With Europe heading for austerity it makes me think that the UK outside the Euro has a sporting chance of fighting it's way out of the debt fueled mess. Look at the way another small island country Iceland has managed to resurrect itself from it's banking crisis.
Threat to landlords
The big threat to landlords is that tenants hit by austerity and job loss struggle to pay their rent. One way of potentially protecting a landlords cash flow is to take up rental insurance. Personally, I have preferred to go down the route of carefully vetting my tenants first and then when in doubt obtaining a tenant guarantor. If my portfolio remains fully let this will give me some fantastic positive cash flows. Who knows with the gloom in Europe continuing to deepen and the likelihood that holiday apartment prices will keep on falling in holiday destinations I could well be writing my blog article next year from my newly purchased European holiday apartment. European gloom could well be Britain's boom if we play our cards right.
Mortgage Search - whole of market
Not all the EU: I've lived and worked in Austria, France and Germany, and in expensive and popular destinations - and the rents there for modern, pleasant, warm flats were cheaper than a damp, cold house with the same no. of bedrooms in the North of England. UK rents are high! Iceland rescued itself because the women sacked the male bankers and took over managing the banks and government - see google "iceland government overthrown".
ReplyDeleteOur lesson - to fight for VAT reduction on renovations, so bring more housing stock on line so more people can rent, so increase the no. of people able to afford properties so increase the chance that lenders will loan to landlords for property renovation and investment. Don't think it'll happen - we're selling up this year! 6-bed house in Oban anyone?