Member Info for parkez

No they are not....there's a time element.

Yes I know...legal duty.

Have bought repossed...if the market is solid then a fair price will be achieved...if a crash they are off loaded to whoever.

The good news is property demand is still extremely high...

Well where I live it is.

I have property rentals...I have btl mortgages.

I can access my accounts online...these give me my mortgage holders valuation of the mortgaged property.

They are extremely overvalued...and I mean by 20% or more. I know what they will sell at....nowhere near their valuation.

But of course figures are there to be manipulated.

I don't hold or have any intention of buying lloyds shares. I just see people on here rejoicing at the high rates, just thought I would give my view as to why you should be careful what you wish for.

Just had a look...they are offering 95% ltv.

Large drop?

"a selling price is the market value"

Sorry not in all cases...plenty of property investors buy BMV...usually repossed properties.

A property is not necessarily worth the same value as when it was valued prior to mortgage approval.

In a housing boom...they were often over valued to clear the mortgage application.

Lack of maintenance, vandalism, poor decoration can reduce the value.

A low loan to value is not fool proof.

"It's a balancing act - and I'm getting greedy "

And there lies the real reason for inflation!

The relation to lloyds is default payments to lloyds.

Repossed houses that always sell below market value plus administration costs and lack of payments over such period.

My point is high interest tates is not all rosy for lloyds...especially being landlords also.

I'm working class, I work with working class people.

Of course we are heading into recession...how can we not.

Base rate at 6%....guaranteed recession, housing market crash...and redundancies.

Yes the tenant loses the right to live in the property.

So what does the landlord do...serve notice on the 1st missed payment?

Not pay the mortgage because the tenant hasn't paid?

Pay the mortgage and hope the tenant catches up?

If notice is served due to none payment...how many months without rental income for the landlord?

Whats if the same scenario for 2,3 or more properties?

Yes people are still in work...thankfully.

Let's hope it stays that way.

Well that is those who actually qualify to work.

Mortgage rates may not be as high in the past but they account for a larger proportion of your income.

You are forgetting in the past there weren't such things like mobile phones, broadband, Netflix etc.

All expenses...

The original mortgage may have been low ltv ...but what about people who have added, remortgaged...took our secured loans on the same property?

BTL mortgages...the tenants struggle to pay...who pays then?

People I know...cashing in pensions, taking early retirement because they can now earn off that income.

Its fueling a labour shortage...pushing up labour shortage...pushing up prices.

Taverham,

In theory sounds plausible...in reality, these people are now

Benefitting from higher rates.. earning income from savings and therefore have more money.

Those without have one aim in life...to clothe, feed and put a roof over their heads....all essential. This will continue.

The rich are just going to get richer...those at the " bottom" will continue to carry on..

But as I say...repossessions and rental evictions will become the norm.

So you can rejoice on high rates feeding lloyds profits...but this will be eaten by defaults and evictions.

High interest rates was not the answer...but its the only ammunition they had.

Just wait for the reversal...won't be long.

What will happen when they reduce the amount people have to spend.

Houses will get repossed, tenants will be evicted.

But people will still eat.

Really!

So if I have no money i don't need to feed my face or have a bed to lie in?

Inflation is not unnecessary consumer spending led...interest rate rises will lead to recession, the Government know that ,but it is going to happen which ever way they play it.

Interest rates have gone up purely so they can bring them down again...which will happen sharpish.

Its all games...they have to be seen to be taking some action.

How do you reduce demand for food and housing?

The 9.26 is my buy,

It seems my trade is the odd one out...tells a story maybe?

You will never know, I will never know....

Its just another trade.

No problem, sure you will be happy with it.