| Comment | Some pension providers buy commercial property and let is sit and 'accrue value', then you have the small companies doing the same with this idea property only goes up in value.
We now have this pseudo ponsi scheme where people make enough 'money' (aka theoretical returns at a given time point) that letting the buildings sit empty is more convenient that it actually being used.
It will all backfire after gov has moved heaven and earth to avoid it and its still not enough, when this happens is anyone's guess...
Saying that, though, with intrest rate rises looking to be fairly set for next few years. Holding on to property will become a lot less appealing as borrowing costs increase and less people can afford the higher intrest rates on the debt. You may find things take a turn for the better in thst regard. |
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