactly where it is.
Have to look first - haven't been in the property market for years, don't know what's what nowadays.
My market is someone working in the City looking for a pied-a-terre.

I've gone for smaller property outside London. £650 per month on £145k(inc plot), but it's only going to cost me £60k to build a 2nd property next door which will return the same. So works out at £14k(after mgmt fees) on £200k (7%). But I will make an extra £50-£55k on the build(so you could argue thats £14k at £260k / 5.4% on value)

The only thing is the tax Sas, you need to find a clever way to offset that tax on the rent.

[redgiant]

Must have been quite a few years ago if it was only £250K.
I'm looking at considerably more than that to generate the same sort of rent, but at least I don't need a mortgage.

4 years ago if memory serves me. He's getting married soon so he maybe looking to sell up.

Had a quick look at Rightmove and there are a few around the £250k mark in the EC1 area but limited stock as usual.

[lukemg]

Respect to anyone doing this and earning well. Too much hassle for me, Aviva is paying 7% divi....
Heard too many horror stories, chap round the corner has just got a court order to get someone out but if they leave voluntarily they dont get benefits/rehoused or something so he has to get bailiffs to turn up.

[AtW]

I find it depressing seeing IT people with some money to be invested into anything but what their supposed skills can do - zero-cost distribution of software worldwide and earn them a fortune, people with healthy ambitions are in short supply these days it seems

[northernladuk]

Respect to anyone doing this and earning well. Too much hassle for me, Aviva is paying 7% divi....
Heard too many horror stories, chap round the corner has just got a court order to get someone out but if they leave voluntarily they dont get benefits/rehoused or something so he has to get bailiffs to turn up.

Which might cost a couple of grand. If he is in for the long term he will have many years of people paying his mortgage for him so just a blip. Not many ways of making money come with zero risk. Getting baliff in for free house at end is not a bad risk/reward IMO.

Aviva is one company and you are lucky to be in it.

[sasguru]

I find it depressing seeing IT people with some money to be invested into anything but what their supposed skills can do - zero-cost distribution of software worldwide and earn them a fortune, people with healthy ambitions are in short supply these days it seems

Spoken like a true cretin.

100 years from now no one will remember you, you're just a blip in the vast immensity of the cosmos.
So it's best to enjoy the brief life you have, the goal is to make as much money as possible with the least input, as all truly intelligent people (like your landlord) know.
Like I told you before, the biggest regret men haveon their death bed is working too hard.
Take a long hard look at yourself and what you have not achieved, you're no spring chicken.

[AtW]

(like your landlord)

The person who overextended himself building the flats gone bust - it's the bank now who lost money that is my landlord, hardly smart people all around especially now that they pulled out of selling me the flat at reasonable price

[sasguru]

The person who overextended himself building the flats gone bust - it's the bank now who lost money that is my landlord, hardly smart people all around especially now that they pulled out of selling me the flat at reasonable price

Which only makes losers all around, including yourself