Property Investing - The Truth is Somewhere in the Middle

I remember buying a 3 bed house back in 1999 for £105,000.

I had a letting agent come around to give me a rental valuation on it.

He arrived and exclaimed that I was mad buying property.

He went on to tell me his tales of woe, how he built a £3 million pound property portfolio during the eighties and lost the lot, as rising interest rates crippled him.

He believed that property was at its full price and was not going to produce a good return.

He was evangelical that property made a bad investment, understandable following his experiences, to him property investment was akin to dancing with the devil.

This brings me to the worrying return of the parasite 'Property Gurus??', who have started to re-surface following the recent property price 'boomlet', trying to entice novice property investors into highly aggressive investment strategies with very high gearing.

These property investment evangelists are like all evangelists, powered by blind faith and the opportunity to lead poor lambs to the slaughter whilst slicing off large chunks of commission.

If you are considering entering the church of property investment please open your eyes and realise that all their sales pitch and quasi-mathematics are based on past performance, and as we all know this last decade has been an unprecedented one for property investing.

By the way I rented the house for £1300 a month for 4 years and then sold it after 120 percent capital growth.

Open your eyes and realise the truth is often somewhere in the middle.

Discounted Landlord Insurance