Wednesday, 21 November 2007

BTL Paragon Property Market Bubble Alliance & Leicester Bradford & Bingley

Buy to Let investors face 6% plus loan rates whilst only seeing 3.7% yields - well yes, but they did know that rates could go up, as well as down, didn't they? Or did they think rates remained level or went down and yields only ever increased?

Paragon, having done the decent thing and come out honest and open do however claim, "landlords would delay new purchases rather than rush to sell property" Mr Nigel Terrington head of Paragon is quoted as saying - well he would say that, wouldn't he?

More likely that BTL investors can't sell but do or would want to, just can't because so many bought through property clubs or investment 'courses' that said they would learn how to make a fortune!

Visit http://www.youtube.com/watch?v=54X4wXQD9AQ&feature=related and you'll see just the sort of thing that happened in USA as is still even now happening here in UK - and still the poor lambs turn up for slaughter! Property scams.

Bradford and Bingley have sold some assets or debts to raise or protect or preserve cash and liquidity though Allaince & Leicester appear to 'carry on regardless' even though shares in both have reportedly fallen by 40% in the past year even though they typically raise less than 50% of thier funding from the markets

One analyst yesterday stated the obvious, "There is a massive bubble in the UK property market which looks as if it is about to pop" - Blimey, we and http://www.housepricecrash.co.uk/ have been saying this for months, and months and probably more months than that!

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