Quote:
quote:Originally posted by Mick Jagger
don't get me wrong resi propertry is great and ion usual circumstances you get a decent yield and then gross that uop for the tax benefits and its well worth it... but in the current state of things theres no way at all that anyone is gonna make it stack up on a cash flow basis... at least not without a whopping great deposit that could be making 8% risk free in the bank... so to make it look reasonable you'd have to assuming some capital gains will result... and I've gotta say that by any measure house prices look hopelessly overvalued, and as they have throughout history, will come down as a result... this is the economic golden age at the moment, and it won't continue... so why would anyone be buying one now.. its a pretty brave person who suggests that house prices will increase over the next few years... why not wait for them to fall and buy one when the numbers stack up again... ie when rental yields have increased fornm the 4 or 5% current back to 8 or 9%...