Property Prices Still Going Up

It is pretty strange at the moment, EVERYONE is reporting house price rises, all the latest data from the biggest names have reported consistent rises, however everyone is playing it down. "Do not read too much into the figures" "Double dip" "Unlikely to carry on increasing", it's as if the people reporting the stats just cannot believe them. You can imagine them double and triple checking the figures just to check that their data gathering tools have got it right !!

If you look back over time at the money made from property investment you will see that current yields are decent, this has not been the case for a long time. Previously a 6% yield was considered good, now you can get 8%+ yields and borrow at sub 5% rates. For those who like the really high yielding stuff and can get commercial funding you can get 12% yields and borrow at 3%. That is a clear margin of 9%, for every £1m invested expect to make £90k p.a.

No money down investing is possible, because you require big discounts from the vendor to do no money down investing and since it is a buyers market investors are buying up big time from those desperate to sell. When property does come back (and it will) whatever you bought will be dragged up in price.