Investing In Property Long-Term Has NEVER Failed, So Don’t Get Feared Out Of The Game

Long-Term Property Investment Has ALWAYS Prevailed

Many are speculating, with good reason, that we’re at the peak of the current property market cycle and the point of capitulation is nearing. That means anyone that purchased property recently, will likely feel – at the very least – a sledgehammer to their net worth. That’s going to scare people, maybe even you.

There’s a storm brewing. I feel it in every fibre of my strap-on.

However, I believe we, as property investors, should take comfort and privilege in the fact that we have stored wealth in property during uncertain times, and no one should be feared out of the game unnecessarily! Alas, it happens during every downturn – landlords panic and in extreme cases throw in the towel, for all the wrong reasons.

I don’t know the future, no one does, it’s entirely possible that the source of my unnerved core is my gut struggling to digest last week’s seafood chowder. But I do know that if the market doesn’t shit the bed any time soon, it will eventually, and before that happens, I want to share with you what happened to me in 2008, during the most epic economic shit-storm in my lifetime.

This blog post is for any sensible landlord/property investor that tried to do things the right way, but finds themselves in fearful market conditions, whether it be in 2008, 2022, or 2150!

If you’re feeling anxious or concerned about your landlording and property investment endeavours, I hope my story gives you hope…

What happened to me in 2007-2008 (during the previous property crash)

I know many of you were around back then, albeit with fewer grey hairs and less saggy ears, so you went through it with me. I remember it vividly, like the first time I discovered sexual intercourse standing-up is not effective contraception. Horrifying.

Window Shopping

There was peak euphoria, and everyone thought property prices could *never* decline ever again. Property TV shows like Sarah Beeny’s Property Ladder had exploded in popularity, giving every dumb-arse hope of effortlessly obtaining property millionaire status.

Your favourite dumb-arse just happened to have purchased 2 properties in 2007, literally at the tail end of an almighty property boom. I may have experienced 6 months of growth before the global markets fell on its arse overnight. One day I was window shopping for a Lambo, the next day I was flogging my nan’s used Tupperware on ebay without her permission.

The financial markets could not take the abuse anymore, so it finally snapped.

  • Property prices declined between 20-50%
  • Repossessions and defaults skyrocketed.
  • Borrowers could not remortgage because they suddenly found themselves drowning in negative equity (their debt exceeded the value of the property), which meant:
    • when borrowers came out of their fixed-rate term, they were stuck on exorbitant standard variable rates (which many couldn’t afford);
    • borrowers would need to invest more capital into their sinking ship if they wanted to remortgage.
  • People panic sold and cut their losses, and mortgages became harder to obtain (20% deposit became the minimum), both of which added downward pressure on house prices.

Yup, they were bloody awesome times. I used to sleep with a sick bucket next to my bed.

Interestingly, before the crash, BTL mortgages were so comical that they were based on potential rental income, and not the income/salary of the borrower. Can you imagine?

In hindsight, the crash was inevitable. The financial world had taken ‘complacency’ and injected it with anabolic horse steroids, dishing out 110% mortgages (yes, really!) for fun, to people that didn’t have a pot to piss in. I’m getting a similar whiff of evitable doom right now – with all the money-printing and hand-outs that occurred during the height of the pandemic, it feels like somethings gotta give.

In any case, bone me in the ass with a wooden mallet, 2007/2008 was a catastrophe. I was scared.

  • My 2 properties dropped by 30% in value.
  • I had 40% equity in each, so I was left with 10% by the time we hit the bottom (not enough to remortgage anytime soon). Can you imagine what happened to those that bought in the peak with a 100%+ mortgage? Total annihilation. That’s precisely why my best advice for new landlords has always been to ignore those that shill short-cuts and get rich quick schemes, but rather, focus on building equity from the offset (i.e. put down big deposits and clear debt). I know how quickly the tide can turn, and if it does turn while you’re gambling… OUCH!
  • I had to endure horrendous stretches where my rental income was significantly short of covering my overheads.
  • Anxiety levels were off the charts. I went through all the emotional clichés, most notably feeling like the situation would never improve.

