Old Conservatives don't understand

[motorbiking]

Perhaps they could pay a 3rd party even more money to find out the answer is "it depends".

 

[Notch7]

Ahh so you did your own research of 1 or 2 properties and concluded the industry trackers which show 100s of properties are wrong?

I scrolled many pages of right move

Confirms exactly what I said: rental is linked to property value

Industry trackers like you quoted giving average property values are meaningless: the vast majority of rented properties are 1 to 3 bed properties. The average house price in the Wirral includes many properties over a £1m and not many of them are rented.

 

[motorbiking]

I think you are misunderstanding the data...

Here is the same data presented with more explanation..

BTL sale vs rental income
https://www.zoopla.co.uk/discover/property-news/best-buy-to-let-locations/

 

[Notch7]

Do you think Rents would go up or down, if Values fell? Is it:

A - they are linked so rents would come down
B - It depends on many factors, the demand to buy vs rent are not linked directly as one market can over heat, while the other under performs. It depends on the demographic of the area, the employment prospects, type of property available etc.

False choice

Rent and property value is linked.

Property value links to mortgage cost
Mortgage cost relates to landlord cost
Landlord cost relates to rental cost.

Sure rental and prices might not always be in sync, but the link is always the same:
High property cost = high rental cost
Low property cost = low rental cost



You don’t get a £300,000 flat available for £600 rent a month
You don’t get a £50,000 flat available for £1200 a month

If supply / demand of rental gets unrealistic, either landlords leave the market or renters leave the region

 

[Notch7]

I think you are misunderstanding the data...

Here is the same data presented with more explanation..

BTL sale vs rental income
https://www.zoopla.co.uk/discover/property-news/best-buy-to-let-locations/

Doesn’t prove what you claim

Yield simply means there is a range within rent vs property value ratio

varying yield just proves is there is fluctuation in the ratio, it doesn’t prove there is no correlation

 

[carmanmemoranda]

Some on here would want you burned at the stake for your greed.

Total rubbish.

In fact it's dishonest. And you know it

You conveniently miss out the real question.

 

[carmanmemoranda]

False choice

Rent and property value is linked.

Property value links to mortgage cost
Mortgage cost relates to landlord cost
Landlord cost relates to rental cost.

Sure rental and prices might not always be in sync, but the link is always the same:
High property cost = high rental cost
Low property cost = low rental cost



You don’t get a £300,000 flat available for £600 rent a month
You don’t get a £50,000 flat available for £1200 a month

If supply / demand of rental gets unrealistic, either landlords leave the market or renters leave the region

Again it's all basic stuff.

Mb trys to pretend there's no link. Very few believe him. Does he believe himself is a big question

 

[Deleted member 221031]

varying yield just proves is there is fluctuation in the ratio, it doesn’t prove there is no correlation

Disproved your own point there Notchy.

 

[Deleted member 221031]

I scrolled many pages of right move

Confirms exactly what I said: rental is linked to property value

Industry trackers like you quoted giving average property values are meaningless: the vast majority of rented properties are 1 to 3 bed properties. The average house price in the Wirral includes many properties over a £1m and not many of them are rented.

I’d ask if you’re a landlord yourself, but the answer seems obvious.

Can you be a “paper “ landlord ? lol

 

[Notch7]

Disproved your own point there Notchy.

No

I provided detail, I am sorry that was too complex for you

I note you can’t answer this:
You don’t get a £300,000 flat available for £600 rent a month
You don’t get a £50,000 flat available for £1200 a month

 

[Notch7]

I’d ask if you’re a landlord yourself, but the answer seems obvious.

Can you be a “paper “ landlord ? lol

It seems landlords like Motorbiking can’t answer this:

You don’t get a £300,000 flat available for £600 rent a month
You don’t get a £50,000 flat available for £1200 a month

Yet Motorbiking says it’s not true


It seems Gas112, who owns properties because he thinks it’s good to own them, thinks it’s bad business for councils to own properties


It’s seems some landlords and homeowners are clueless about the facts.

 

[Deleted member 221031]

You don’t get a £300,000 flat available for £600 rent a month
You don’t get a £50,000 flat available for £1200 a month

That’s just a statement, it’s not a question.

Landlords work on a yield. That’s understood

And you’ve still not explained “he can’t, he won’t” how landlords make money out of maintaining their properties!

 

[motorbiking]

No

I provided detail, I am sorry that was too complex for you

I note you can’t answer this:
You don’t get a £300,000 flat available for £600 rent a month
You don’t get a £50,000 flat available for £1200 a month

Your examples are stupid and extreme. But you knew this.

If you look at the zoopla article. You will see there are many places where a £100k property can yield £700-£900 you will also see that there are many places where you can’t get much more income for double the budget.

You will also see there are many examples (again look at the market data) where house prices have fallen and rents have increased.

 

[carmanmemoranda]

Your examples are stupid and extreme. But you knew this.

Oh the irony

 

[Notch7]

Your examples are stupid and extreme

No they aren’t, I did searches on right move, those examples are in line with actual real world pricing

You will see there are many places where a £100k property can yield £700-£900 you will also see that there are many places where you can’t get much more income for double the budget.

If you did a graph of rent versus property value, the 2 lines would go in the same direction, even if they aren’t parallel to each other.

It doesn’t go in the opposite direction, does it?


By the way it’s not hard to work out that the regions in the U.K. which have higher yields…mean landlords would be looking for properties in that area…..and that increases prices. So supply / demand always works to make rent and property value be in sync

I note you say “you will see many places” I note you’ve not provided any examples.