Forum Topic

Buy to Let out of control?

It seems that Hounslow has the biggest proportion of Buy To Lets in the South East.Some people have 30 plus Buy to Let mortgages and many Buy to Lets have been taken up in volume by those who qualify for low cost special occupation deals which are supposed to be for their own home.Indications are it's near 90% of occupied new build leaseholds locally are now let via a third party.Then there's the huge amount of empty investment properties not even being rented out.Little wonder we have such a crisis for proper long term homesAre publishable records kept of this? Should people hold multiple loans for Buy to Let? Quite different to investing your own money in a property.This is why it is so difficult to get on the property ladder, everything is being hoovered up by those acquiring Buy To Let and using loans or business finance.The rental market her is now saturated and the good news is rentals are going to plummet. But that means good landlords will also have to cut back on costs.Should this not be addressed by our prospective MPs?

Raymond Havelock ● 3029d2 Comments

From a corporate meeting with some estate agents. It just came out in the presentation and have today asked for the source of the stats.However it seems that multiple purchases using mortgages is very high in the borough and may not even be fully legal but so far no government or authority has yet looked into this fully.

Raymond Havelock ● 3028d

Interesting figures - where did you get them from?Buy to let isn't a bad thing in itself. Much of it now seems to be done by people planning for retirement who aren't getting a defined benefit occupational sector. Yields on most investments are so low now that residential property is one of the few that offers a reasonable yield. Even so you probably need to have several properties if this is your main source of income.On the buyers side it is not just that prices are so high that people find it difficult to get a mortgage but controls on who banks can lend to are so strict that many people are unable to buy.

Paul Corcoran ● 3029d