"The Downswings of Property and Poker"

[Eso Kral]

Eso, what would you suggest is the best thing for me to do?

My situation:

Live in a nice big house provided by the RAF for peanuts.
Have a house which we pay a mortgage on (most of which is covered by rental income) but the value of which is now close to breakeven/possibly neg eq.
Want to move and take advantage of the house prices at the minute.

At the min my plan is to wait like a decade until a chunk has gone off it or pray for a mega bink.


[/quote]
Have you not heard that Poker is a LONG game mate!!

[celtic]

I never read this.

Friday, Luton, you in?

Sorry Bud, The outlaws are over from Slovakia for 2 weeks so it is a no poker holiday but I will quite happily buy you dinner on Friday 31st August if your social calendar is free?

Aye, go on then. Ring me next week.

[millidonk]

Sigh, will be quicker to just wait a decade. Although if Sunderland, Lincoln and Hearts all win their respective leagues we might be there...

p.s nice quoting skillz

[Eso Kral]

Lincoln house prices are incred Typhoon!! Although gutted I bought my house when I did, worst market had been for yrs!! Paid top dolla for a 2 bed, terrace.



My gaff is furthest on right. Luckily its in a place called Branston which is the nut place to commute from so people are begging to rent it. For same money now I could get 3 bed detached with decent land.

Eso, what would you suggest is the best thing for me to do?

My situation:

Live in a nice big house provided by the RAF for peanuts.
Have a house which we pay a mortgage on (most of which is covered by rental income) but the value of which is now close to breakeven/possibly neg eq.
Want to move and take advantage of the house prices at the minute.

At the min my plan is to wait like a decade until a chunk has gone off it or pray for a mega bink.

When you say breakeven you mean from what you paid?
IMO if you can buy right now and as long as it's not too big a stretch then go for it but you need to be 100% sure you can cover the stretch over x period of economic toughness/more kids etc etc.  There are some good deals out there if you sniff out the vendors who want to sell and have the flexibility ie the vendors who didnt buy in 2007 or the ones who have found a place and what I would call Aspirational buyers can still move up in this market.

IMHO a much better idea though would be to have a certain amount of money and trade up through buying and selling for 10 years  ie stay where you are and buy a grotter and sell, rinse repeat and you can easily do 3 every 2 years just being happy nicking a small bit  (10-15%) each time and then at the end of 10 years you should have enough to get the big dog!!

You need to buy well though and do a lot of research but the types of property you are looking at and the smaller margins involved wont interest the bigger investors as they want higher profit margins from property for them to get excited.

[typhoon13]

Lincoln house prices are incred Typhoon!! Although gutted I bought my house when I did, worst market had been for yrs!! Paid top dolla for a 2 bed, terrace.



My gaff is furthest on right. Luckily its in a place called Branston which is the nut place to commute from so people are begging to rent it. For same money now I could get 3 bed detached with decent land.

Eso, what would you suggest is the best thing for me to do?

My situation:

Live in a nice big house provided by the RAF for peanuts.
Have a house which we pay a mortgage on (most of which is covered by rental income) but the value of which is now close to breakeven/possibly neg eq.
Want to move and take advantage of the house prices at the minute.

At the min my plan is to wait like a decade until a chunk has gone off it or pray for a mega bink.

When you say breakeven you mean from what you paid?
IMO if you can buy right now and as long as it's not too big a stretch then go for it but you need to be 100% sure you can cover the stretch over x period of economic toughness/more kids etc etc.  There are some good deals out there if you sniff out the vendors who want to sell and have the flexibility ie the vendors who didnt buy in 2007 or the ones who have found a place and what I would call Aspirational buyers can still move up in this market.

IMHO a much better idea though would be to have a certain amount of money and trade up through buying and selling for 10 years  ie stay where you are and buy a grotter and sell, rinse repeat and you can easily do 3 every 2 years just being happy nicking a small bit  (10-15%) each time and then at the end of 10 years you should have enough to get the big dog!!

You need to buy well though and do a lot of research but the types of property you are looking at and the smaller margins involved wont interest the bigger investors as they want higher profit margins from property for them to get excited.

Sounds good for someone like yourself Eso

but, would not be so easy for the general punter, your in the game and constantly searching, your accustomed to all the hassle

stress and paperwork,

[paulhouk03]

What do you think of lease mortgages?

My friend told me something about them but I am not too sure if its a good idea to go down?