Just to clarify, I do NOT believe things are going to get that bad during this cycle.

What I did during the property crash to survive

First and foremost, I didn’t sell shit. Cutting my losses was not an option, even though many of my peers were doing exactly that. Screw that, breaking-even wasn’t even an option. Who is here to break-even?

When I buy a property, it’s a long-term BTL investment strategy, and that means:

  • 10 years minimum investment
  • The up and down trends in-between are irrelevant when I don’t plan on selling
  • I expect some pain during the process
  • Only sell into a booming market, not into a torpedoed one
  • Don’t try and time the top or bottom of the market

My strategy to navigate through the crash was simple:

  • Listen to the facts, not my emotions or the doom-and-gloomers. The facts do not lie: property prices have always trended upwards over time, and until the facts change, I have no reason to believe history won’t repeat, or at least rhyme.
  • Continually remind myself that I didn’t enter the game to buy high and sell low. It’s easy to lose focus on why we’re here in the first place when things aren’t going to plan.
  • Not to panic, and to carry on with business as usual, adjusting the strategy accordingly.
  • Aggressively overpay debt as much as I could.
  • Buckle down and make more money. I had a full-time job and worked part-time at the weekends.
  • Remortgage onto better deals at every opportunity

Was it tough? Did I have to make sacrifices? Pissing hell YES!

What happened 10 years later?

I’m massively up on both investments; they’ve pretty much doubled in value and are producing high-yielding rental income.

Shhhheeeet, I’m sitting here iced up to the gills. How many carats you got up in your pie-hole, playa? I’m flexing 50 G’s every time I open my freakin’ trap.

Killing the Landlord game

What ya got? Four cavities filled with mercury? Shouldn’t have panic sold your merchandise, bruv!

I can tell you, without any doubt whatsoever, if I had listened to all the Debbie-Downers that were shitting on my lunch and in their pants, calling for the end of the world case scenarios, I would never have forgiven myself.

One of the properties is mortgage free today, the other has a 20%’ish balance remaining, with cheap debt (0.89% interest rate). And as soon as that mother bitch exceeds my savings account interest rate, I’m going to switch the loan’s lights out ASAP (i.e. overpay the debt).

I’m not rich, but I’m richer, and I’m getting closer to meeting my objective.

Patience and focus. Do NOT panic.

What’s my point?

I got through the pain before, and I’ll do it again with you.

If you’ve invested sensibly and you’re ever in doubt, widen your timeframe, and believe me, history says you will be absolutely fine. Investing in property long-term has NEVER failed. Until it does… *sticks fingers in ears* LA LA LA LA!

Hell, there might come a time when I do panic and become fearful, but I won’t allow those emotions to dictate my next steps.

What is the most fundamental aspect of property from an investment viewpoint? There will always be demand for it. You cannot say the same for precious metals, stocks, crypto etc. That should be comforting for every landlord, even during the darkest of times.

That is precisely why I consider BTL the best investment.

Why incoming property crashes do NOT fear me anymore

In times of uncertainty, human psychology will always provoke irrational fear in people, and those that fall victim will not fail in trying to spread their fear like the plague, that I am sure of. They will always be the one that:

  • insist it’s impossible to make money from property anymore!
  • insist “it’s different this time“, the property apocalypse is here for real!
  • liquidate their assets and encourage everyone else around them to do the same, often insisting the best approach is to “time the market” by selling low and waiting to buy back in lower. Yes, like trying to catch a falling knife is ever a good idea.
  • list everything wrong with the market, from economic to legislative concerns.

It happens EVERY TIME when people get fearful, and it just becomes a self fulfilling prophecy for those pay attention. Listening to the negativity is draining and it can be infectious. In reality, the negative Nancies just want you to feel as fearful as they do, which is why they spread fear.

I’m seeing very early signs of the same patterns I saw in the previous crash.

Know why I refuse to believe them, remain positive and focused on my own path?

Because nothing has changed!

