Comments on: £250 per month per property. The real cost of buy-to-let? http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/ property : money-making : investments Mon, 20 Sep 2010 15:49:47 +0000 http://wordpress.org/?v=2.8.5 hourly 1 By: Lyndon Forshaw http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-195 Lyndon Forshaw Mon, 12 Oct 2009 13:36:49 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-195 Hi Rich, Thanks for the info and the update. You are clearly very knowledgeable and hands on when it comes to refurbishment projects, which as you point out can certainly help in reducing maintenance costs. Cheers Lyndon Hi Rich,

Thanks for the info and the update. You are clearly very knowledgeable and hands on when it comes to refurbishment projects, which as you point out can certainly help in reducing maintenance costs.
Cheers

Lyndon

]]> By: richard Greenland http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-190 richard Greenland Sun, 11 Oct 2009 12:02:25 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-190 Hi Lyndon, yes this is an oft-neglected aspect of BTL and it came as a shock to me what other people are paying. My own costs are very low at the moment as the place was only converted a year ago. I acknowledge that these costs will rise in time as minor refurbs become necessary. Meanwhile I also feel my costs are likely to be significantly less than others as I have the specialist knowledge and have taken the trouble to future-proof the building in all sorts of ways. I have updated the thread Minimising Maintenance Costs on Tribes this morning, anyone interested can see the link in my last post. Rich Hi Lyndon, yes this is an oft-neglected aspect of BTL and it came as a shock to me what other people are paying. My own costs are very low at the moment as the place was only converted a year ago. I acknowledge that these costs will rise in time as minor refurbs become necessary. Meanwhile I also feel my costs are likely to be significantly less than others as I have the specialist knowledge and have taken the trouble to future-proof the building in all sorts of ways. I have updated the thread Minimising Maintenance Costs on Tribes this morning, anyone interested can see the link in my last post.

Rich

]]> By: Lyndon Forshaw http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-173 Lyndon Forshaw Sat, 03 Oct 2009 13:07:42 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-173 Hi Rich, Thanks for the pointers. I'm all for helping investors save money where they can. Cheers, Lyndon Hi Rich,
Thanks for the pointers. I’m all for helping investors save money where they can.
Cheers,

Lyndon

]]> By: richard greenland http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-172 richard greenland Sat, 03 Oct 2009 09:56:46 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-172 Hi again Lyndon and thanks for the honourable mention. I have a new thread on propertytribes which aims to give useful information on how people can minimise their maintenance costs by future-proofing their building at the start. It is at http://propertytribes.ning.com/forum/topics/minimising-maintenance-costs?page=1&commentId=2886658%3AComment%3A18450&x=1#2886658Comment18450 It meanders a bit as other folk come and go but I hope there is some useful info in there for people. The original thread it sprung from is at http://propertytribes.ning.com/forum/topics/maintenance-costs?x=1&id=2886658%3ATopic%3A13346&page=1#comments Rich Hi again Lyndon and thanks for the honourable mention. I have a new thread on propertytribes which aims to give useful information on how people can minimise their maintenance costs by future-proofing their building at the start. It is at http://propertytribes.ning.com/forum/topics/minimising-maintenance-costs?page=1&commentId=2886658%3AComment%3A18450&x=1#2886658Comment18450

It meanders a bit as other folk come and go but I hope there is some useful info in there for people. The original thread it sprung from is at http://propertytribes.ning.com/forum/topics/maintenance-costs?x=1&id=2886658%3ATopic%3A13346&page=1#comments

Rich

]]> By: Lyndon Forshaw http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-163 Lyndon Forshaw Wed, 30 Sep 2009 08:24:30 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-163 Hi Mark, Glad you like the Blog. I agree and I think it's also important that those thinking of venturing into 'buy to let' fully educate themselves as to the real costs. These "hidden" costs aren't readily pointed out by many of the investment "gurus" out there giving newbie investors a distorted picture. We have several exciting reports and products out soon - the first of which should hopefully be released early November. As a newsletter subscriber you will be the first to receive details. Cheers Lyndon Hi Mark,
Glad you like the Blog. I agree and I think it’s also important that those thinking of venturing into ‘buy to let’ fully educate themselves as to the real costs. These “hidden” costs aren’t readily pointed out by many of the investment “gurus” out there giving newbie investors a distorted picture. We have several exciting reports and products out soon – the first of which should hopefully be released early November. As a newsletter subscriber you will be the first to receive details.
Cheers
Lyndon

