As for house prices starting from 250K, that's probably about 750K AU$
You ought to see what you can buy in Australia for that kind of money.
With lots of green pastures all around, (just check sherri's photos of Yarra Valley in the Hot Air Balloon piccys)
But......the prices of properties have soured in the last 2 years here.
Up to 75% even.
A boom in fact.
Lucky we bought 2 rental properties during our recession in the mid 1990's, when houses were for sale everywhere and none were selling. Something like $85,000 for a 3 bedroom brick veneer on a quarter acre block land. (That's only $28K English)
Weeellllll........they are now valued at between AU$220,000 - $240,000
Not bad capital gains hey? Could never make that much in a life-time drudgery of work.
Apparently, there are English couples that have invested in Tasmania on several properties in fact, and have made an absolute fortune since it has boomed anything up to 400% there. And I believe the prices are still rising and properties are still selling like hot-cakes. Our low interest rates have fuelled the market place, (lowest in 30 years at approx 5-6%) and the children of the baby boom gen have grown up, left home with their partners and decided to buy instead of rent.....which is about the same per week in expenses, so they figured, why not pay off a house, instead of paying the average rent of $200 per week.
Only trouble is.......the interest rate has just gone up a bit, and tipped to go up more.......now that will put a strain on many new home-buyers.
Our Tax laws here are that after one year of ownership of a residential investment property, you pay Capt. Gains Tax on 50% only of the profit you make. Less all expenses of course.
If you sell it and make a profit within the first year of ownership, you pay tax on 100% of the gains.
But....you do not pay tax if it was your own place of residence.
So, what are the tax laws like over in England re: properties?