The past has written the future, so anyone that feels forced to make irrational decisions either has no choice (i.e. they have taken on too much risk), or they’re needlessly being feared out of the market. Many fall into the latter camp, and that shouldn’t happen, because until a fundamental shift occurs, why should we expect a different outcome?

Booms have always followed busts. So as I’ve said, until the facts change, I ain’t listening to shit. Don’t tell me the sun won’t shine tomorrow when it’s been doing it every day of my entire life.

I will stick to the game plan with confidence.

Here’s the real irony: because I didn’t make any rash decisions during the previous crash – even though it was damn compelling to do so – I’m now in a position to scoop up a bargain once we enter the darkest depths of the next bust phase of the cycle. That’s how you do it.

My story is not unique, it’s one of thousands.

Property crashes are healthy and necessary

As much as it hurts, price corrections are healthy – nothing can go up forever – they cleanse the market of viruses (i.e. greed).

During the last crash, the bulk of casualties consisted of those that took on excessive and unmanageable debt. I believe that will happen during every crash, but not to the same degree as the last one, because since then the criteria for lending became significantly tighter. Lessons were learned.

However, during this cycle, a different virus has emerged. A new one always does.

I’ve been very vocal about my concern regarding The Toxic Rise Of Social Media “Property Experts”, selling dog-shit property courses for silly money, teaching nonsense like rent-to-rent, and various other “low-entry” methods of investing in property. Essentially, unsustainable junk.

I predict the resilience of these schemes are going to get tested and exposed during the next storm, and the participants are going to form the bulk of the casualties. It won’t be a slow and painful death either, it will be a prompt slaughtering, because these particularly flimsy and over-leveraged strategies are designed to function in only ONE type of environment: a blossoming one!

It’s likely interest rates will continue to rise to help curb inflation, resulting in less money circulating in the economy. As always, the people at the bottom will get hit first and the hardest. In other words, rent arrears will increase, and that’s when the Rent-to-rent landlords are going to realise why propping up sub-letting portfolios with pennies is just plain silliness.

Final thoughts

My intention isn’t to encourage anyone to buy, sell or hold, I can’t make that decision for anyone. My intention is to encourage you to remain confident in the process, and not to lose conviction during tough times, because the odds are heavily in our favour. So make the right decisions for yourself on your own terms.

I want you to succeed.

If you ever find yourself wondering if the slog is worth it, I hope the sweet-ass rocks in my gob answers your question. That’s a 50 G smile, baby!

Stay strong, my friends xoxo

40 Join the Conversation...

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Stal 9th May, 2022 @ 10:42

Great piece as usual. Even if I don't agree with some of your posts(sad thing is I do agree with nearly all of them!) they are always enjoyable and fun to read. Keep it up Landlord blogger.

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Padrone di casa 9th May, 2022 @ 10:42

Don't panic is great advice. It's Government action that worries me more than fluctuations in property values.

I will never be able to forgive the Labour party for considering allowing tenants to buy houses from their landlords (at unspecified discounts) a few years ago. A policy beset by serious problems: bad for landlords obviously; it would kill the PRS overnight, so no homes for future tenants; and bad for other property owners as landlords raced to sell up, flooding the market and reducing prices.

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Edna van der Meer 9th May, 2022 @ 11:02

Thank you. Always read your posts but this one has calmed me down and I'm almost relaxed.
Only have one rental but it's my "pension" and all of a sudden not covering the bills (energy of course). But will keep going and stop panicking.
Thanks.

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Sue 9th May, 2022 @ 11:19

OMG!!!
Stop it!
Your blogs always have me laughing but this just made me pee myself!!!
Thank you, your advice (IMO) is always first class but I just love the humour..... keep it coming :)

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David 9th May, 2022 @ 11:50

@Flossy

Great fun as always, particularly enjoyed the reference to your strap on. I managed not to pee myself this time but spat out coffee all over desk and keyboard.

Certainly the conditions are potentially there, but there are two things the Government could do to prevent it, sadly not sure they even want to know.