]]> By: Mark http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-158 Mark Tue, 29 Sep 2009 23:13:07 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-158 Hi Lyndon, Current buy-to-let without the fluff - thank's! The costs and hassles are never ending. The good old days have gone and will not return, we now have to look at making money in property through different ways. This site does just that - well done! Any news on the sourcing report? Thank's, Mark. Hi Lyndon,
Current buy-to-let without the fluff – thank’s! The costs and hassles are never ending. The good old days have gone and will not return, we now have to look at making money in property through different ways.
This site does just that – well done!
Any news on the sourcing report?
Thank’s, Mark.

]]> By: Lyndon Forshaw http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-157 Lyndon Forshaw Tue, 29 Sep 2009 19:21:01 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-157 Hi Lisa, Great point you make here and I would also add that modern leasehold properties have ground rents that can be significant too. I recently built 21 apartments in sunny Bolton with annual ground rents of £250 which is payable in addition to the the £750 annual service charge per flat. These management costs need to be considered in addition to typical maintenance costs Cheers, Lyndon Hi Lisa,

Great point you make here and I would also add that modern leasehold properties have ground rents that can be significant too. I recently built 21 apartments in sunny Bolton with annual ground rents of £250 which is payable in addition to the the £750 annual service charge per flat. These management costs need to be considered in addition to typical maintenance costs
Cheers, Lyndon

]]> By: Lisa Orme http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-156 Lisa Orme Tue, 29 Sep 2009 17:18:07 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-156 Hi Lyndon, as you know the original debate was sparked by an article I wrote in my newsletter stating this mystical £250 a month figure and it’s caused quite a stir! I thank you for reinforcing this message and getting it to a wider audience as the more investors understand the TRUE cost of owning property the more people will be saved from ruin as a result of not running their numbers correctly. Just a point to note; the really big cost many underestimate is leasehold properties especially newer built properties. We have service charges that range from £10 a year right through to almost £2000 a year - that’s a lot of cashflow down the drain! IMHO very few properties (even HMO's) genuinely cashflow enough to live off. See property investment as a long term wealth creator but make your living off something else! Best wishes, Lisa Hi Lyndon,

as you know the original debate was sparked by an article I wrote in my newsletter stating this mystical £250 a month figure and it’s caused quite a stir!

I thank you for reinforcing this message and getting it to a wider audience as the more investors understand the TRUE cost of owning property the more people will be saved from ruin as a result of not running their numbers correctly.

Just a point to note; the really big cost many underestimate is leasehold properties especially newer built properties. We have service charges that range from £10 a year right through to almost £2000 a year – that’s a lot of cashflow down the drain!

IMHO very few properties (even HMO’s) genuinely cashflow enough to live off. See property investment as a long term wealth creator but make your living off something else!

Best wishes, Lisa

]]> By: Lyndon Forshaw http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-155 Lyndon Forshaw Tue, 29 Sep 2009 09:32:39 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-155 Hi Tony, Thanks for getting in touch. I couldn't agree more. Investors need to make sure they are fully aware of all costs before committing to a deal - and not just short term. Gone are the days where you could buy an sell quickly thereafter for a profit. Property investment is a long term game and costs associated with it should be calculated as such too. Cheers Lyndon Hi Tony,

Thanks for getting in touch. I couldn’t agree more. Investors need to make sure they are fully aware of all costs before committing to a deal – and not just short term. Gone are the days where you could buy an sell quickly thereafter for a profit. Property investment is a long term game and costs associated with it should be calculated as such too.
Cheers
Lyndon

]]> By: Tony Jones http://www.ukpropertyexpert.com/blog/2009/09/250-per-month-per-property-the-real-cost-of-buy-to-let/comment-page-1/#comment-153 Tony Jones Tue, 29 Sep 2009 07:40:03 +0000 http://www.ukpropertyexpert.com/blog/?p=308#comment-153 Spot on, most so-called experts seem to have been involved with ownership for 2/3yrs and have a vested interest in getting others involved, usually some type of commission or lead generation. Things are definately not as rosey as they make them seem. Spot on, most so-called experts seem to have been involved with ownership for 2/3yrs and have a vested interest in getting others involved, usually some type of commission or lead generation. Things are definately not as rosey as they make them seem.

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