As many successful property professionals will tell
you, NOW really is a fantastic time to be investing
in the UK property market, Buy-To-Let mortgages
and alternative finance for property purchases are
readily available with more and more lenders entering
the market.
There
are also plenty of property deals out there just
waiting for property investors to snap them up,
and on top of these factors, UK property prices
are rising! In fact, the way the UK property market
is heading at the moment has many people thinking
that we may even be on the verge of another property
boom!
This
could be really good news for property investors
and existing landlords as property prices continue
to edge upwards and rental yields are pushing towards
an all time high! But is there danger just over
the horizon?
Unfortunately,
the answer isn’t all positive, as the current
property boom could soon become disaster for property
owners who aren’t prepared for what is sure
to happen next. The increase in UK property prices
will certainly boost the economy but the rise in
property prices will contribute to inflation, which
in turn will probably trigger the Bank of England
(BoE) to raise interest rates in an attempt to slow
down the growth of the nation’s economy, and
this could be disastrous news for property investors
and existing private rental sector landlords.
The
record low Bank of England base rate of 0.5% has
been enjoyed for a considerable time, allowing Buy-To-Let
mortgage repayment rates to fall to around the 2%
to 3% mark, producing excellent yields for property
investors and PRS landlords. However, as Bank of
England interest rates increase, which will undoubtedly
happen, the cash flow currently enjoyed and depended
on by many property investors and landlords will
reduce, and that could make things very difficult
for some investors to cope with, especially if they
have to start subsidising some of their property
investments.
PRS
rents should also go up when inflation rises, but
there is the real possibility that increases will
not be in line with interest rates rises, so there
could be a shortfall to pay for on some of your
investment properties. This won’t happen immediately;
in fact it may be months until interest rates start
to creep up, which means property investors and
landlords still have time to do something about
it.
Simon
Zutshi, founder of the 10 year old Property Investors
Network (PIN) and author of best-seller “Property
Magic” is highly regarded as one of the UK’s
top property educators, and he has realised that
the impending property boom may not be such good
news for existing property investors and landlords.
In fact, Simon will be holding a one-off no cost
webinar on Tuesday 29th October 2013 at 7pm (GMT)
discussing what to do about this situation and sharing
what he is doing right now to make sure he can maintain
a high level of cashflow from his investment properties
and just 500 people can discover the various options
open to them to avoid the danger ahead.
If
you would like to join Simon Zutshi on this content
packed free webinar all you need to do is Click
Here and register your details and
we will email you with the webinar joining instructions.
Many
property investors and landlords are blissfully
unaware of the potential property time bomb they
are currently sitting on and they are the ones who
will come off worst. Education is the key to success,
and when one of the UK’s most successful property
investment educators offers free advice, it is always
wise to listen! Simon has always endeavoured to
provide the best quality training and property investment
education in the UK and continues to lead the way,
with almost 40 PIN meetings around the UK attracting
thousands of landlords and property investors every
month and the ultra successful PIN Academy, celebrating
its first birthday next month, providing an invaluable
network of useful contacts and content rich discussions
regarding all aspects of property investment and
cashflow generation.
Our
places are already booked for the “Property
Time Bomb” webinar and we hope that you can
join us at 7pm on Tuesday 29th October 2013
Click
Here To Register!