Ministers have a machine at Parliament to prevent any communications, it just tells you to contact your own MP and if you do manage to find a departmental email you can be sure that the Civil Servants hate the Ministers and will shred it or hide it so they can discredit the Minister down the road.

I wonder if you have been watching Peter Zeihan on GEOPOP20 YouTube channel.

He predicted Russia invading Ukraine back in 2015 and 8 other countries to follow, he is very irritating because his underlying economics are spot on, albeit that they assume no change or intervention by Governments

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Jools 9th May, 2022 @ 12:05

Was there with you at the start and had the same issues my brother....

Slightly different here as I move closer to retirement, looking for the out at some stage for some properties. Always fun wondering WTF to do lol.

Hope that boiler is still going strong....

Keep the faith buddy.

Jools (Yes that one you wrote about a long LONG time ago lol)

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Yashamoto 9th May, 2022 @ 12:49

As a landlord of many, many years, I vaguely remember that 'crash' but it made little or no difference to me because probably like many landlords, I wasn't looking to sell anyway. In truth it was the opposite, is when I bought more property and ex homeowners increased the numbers of tenants on the market. 'Bull' or 'Bear' property markets generally make little or no odds to me or to most tenants (they still need somewhere to live).

Provided you've hopefully bought sensibly in terms of price paid, equity invested and in an area with at least reasonable potential for tenants and want to hold for medium to long term, then buying and selling properties is like a horse race but with a fundamental difference, you decide when the race ends!

Given you hold property on the criteria above there is only one real way 'the arse will fall out of the market' and that's when they build more social housing and every year so far the disparity between new build and those wanting/needing to rent only ever increases. People have to live somewhere and property prices become increasingly unaffordable for more and more people. It's all about 'supply and demand' there's never been enough housing and demand only ever increases. Absolutely legislation is an increasing P.I.A. but does not alter the fundamentals of why good property investment is extremely worthwhile if you can handle the downsides of being a landlord.

All too often, I've heard "time to get out of the property market" or "the market is going to crash" etc etc and is generally from those who hope that's going to happen so they might get on the property ladder, or those who are totally risk averse (e.g. my wife) or those that are envious they didn't do it when they had the chance(s).

So my advice for what it's worth, would be to sell up for your own sound reasoning (assuming that's what you used when you bought). Don't sell up because 'a mate of a mate's auntie's nephew' or any other source including headline grabbing newspapers/broadcasts say so. Life is full of 'doomsayers' because they're either envious or simply they prefer people to be the same as them and not take chances in life. Heed your own counsel not others!

Interestingly people used to think you were brave or astute buying property to let and being known as a 'landlord' was no particularly bad thing but for an increasing number of years we are being presented as pariahs who must be quashed, so much so, I now avoid even more so, letting people know I am a landlord unless I have a property to let and they are suitable prospective tenants.

So in most factors of being a landlord is a case of "nil desperandum carborundum!"

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Tim W 9th May, 2022 @ 12:59

I think the bust is inevitable. So much money has been pumped in to the economy, the only place it has to go is assets. Hence, there has been an increase in property value. Too much money chasing the same amount of goods leads to inflation (I did say this 18 months ago).

So what’s going to happen now? Interest rates will have to rise, but the pain will be delayed because a lot of people are in fixed rates for 2-5 years. The interest rates we have today are not normal, really not normal. Just look at any historic graph for the last 250 years. As mortgages are due for renewal, interest rates of 6-8-10% will Really hurt over-geared investors.
The other likely storm is rent arrears at the bottom end of the market. Those on benefits and low income will prioritise food and heating, this is going to create a wave of tenants unable to pay the rent in winter 2022.
A balanced portfolio and low gearing will help weather the storms.

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Lůca 9th May, 2022 @ 13:04

Just laughed and tried not to spit my coffe out but it came out of my nostrils. Thank you for that. Anyway, I always enjoy reading your blog. It helped me get my first BTL before the boom properly kicked off last year. Please, keep your advice/suggestions coming.
Thank you!!!