[typhoon13]

Eso

Whats these mortgages where the bank pays and you pay the interest, are they worthwhile for first time buyers, thanks

[Eso Kral]

Sigh, will be quicker to just wait a decade. Although if Sunderland, Lincoln and Hearts all win their respective leagues we might be there...

p.s nice quoting skillz

Waiting a decade is the nut worst option as you will be looking to upgrade so lets say for sake of argument that your place is worth 200k now and your ideal home now 325k and lets say (again a guestimate) that in 10 years time the market is 35% in an upwards direction you will have made £70k on your home and it is worth £270k but the one you want to buy has also risen by 35% ( £113750) and is now worth £438750 an overall difference of £168750 when if you make the move now the diff is £125000 so waiting and then doing it in a positive market means the gap gets wider.

If you get my drift?

[Junior Senior]

 Rich, if i were looking for a career change and considered estate agency would i have to start right at the bottom and are there any qualifications i would need to achieve? I have always enjoyed following the property market and have dabbled myself with rentals. Apart from the obvious traits that are well characatured what makes a good estate agent?

[typhoon13]

Apart from the obvious traits that are well characatured what makes a good estate agent?

What, you think there is a good one?

Well i suppose we know one

[millidonk]

Sigh, will be quicker to just wait a decade. Although if Sunderland, Lincoln and Hearts all win their respective leagues we might be there...

p.s nice quoting skillz

Waiting a decade is the nut worst option as you will be looking to upgrade so lets say for sake of argument that your place is worth 200k now and your ideal home now 325k and lets say (again a guestimate) that in 10 years time the market is 35% in an upwards direction you will have made £70k on your home and it is worth £270k but the one you want to buy has also risen by 35% ( £113750) and is now worth £438750 an overall difference of £168750 when if you make the move now the diff is £125000 so waiting and then doing it in a positive market means the gap gets wider.

If you get my drift?

Cheers for the advice fella,

Yea what I meant earlier was pretty much if I sod now I would get what I paid so wouldn't be making anything, so its not like I could sell and use the profit for a deposit and upgrade that way. I understand what you are saying with the 35% increase in 10 years, I was more focussing on what I would have paid off the mortgage so I can then use that amount for to pay off the new place. Make sense? It's all about trying to increase equity so I can get out and move up.

Upgrading now is what I would do in an ideal world but is pretty much impossible unless I bink like 60k or so for a decent enough deposit.

[Eso Kral]

What do you think of lease mortgages?

My friend told me something about them but I am not too sure if its a good idea to go down?

Sorry Paul do you mean a mortgage on a leasehold property?

[Eso Kral]

Eso

Whats these mortgages where the bank pays and you pay the interest, are they worthwhile for first time buyers, thanks

TBH Trevor I have a mortgage advisor who deals with that side in the office we dont actually get involved there but if you copy me a link I will run it by him and post what he thinks.

[Eso Kral]

Rich, if i were looking for a career change and considered estate agency would i have to start right at the bottom and are there any qualifications i would need to achieve? I have always enjoyed following the property market and have dabbled myself with rentals. Apart from the obvious traits that are well characatured what makes a good estate agent?

Hey Greg, there are no qualifications required to be in agency as most people fall into it like me from other failed sales professions and when I am looking to employ I would rather employ someone with no EA experience than someone who has worked for 3-4 companies and then comes into our offices and says "well we didnt do that there".

In terms of where you would start it is defo most likely to be as a negotiator type role but the bigger companies will be inclined to fast track good candidates quickly and they like to employ from within so I would expect a decent 1st year negotiator to earn no less than £18k and if they earnt less than £15k then they are probaby in the wrong job.   Basic Salaries in the first year for this type of role are likely to be between 10-15k dependnat on how you negotiate yourself and if you are in a busy office you can earn early 20's, then when you start to value properties your basic can move upto late teens and you then earn by selling  and or listing properties and once you get to Assistant Branch Manager Status you can look at 35-40k income in an office turning over £300-325k.

If you are serious I would concentrate on the bigger companies EG   Bairstow Eves/Frank Innes/Spicer Haart Group as they will offer good development potential and have many other offices that wont hold back your progression if your happy to work in different offices in the East Mids.

Attributes I would be looking for are - (in no order)  Well Presented, Punctual, Reliable, Personable, Driving Licence, Confident as I can give them all the other skills over time myself.

Hope this helps..

[DMorgan]

Eso,

Lots of numbers get thrown around as to what sort of deposits first time buyers are looking at having to put down in the current climate. Realistically what would you say that a poker player with no real proof of income (holdem manager graphs at best) would need to put down on a £120k house. i.e. how much money do you have to throw at a mortgage broker to make him want to take your word for it that you'll pay him back