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The great property crash of the 2040s

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    The great property crash of the 2040s

    It seems to me that at some point, all the middle aged people living in their overpriced houses in the SE with their BTL portfolios are going to grow old and die, and this is going to mean that these assets get passed along, creating massive inheritance tax bills that need paying, resulting in these assets being sold.

    Isn't that going to cause a crash? Or will the IHT threshold be raised to £2 million by then?
    While you're waiting, read the free novel we sent you. It's a Spanish story about a guy named 'Manual.'

    #2
    Originally posted by doodab View Post
    It seems to me that at some point, all the middle aged people living in their overpriced houses in the SE with their BTL portfolios are going to grow old and die, and this is going to mean that these assets get passed along, creating massive inheritance tax bills that need paying, resulting in these assets being sold.

    Isn't that going to cause a crash? Or will the IHT threshold be raised to £2 million by then?
    Lot's of people don't BTL, and will not have the income to stay in their overpriced houses. They will have to sell up befor 2040.
    Fiscal nomad it's legal.

    Comment


      #3
      Only if the population were to fall, which doesn't seem to be the case.
      More likely interest rate rises in the next 2/3 years will either cool down the market or crash it depending on how many maxed-to-the-limit zombie borrowers are out there.
      Hard Brexit now!
      #prayfornodeal

      Comment


        #4
        Originally posted by alreadypacked View Post
        Lot's of people don't BTL, and will not have the income to stay in their overpriced houses. They will have to sell up befor 2040.
        Why? Their mortgages should be paid off by the time they retire and pop their clogs.
        While you're waiting, read the free novel we sent you. It's a Spanish story about a guy named 'Manual.'

        Comment


          #5
          In a world of finite resources and a monetary system predicated & dependant on perpetual growth, a crash is inevitable.
          I dunno how long they can string it out for though.

          Comment


            #6
            Originally posted by sasguru View Post
            Only if the population were to fall, which doesn't seem to be the case.
            More likely interest rate rises in the next 2/3 years will either cool down the market or crash it depending on how many maxed-to-the-limit zombie borrowers are out there.
            Yes I suppose the demand will be there to absorb the forced sales and prop prices up.

            I do wonder how many people are going to be in trouble if and when interest rates go up. In my area at least prices haven't stopped rising through thick and thin, and family houses are popular with the BTL brigade due to the large contingent of well paid foreign workers who tend to rent rather than buy, so I suspect ordinary families buying a house to live in have generally had to stretch themselves to stay in the area.
            While you're waiting, read the free novel we sent you. It's a Spanish story about a guy named 'Manual.'

            Comment


              #7
              Originally posted by doodab View Post
              It seems to me that at some point, all the middle aged people living in their overpriced houses in the SE with their BTL portfolios are going to grow old and die, and this is going to mean that these assets get passed along, creating massive inheritance tax bills that need paying, resulting in these assets being sold.

              Isn't that going to cause a crash? Or will the IHT threshold be raised to £2 million by then?
              Inheritance tax is an optional tax - careful and timely planning should mean it's not applicable & HMRC relies on inertia and people not wishing to consider the future
              HTH
              How fortunate for governments that the people they administer don't think

              Comment


                #8
                Originally posted by doodab View Post
                Why? Their mortgages should be paid off by the time they retire and pop their clogs.
                But the rising cost of fuel, food, maintenance of the house etc. may exceed their income.


                Currently looking at property, when you see the places the recently departed have been living in.
                Fiscal nomad it's legal.

                Comment


                  #9
                  Originally posted by alreadypacked View Post
                  Currently looking at property, when you see the places the recently departed have been living in.
                  Me too, and in many cases the euphemistic phrase "in need of modernisation" springs to mind
                  Work in the public sector? Read the IR35 FAQ here

                  Comment


                    #10
                    Everyone I speak to is buying property by the bucket load, it's like 2000 - 2007 on steroids out there.

                    Fill yet boots!

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