this post was submitted on 12 Nov 2025
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UK has even worse, buy to let. Interest only with the intent of renting it out. So you profit on the rents and profit on the house going up in value. Obviously you vote for governments that will lead to an increase in house prices too. Oh yeah most of government is made up of ~~parasites~~ landlords too.
Sorry, my brain is struggling. How is this different from the U.S., for example? Isn't it the same? If you buy, the only way to make money is to improve or rent out to someone even more desperate...?
Normally you also make payments towards the principal and build equity. As I understand, most of these buy to let loans actually only have you pay interest so you'll never own the property. If the value even after 20 or 30 years drops below the initial value, you're in the negative and need to pay up the difference if you can't make payments anymore. Whereas with a normal mortgage once you've paid it off, fluctuating values can't put you in severe financial trouble.