I've been scanning through my investments recently and it's depressing.
Landlords get professional rates of landlord insurance
Shares portfolio decimated
My diminishing cash pile is now attracting a paultry 2-3% intrest
Property portfolio value slumping by the day
Bright spot
The only bright spot is the profitability of my rental business. After several decades of accepting that renting out property doesn't make you any income - but generates profits through capital appreciation. The recent reduction in interest rates to 3% and the likelihood that they could slump further to 2 or even 1% will do wonders for my portfolios rental profitability. Luckily a couple of years ago I remortgaged and benifited from some great tracker rates of just above base rate (now alass just a distant memory). The result is that each property is generating a couple of hundred quid of income each month in income. In these increasingly desperate times (2% off VAT - whats the point of that!!!) then it's nice to have a series of a couple of hundreds dripping into your bank account each month. Even when the tracker rates end then the nature of buy-to-let mortgage rates is that they often revert to a base rate linked interest rate. In my case + 1.75%. A few years ago - horrendous. Now with interest rates so low not so bad.
The other great thing about these rental profits is that after years of rental losses my rental profits can be set against previous rental losses. This means that I'm not having to pay out any tax on it to fund the Governments idiot tax cuts.
Please Gordon do the decent thing for the sake of Prudence resign!
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