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The Landlord 9th May, 2022 @ 13:52

@Stal Thank you, appreciate it. And glad to hear we're on the same wavelength :)

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The Landlord 9th May, 2022 @ 13:57

@Padrone di casa

Yeah, I agree, I'm generally more concerned with Government action. But again, I don't think that's anything new - when aren't landlords worried about that? We're worried about Section 24 this cycle, we'll be worried about Section 9999 in the next one.

I honestly don't think that idea from Labour would have ever taken off. I'm not even sure if it was confirmed. There are *always* crazy party policies floating around; I think they just throw random thoughts *out there* to see what sticks with the public.

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The Landlord 9th May, 2022 @ 13:59

@Edna van der Meer
Super glad your nerves have been calmed. Honestly, it will be fine, we just have to ride out the storm. We're all in this together, remember that.

In the grand scheme of things, this will be a tiny blimp in the rear view mirror.

Trust the process :)

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The Landlord 9th May, 2022 @ 14:00

@Sue,

Ha, thanks, appreciate it. Glad I helped you empty the tank, if anything?

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The Landlord 9th May, 2022 @ 14:07

@David,

Ha, thanks D! Sorry about the coffee-stained causalities.

I stopped relying on the Government to help "the every day man/woman", because it usually ends in disappointment. I think it's safer to make plans on the basis that they're going to completely screw things up. They *must* have known the end result of increasing the money supply by so much.

Not heard of Peter Zeihan or GEOPOP20, but I will check it out later.

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Sharon Thomas 9th May, 2022 @ 14:10

Hi
Love your posts I find them really useful and written in such a humorous way. Long may they continue.

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The Landlord 9th May, 2022 @ 14:14

@Jools !!!!!

I can't believe you're still here. Great to hear from you, my man.

No joke, I was actually wondering where you had got to a couple of months back, so I checked the forums to see if you were recently active. I feel like I rubbed a Genie's Lamp, and *poof* here you are.

I remember going through it with you. My God, I can't believe how quickly time has flown.

Haha, boiler still going strong, thanks! To be fair, I don't people/my tenants use boilers as much anymore - too expensive to run - so that should increase the lifespan.

Yup, as long as you're making decisions on your own terms, that's all good.

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The Landlord 9th May, 2022 @ 14:24

@Yashamoto

100% agree! The key is to make decisions on our own terms. It might be rational to sell during a declining market for someone, which is fine, I just don't want people to make irrational decisions and lose out. I saw it happen to too many landlords last time. It was senseless.

I think that's a great opening point you made - the turbulent times end up being blips in the grand scheme of things, that's why taking a step back and widening the timeframe is so helpful to appreciate and understand the bigger picture at play.

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The Landlord 9th May, 2022 @ 14:31

@Tim W

I'm inclined to agree with everything you said.

I actually said the other day that I wouldn't be surprised if interest rates reach 5% by the end of the year. That seems very reasonable given the state of inflation right now. I don't see any other option, unless the Gov decide inflation is a better option than a potential recession! In that case, turn on the money-printer again... yikes!

But yes, as long as people have invested sensibly, and not over-leveraged themselves, the pain will be real, but hopefully short-lived!

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The Landlord 9th May, 2022 @ 14:35

@Lůca

Haha, lovely! Better out than in, I guess?

Amazing, glad to hear I managed to assist you with your journey! That's brilliant.

Thank you :)

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gary thomas 9th May, 2022 @ 15:11

Good to hear the same things from you that I’ve heard elsewhere and to be honest the same conclusion in the cold dark of night I had come to while laying awake considering the future.
I started in 2017 with my first property funded from remortgaging my own house. I now have 6 in total.
All remortgaged last year on 5 year deals ..!
I keep telling myself that a downturn in the market is only an issue if I sell, which I’m not. I’m a bit twitchy that I’m not paying off any of the debt right now but I’m aiming for growth until I have 10 properties.
Will see where we are then. !
Thanks again for the blog. Much fun.

