UK Landlord Forum / Life

I found an interesting article on thisismoney.co.uk about amatuer landlords struggling. Basically, there's a casestudy about a lady who purchased the wrong property. She purchased a new build property on a buy-to-let mortgage. Buy-to-let mortgages are based on the expected rental return. She estimated she would be getting the top-end of her expected rental income.

Unfortunately, she never got the rent she was hoping to get, because of the overpopulating new-build properties, and now she's struggling with her repayments.

Full story here

I'm not entirely convinced it's an "amatuer landlord" mistake per'se. I'm an amatuer, and I understood the basic concept of supply and demand. The lady in question obviously didn't do her research- she purchased in an area where demand isn't as high as supply, hence the struggle.

Only thing is, it was Inside Track who recommended the properties to the lady. They should know everthing there is to know.

So basically, in this unsafe market is it still worth investing in buy to let? It is a buyers market!
From wht I understand of the programme refferred to the buyers were involved in a property company/scheme, and bought new, should they've researched more, and looked into other areas rather than comitting to what appeared to be a safe option?

Quote from: catfurcoat on April 17, 2008, 06:50:55 PM
So basically, in this unsafe market is it still worth investing in buy to let? It is a buyers market!
From wht I understand of the programme refferred to the buyers were involved in a property company/scheme, and bought new, should they've researched more, and looked into other areas rather than comitting to what appeared to be a safe option?

I'm a firm believer in the fact that ANYONE can buy property in any market, but it takes a GOOD property investor to squeeze money out of a property in a tough market. All it takes is solid research!!

It's always a buyers market, in my opinion!