Are we rich types because we have a modest flat that we rent out? Nope. It costs us money and we have been in possession for ten years . It is a negative cash flow. Its value has gone up quite nicely and will be quite helpful at some point when we cash it in.
Why did we buy it? At some point when we lived in Balaclava and after we had done a modest renovation of our house (it should have been knocked down and only the facade left), we strangely thought that we had a bit of excess money and we should buy an investment flat. I was bit unsure about the place we bought, it was quirky, but it hasn't done so badly. I think we could have done better if I insisted on the one in the leafy area of Charnwood Road rather than Hotham Street.
I have to confess here. We bought the flat to make money. It hasn't yet. We have to prop it up all the time. Poor dude pays a thousand a month and it still negative for us. I could not expect him to understand I am only a poor working class person.
I must be the evil landlord. Actually, we are pretty good landlords. If it breaks, we fix it. We have had some bad behaviour by tenants too. When the present tenant came along, he requested a few repairs, and we authorised them. We baulked at a repaint though. We didn't have the money and he should have checked before he signed up. What ever happened to landlords paying for the paint and the tenant doing the work?
While I know some landlords are bad and some rental companies are bad, this is not the case with us and much as I hate to say it, nor is our rental company, Shocking Stupid or some company that sounds like that.
But at the end of the day, we have this flat to make money, not to be a social security service. Are we exploiting the poor who can't afford to buy or offering a service for an average market price?