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Patsy 9th May, 2022 @ 15:29

"You will own nothing and be happy" Klaus Schwab

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The Landlord 9th May, 2022 @ 15:31

@Gary
5 year fixed is good! I would definitely feel more comfortable being in that situation right now, so at least you can manage your cashflow and you're protected from interest rate hikes.

If anyone is in the position to remortgage, fixing for 5 years would be my go-to, because as said, I only see rates increasing over the next few years!

That's absolutely right, it's only a loss if you "realise your losses" (i.e. sell at a loss).

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mikeLL 9th May, 2022 @ 16:03

Fantastically witty and accurate as always. Some really good posts by others too. Yes the long run is always the way in Property. Like others the Governments meddling are my biggest gripes. I don't mind the legislation that makes properties better and safer but the impact of the mortgage interest is the one that hurts the most. Everything else is just one big cycle.

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Yash 9th May, 2022 @ 16:49

I discovered your blog a few years ago and it’s always been level headed advice thank you keep up the great work🙏🏽

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Laura 9th May, 2022 @ 17:00

Brilliantly funny as well as helpful thank you!

I have one property with a 75% deposit, would you recommend re mortgaging when prices drop to grab a second property on the cheap and does everyone insure their rental payments? £35 a month seems a lot but I’m risking if I don’t.
Thoughts appreciated thanks

Laura

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Henry 9th May, 2022 @ 20:47

A really good post, even better than your usual standards.

If anyone wants proof of what you say about property values rising in the long term, here's an amazing example I know of:
A building plot for one house bought for £500 in about 1962 (yes, really). Worth about £13k in 1980. Sold for £270k 2 years ago, and now built upon.

So a 53,900% increase between 1962 and 2020, averaging 929% per year (or a 1,976% increase, averaging 49% p.a. between 1980 and 2020) unless my maths is rubbish. Unbelievable, but true.

Would obviously had a different outcome if say it had been near coastal erosion: in which case it might not still exist either.

Quantitive easing (effectively printing money) has a lot to answer for in terms of low interest rates on savings, making it worth putting non- day-to-day savings into property.

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Stephen 9th May, 2022 @ 21:39

Thanks for a great insight into what is coming. Well written and factual, mixed with humour.

I for one am waiting for property prices to drop. Why? So that I can roll some of my properties. By selling at a lower price, I’m going to pay less Capital Gains Tax. And then reset the starting price when I buy it back at the new price. For example: If I bought at £100K and sold at the current value of day £200K, That’s £100K to pay CGT on. (Less annual allowances of course). If the value drops to say £150K, I only pay CGT on £50K, less the annual allowance. Because I’ve reset the starting value at £150K, any future growth is based on that figure, not the original £100K. Added to which, I get two lots of annual CGT Allowance. This obviously works best on property with low or zero outstanding debt, since any new mortgage will no doubt be at the new higher rates.

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The Landlord 10th May, 2022 @ 08:00

@mikeLL
Many thanks, appreciate it.

I think Section 24 is the standout issue, it's spooked a lot of landlords. I try not to think about the change, because it's infuriating.

The only silver lining is that I hope it encourages more landlords to reduce debt, so they're less impacted by it.

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The Landlord 10th May, 2022 @ 08:20

@Laura

Thank you :)

Obviously I can't give you financial advice, plus I don't know your circumstances in detail.

Personally, I never remortgage to release equity, because my objective is to reduce debt as quickly as possible. I prefer saving for a deposit. However, I appreciate that's not the only sensible option and it's not for everyone, especially for someone that wants to scale during the downturn and doesn't have access to large amounts of capital.

So if I was in your position and wanted to scale, I *personally* would do the following:

- Remortgage ASAP (presuming I'm out of the fixed period) and release 25% equity maximum (the less the better), that means leaving 50% in the current property. How much I would need to release will depend on the budget for the second property.
- Fix the new mortgage for 5 years on repayment.
- Put the cash in a high-interest *variable savings account and continue topping it up as much as possible.
- Wait for an opportunity, and put down at least 30% on another property. The larger deposit the better.
- Once the second property is purchased, overpay it as much as possible because 1) the debt is likely to be more expensive on that property 2) it has less equity.

