"Anthony James" wrote
| Look at the advice on the website:
| "Don't Nest - Invest!
| These days, millions of people own their own homes, but why are
| they nesting when they could be investing? An upsurge in the
| real estate market has born witness to the fact that there
| is some serious money to be made. Consider this examples;
| a colleague of ours who bought a two bedroom garden flat
| in Fulham some two years back for £190K and sold it recently
| for well in excess of £300K. Quite. And the work required to
| see this upturn? Hold on to your seats guys, because here
| comes the answer; NOTHING! The property market did all the
| hard work. Wow!"
| That's not property development ladies. Fulham is hardly an
| up and coming area - it's been expensive for years and hasnt
| increased relative to the places around it. All that does
| is say houses are more expensive than they were.
And that, therefore, is not in property terms return on investment. You
start with a 2 bed flat and at the end of it you still have a 2 bed flat. If
you sell that 2 bed flat all you are going to be able to afford to buy is
another 2 bed flat. Regardless of the £££ the property has not increased in
value relative to other property. It's not investment, it's inflation.
The only way to make money out of a property is to do it up so that, less
costs fees and taxes, it rises faster than the market.