I don't buy a paper but I often see them lying round and will pick them up if there as an eye catching headline. By eye catching I mean a topic of interest as opposed to some clever play on words.
Anyway, walking through the golf club this morning this Times headline really caught my eye:
Banks pull the plug on buy-to-let landlords
This could be very serious I thought. If they are going to foreclose buy-to-let mortgages there's going to be a flood of property on the market, depressed prices all round. This could be very good for first time buyers and I may be able to pick up a couple of cheap properties at the start of a new BTL cycle. So over I strolled to read the article:
The era of the amateur landlord has all but ended, with banks effectively refusing to lend to new entrants to the buy-to-let market.
Thousands of existing landlords also face huge increases in the cost of remortgaging, experts said yesterday.
So in reality BTL owners are going to be treated the same as anyone else with mortgages and face the cold wind of higher interest rates.
Not quite what the headline implied.
1 comment:
Yes of course it's a wild exaggeration, but these restrictive lending practices will still make one hell of an impact. And as you say, in a couple of years' time it will be time to start snapping up properties again.
Unless I am in power and I introduce 'Property Bubble Tax' of course.
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