If I was pretty confident I was going to buy a second property during the downturn by releasing equity, the reason I would remortgage ASAP is because I suspect interest rates are going to rise rapidly over the coming year, and if that happens, mortgages will get more expensive, so locking in a good rate as soon as possible seems the way forward.

*Plus, that means my savings will benefit from higher interest rates, so I'm going to avoid getting a fixed interest savings account right now.

The one thing I would avoid is spreading my equity too thinly, because that's when/how negative equity happens.

Again, not financial advice, but that's just how I would do it. I hope it gives you food for thought.

Maybe others can also offer some [better] ideas.

In regards to insurance, my God, not having insurance is CRAZY! Sorry, but that's gambling on another level. You might be overpaying, because I pay approx £140 (£12'ish per month) for a 2 bedroom house. Get a free quote from here :)

Best of luck.

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The Landlord 10th May, 2022 @ 08:24

@Henry

Haha, thanks (I think??!)

I'm with you, I'm planning on putting more into property over the next few years! This is my time to strike. I've been idle for a while, because I've been anticipating the *real* cost of the insane levels of money-printing that's occurred.

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The Landlord 10th May, 2022 @ 08:31

@Stephen

Thank you, appreciate the positive feedback.

I get you. My only concern would be timing: property can become particularly illiquid in certain environments. But if you can nail it and meet your objectives, awesome!

But either way, you're doing things on your own terms; you have a plan and aren't panicking. That's how it should be.

Best of luck, and thanks again!

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Deb 10th May, 2022 @ 10:56

Hello Landlord. Thank you for sharing your thoughts. Always really useful and interesting...and of course really funny 😂 I agree 100% with your comments. Thank you very much for all the great (humorous) blogs.

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Laura 10th May, 2022 @ 16:58

Hi Landlord,

Brilliant advice thank you very much!

With regards to insurance, I obviously have all the insurance in place I need, apart from insurance for unpaid rent, so I’ll get onto that thanks.

I am fully managed, so they were offering me this ‘great deal’, but it’s expensive so I’ll shop around.

Have a great evening 😊

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Matthew Taylor 10th May, 2022 @ 20:32

You’re the boy!

Brilliant information as always, and delivered in an hilarious way.
I’m interested to how your getting on with your crypto endeavours? The blog you did a while ago on it sparked my interest to do some research in to crypto and I thank you for that!

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The Landlord 11th May, 2022 @ 08:30

@Deb Thank you very much, and you're welcome :)

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The Landlord 11th May, 2022 @ 08:38

@Laura
No probs, and thank you.

Ahh, apologies, I thought you were referring to building insurance, that's why I said it was crazy.

You were referring to RGI (Rent Guarantee Insurance) - I typically only get it for new tenants, or tenants I'm concerned about. Presuming the tenant is the occupant for a few years and I've had no issues, I don't usually renew the policy. But I generally judge RGI on a case by case, depending on the circumstances.

RGI started getting more expensive since the pandemic, and I don't think the rates have declined since then. If anything, they have increased. However, getting insurance directly from an agent isn't usually how you get the best rates :)

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The Landlord 11th May, 2022 @ 08:42

@Matthew

Ha, thanks.

I'm still balls-deep into crypto. Every financial market has been tanking over the past few months, so at the moment I'm slowly buying into crypto projects (dollar-cost-averaging). Everyone is scared and selling off, and that's usually a good time to invest, in my opinion! I don't see a recovery for at least a year or so, so I'm not going in too heavy at the moment, just increasing my position slowly.

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GriffMG 12th May, 2022 @ 16:04

@Landlord

Great article as ever, once again highlighting the need to minimise leverage...

Keep up the good work!

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Stevie C 27th May, 2022 @ 15:35

Hiya,

Great blog post, but sounds like you're definitely learning from the Crypto playbook, as well as the crash of 2008! Good luck everybody!

39
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The Landlord 27th May, 2022 @ 16:14

@Stevie C

Diamond hands, baby!!! :)

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