Warhol's pronouncement of 'fame for fifteen minutes' has, through the onset of You Tube, Blogs and other Social Networks been proven to be truly prophetic.
What he didn't predict was the brigade of 'wealthy for fifteen minutes' property investors that have flourished over the past few years.
These landlords, speculative property investors, blind believers, greedy wannabes, unfortunate casualties or however you choose to describe them, believed they were millionaire speculators for a few years. Investing in numerous properties, and seeing their enlarged portfolios as a one way bet to a fortune.
However for many of this aspiring 'in crowd' they turned up after the party was already over and Studio 54 had already closed down.
There paper wealth has dissolved and many of them are seeing profits turn to losses.
The Council of Mortgage Lenders has predicted that 75,000 homes will be repossessed in 2009, almost double the 40,000 of last year, how many repossessions will come from these high octane speculators.
Many landlords are seeing rental losses from poorly advised investments, and if as predicted interest rates shoot back up over the coming years we could see thousands of landlords going under.
I can see a bigger hangover than is already predicted with some of these landlords having gobbled up tens and in some cases hundreds of precariously valued properties that could come gushing out as repossessions.
Unprecedented times are always unpredictable, which is why I have been sitting on my hands for the past six years, waiting for the next big thing.
Free property management software, Free tenancy agreements
Landlords buying with business partners should be aware that their business partner (NOT their wife/husband/ family) may inherit their share if a lazy solicitor/ conveyancer doesn't set things up properly!
ReplyDeleteSteve