Holiday let ownership.

[steve sharp]

Hi All,

         Me and the wife (Thai) are looking at selling our property in the UK and moving to Hua Hin for our retirement and was looking for advice on purchaseing a Condo for use as a holiday let, has anyone on this site done this and are the rewards worth the hassle.

 

Regards

[Sparktrader]

Havent done it

Imo just rent for 6 months then see

Hua Hin imo is just average.

Plus condos can go down in value.

Your Uk place could be rented out at 5 times the rate of thailand.

 

Thai rents are cheap and allow flexible choices. Lets say u get bored of HH, simply move. If you buy it might take months to sell.

 

10,000 baht to 15,000 baht a month gets a decent place.

 

 

[Mac Mickmanus]

Wouldn't it be cost effective to keep your property in the UK and rent that property out ?

[steve sharp]

Hi Mac,

 

            We currently live in Wales and the our property is a smallholding in the middle of nowhere so renting is not an option due to it's isolation. 

[soi3eddie]

My Thai Wife (now ex) and I bought our Condo in Bangkok in 2009. We rented it as a holiday let for a few years when there was less than 150 units online in the city. Then airBnB took off and there are now 1,000s of rentals all competing and offering ridiculous low prices. The suggested nightly fee by airBnB is below our costs for cleaning and electricity so we now don't bother to rent anymore. 

[blackcab]

Honestly, I would sell your existing property then buy something in the UK with the sole intention of it being rented out. I am sure you know of areas and properties in the UK, but talk to estate agents and see what they are really looking for in terms of rental properties.

 

Factor in that you will want the property fully managed by a professional estate agent or letting agency. You want a company who can completely deal with everything and deposit your money in your UK bank account. After that you can transfer the money to Thailand yourself.

 

Condos in Thailand almost never gain in value, and rents almost never increase. Quite the opposite in fact - rents can decrease. Also, selling a condo in Thailand can take a very long time - as in years.

 

The opposite tends to be true in the UK: Properties rise in value, as do rents. Selling a decent rental property in the UK can take a matter of days, not years like it could in Thailand.

[Sparktrader]

59 minutes ago, steve sharp said:

Hi Mac,

 

            We currently live in Wales and the our property is a smallholding in the middle of nowhere so renting is not an option due to it's isolation. 

You could invest in shares or cash. No idea about UK shares but BHP yields over 8%. 

[khunPer]

18 hours ago, steve sharp said:

...was looking for advice on purchaseing a Condo for use as a holiday let, has anyone on this site done this and are the rewards worth the hassle.

If you are looking for buying a second condo as investment for renting it out as holiday let, you shall really check the market. Don't expect the property to pay you advertised returns. Your spare money might be better invester in something else in Thailand, for example find some stable stocks that pays a regular high dividend, so you keep your money and outcome in the same currency, as they are going to be used in...????

[Mac Mickmanus]

16 hours ago, Sparktrader said:

You could invest in shares or cash. No idea about UK shares but BHP yields over 8%. 

Although BHP shares have dropped by 15 % in the last three months

[Sparktrader]

1 minute ago, Mac Mickmanus said:

Although BHP shares have dropped by 15 % in the last three months

True could drop more. Current yield is over 10% actually.

 

Mkt looks weak, inflation % rates

 

Next 6 months could be time to buy though.

 

2016 bhp low $14. If u bought then you would be getting 34.5% on your investment via divs.

[Mac Mickmanus]

2 minutes ago, Sparktrader said:

True could drop more. Current yield is over 10% actually.

 

Mkt looks weak, inflation % rates

 

Next 6 months could be time to buy though.

 

2016 bhp low $14. If u bought then you would be getting 34.5% on your investment via divs.

Yes, but if you had bought the shares in 2011 , then they would be currently worth the same price as when you bought them , so the BHP shares that you bought in 2011 would still be the same price and you wouldn't have earned any interest at all , let alone 8 % annually  

[Sparktrader]

6 minutes ago, Mac Mickmanus said:

Yes, but if you had bought the shares in 2011 , then they would be currently worth the same price as when you bought them , so the BHP shares that you bought in 2011 would still be the same price and you wouldn't have earned any interest at all , let alone 8 % annually  

Thats why you buy the dips.

3 clues

1 chart

2 pe ratio

3 yield

 

 

1 chart, you might use rsi or keltner channel or stochastics

2 Current pe is 10.6 i believe. Say your target is 8 pe. Wait and buy then.

3 yield 10.5%. Lets say price falls and yield is 14% , buy then.

 

3 ways to identify the dips.

 

Patience is key.

 

Rich people do this. 

 

 

 

[Sparktrader]

If bhp falls to $35 yield is about 14% and pe is 8.

 

300k at 14% is 42k. Live in Thailand on that.

[Mac Mickmanus]

5 minutes ago, Sparktrader said:

Thats why you buy the dips.

3 clues

1 chart

2 pe ratio

3 yield

 

 

1 chart, you might use rsi or keltner channel or stochastics

2 Current pe is 10.6 i believe. Say your target is 8 pe. Wait and buy then.

3 yield 10.5%. Lets say price falls and yield is 14% , buy then.

 

3 ways to identify the dips.

 

Patience is key.

 

Rich people do this. 

 

 

 

How come that you're not rich then ?

 

 

 

[Sparktrader]

2 minutes ago, Mac Mickmanus said:

How come that you're not rich then ?

 

 

 

You need money to make money.

 

Turning $10m into $20m is easy.

 

Turning $50,000 into $10m isnt.

 

 

[Sparktrader]

Thats why the rich get richer. Mkt dips create easy money while the poor suffer.

 

 

[bkk6060]

I would rent here.

There is still minimum new building going on in many western countries.

If you own property now hang on to it, I bet it will continue to appreciate.

[Sparktrader]

2 people win $3m in lotto

1st person buys flashy cars and toys

2nd person buys quality shares

 

After 5 years the 1st person has lost 80 to 90%

The 2nd person has made $2m more

 

$5m vs 450k

 

A poor person saves $10k. Buys shares now worth $18k.