Peach Posted October 10, 2010 Share Posted October 10, 2010 I think you're madder than Brian mad from Madchester if the mortgage won't be covered by the rent. And personally, I don't see house prices doing anything but stagnate over at least the next 5 years. Link to comment Share on other sites More sharing options...
KIRK AND CO Posted October 10, 2010 Author Share Posted October 10, 2010 I think you're madder than Brian mad from Madchester if the mortgage won't be covered by the rent. And personally, I don't see house prices doing anything but stagnate over at least the next 5 years. So owning 2 houses for an extra £100 a month makes me mad why ? Link to comment Share on other sites More sharing options...
Guest The Ropey HOFF Posted October 10, 2010 Share Posted October 10, 2010 Theres always a risk in buying houses for profit. If you can get an auctioned re-posessed house really cheap, then it just might work out, its certainly a buyers market, houses sold currently are as low as it has ever been, the countries in financial straits at the moment and hopefully the cuts will stimulate the uk economy, but i won't hold my breath on that happening. Best of luck with your plan. Link to comment Share on other sites More sharing options...
Peach Posted October 10, 2010 Share Posted October 10, 2010 You're not owning them you're mortgaging them (and paying interest to the bank for the privelege). The gamble is that house prices will have gone up sufficiently over the next four years, for you to be able to cash out by selling them at a decent profit. The risk is that in four years house prices have gone down, or have stayed more or less the same. In which case you'll need to refinance or continue to subsidise the properties from Australia. For me personally, four years isn't a long enough window to see guarantee that you'll see a return. Link to comment Share on other sites More sharing options...
KIRK AND CO Posted October 10, 2010 Author Share Posted October 10, 2010 You're not owning them you're mortgaging them (and paying interest to the bank for the privelege). The gamble is that house prices will have gone up sufficiently over the next four years, for you to be able to cash out by selling them at a decent profit. The risk is that in four years house prices have gone down, or have stayed more or less the same. In which case you'll need to refinance or continue to subsidise the properties from Australia. For me personally, four years isn't a long enough window to see guarantee that you'll see a return. Ok but the combined value of both houses at present is £400000 with a morgage of £141000 hopfully will work. Link to comment Share on other sites More sharing options...
Peach Posted October 10, 2010 Share Posted October 10, 2010 Hope it works out for you Link to comment Share on other sites More sharing options...
KIRK AND CO Posted October 10, 2010 Author Share Posted October 10, 2010 Hope it works out for you So do I lol Link to comment Share on other sites More sharing options...
Guest guest30038 Posted October 10, 2010 Share Posted October 10, 2010 Ok but the combined value of both houses at present is £400000 with a morgage of £141000 hopfully will work. The value is only what it's valued at.............just try getting someone to pay the value.....I've seen too many folk base their calcs on estate agents valuations and then not realise that price......stories are legend. kev Link to comment Share on other sites More sharing options...
Guest chris955 Posted October 10, 2010 Share Posted October 10, 2010 Sounds like a plan to me, go for it. The UK economy is showing good signs and will no doubt recover well over the next few years so it's not really much of a gamble. So owning 2 houses for an extra £100 a month makes me mad why ? Link to comment Share on other sites More sharing options...
Mongrel Posted October 10, 2010 Share Posted October 10, 2010 A bloke i know had a few bucks ,a lot actually, a couple of months ago he went to the docs , diagnosed with aggressive cancer , poor bugga managed 3 weeks , he would have given the lot away to have time to see his kids grow , you are a long time dead and you dont know whats around the corner so live for today Link to comment Share on other sites More sharing options...
KIRK AND CO Posted October 10, 2010 Author Share Posted October 10, 2010 The value is only what it's valued at.............just try getting someone to pay the value.....I've seen too many folk base their calcs on estate agents valuations and then not realise that price......stories are legend. kev Understand that but it is only a problem if you need to sell. Please look up Newbury Berkshire your be surprised by the amount of money been pumped in i.e new schools,major retailers moveing in, new housing going up. If any of you have put plans on hold for the time been then invest some of your money here as I can see the oz dream becoming more real by the day now & not just a fading dream. Link to comment Share on other sites More sharing options...
woodymcfc Posted October 10, 2010 Share Posted October 10, 2010 A bloke i know had a few bucks ,a lot actually, a couple of months ago he went to the docs , diagnosed with aggressive cancer , poor bugga managed 3 weeks , he would have given the lot away to have time to see his kids grow , you are a long time dead and you dont know whats around the corner so live for today spot on, couldn't have said it better myself.................. Link to comment Share on other sites More sharing options...
KIRK AND CO Posted October 10, 2010 Author Share Posted October 10, 2010 spot on, couldn't have said it better myself.................. They are & always will be or untill they can choose there own path. Link to comment Share on other sites More sharing options...
Bobj Posted October 10, 2010 Share Posted October 10, 2010 Sounds like a plan to me, go for it. The UK economy is showing good signs and will no doubt recover well over the next few years so it's not really much of a gamble. Not from what I read... Stark warning of second recession in UK next year - Business News, Business - The Independent The Press Association: Corporate financial confidence down Budget cuts may see another recession - UK regions | Reuters Cheers, Bobj. Link to comment Share on other sites More sharing options...
Guest chris955 Posted October 11, 2010 Share Posted October 11, 2010 I guess it depends on whether your glass is half full or half empty :wink: Economy grew 1.2% in second quarter, ONS confirms | Digital Look Link to comment Share on other sites More sharing options...
Bobj Posted October 11, 2010 Share Posted October 11, 2010 I guess it depends on whether your glass is half full or half empty :wink:Economy grew 1.2% in second quarter, ONS confirms | Digital Look Then again... Interest rates may hit 8% by 2012 | Uk Recession UK economy to stay in doldrums | Uk Recession UK recession even deeper than first thought | Business | guardian.co.uk Cheers, Bobj. Link to comment Share on other sites More sharing options...
Guest chris955 Posted October 11, 2010 Share Posted October 11, 2010 Yes absolutely, if you type into Google good news for UK or bad news for UK you obviously get very different stories, like I say half full, half empty. :wink: Link to comment Share on other sites More sharing options...
Guest peacock Posted October 11, 2010 Share Posted October 11, 2010 the entry and exit charges on property are to high for short term gains, look towards the stock market, theres plenty of value in there at the moment Link to comment Share on other sites More sharing options...
Bobj Posted October 11, 2010 Share Posted October 11, 2010 Yes absolutely, if you type into Google good news for UK or bad news for UK you obviously get very different stories, like I say half full, half empty. :wink: Not at all, I typed 'uk: recession'....nothing good, or bad. Actually, the glass is always full.:laugh: Cheers, Bobj. Link to comment Share on other sites More sharing options...
Guest chris955 Posted October 11, 2010 Share Posted October 11, 2010 Actually my glass seems to start off full then it empties and I have to fill it up again, it's a tough job but someone has to do it. :biggrin: Link to comment Share on other sites More sharing options...
fleabo Posted October 11, 2010 Share Posted October 11, 2010 For those of you in oz who have money to spare the temptation to move back to uk must be so tempting as you could make a killing with exchange rate plus when the tide turns which it will all you do is move back & make more from your £. There are two assumptions made in that statement: that the exchange rate will get better, and the property purchased will at least hold its value. One more assumption and its a Treble bet. Go for it. Fortune favours the brave. Cheers. Link to comment Share on other sites More sharing options...
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