Moneynet: Property not a get-rich-quick scheme

Date:Tuesday 29th September 2009
Author: Susanna Kavka

Moneynet has advised people trying to get on the property ladder that they should see houses as homes and not just money-making investments.

Andrew Hagger, a spokesperson for the company, highlighted how borrowers and lenders should be looking at whether a house is affordable in terms of the deposit and the monthly payments.

He commented that, while the value of houses may still drop, first-time buyers should be aware that many properties involve much smaller mortgages than they did two years ago and that this could let them into the housing market more easily, if they can raise the money for the deposit.

Mr Hagger pointed out that people should not "view buying a property as a get-rich-quick scheme and return to seeing it as a longer term investment."

This week, Keshav Thukuram from Smartlandlord.co.uk remarked that property is still a good long-term investment compared to many other alternatives.