We have been warning investors, Now its made the national press :Servicing such high fixed returns could squeeze funds available for providing the actual care.
Private investors are being enticed to purchase rooms in UK care homes on a ‘buy-to-let’ basis with the promise of large profits and rental income, an investigation for The Independent reveals.
The Bureau of Investigative Journalism has found hundreds of rooms being offered for sale for as much as £85,000 each. They offer “guaranteed” rental income of around 10 per cent annually and a total return on investment of up to 188 per cent over 10 years.
The largest player in the market is a company whose managers include a struck off solicitor , a disqualified director and a chief executive who was once the sole director of a company that held a strip club licence – and who says his involvement in the sector will allow him to buy fast cars and diamonds for his wife.
Read the full article here : http://www.independent.co.uk/life-style/health-and-families/health-news/care-home-rooms-offered-for-sale-to-private-investors-on-buy-to-let-basis-a6768606.html