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I presume @Soul is talking about cash buyers.
For live-in homeowners, if there is a short to medium term fall, then as long as negative equity doesn't apply, it does mean that moving up the ladder is easier as the absolute gap between properties also falls. Every cloud and all that.
leggy_blonde-
Yeah I just don't see much reason to suspect investors have more of a capital gain that can be soaked up than owner occupiers - probably less as they may have interest only mortgages, professional investors will have gearing targets, and investment horizons are probably shorter than how long it is between home moves.
I take your point on no negative equity but it's not just that - it's anything that pushes your LTV to a bad level that makes price drops a problem. You don't have to be underwater to find going from 75% ltv to 95% sucks
andyfallsoff
Hmmm do you think?
Maybe if not mortgaged, but btr mortgages were already more expensive and are likely a second property anyway - so sell the btr to free up funds / get rid of more expensive second mortgage might be a sensible strategy for lots of people. I don't really see why those btr investor gains allow them to stay in properties more than owner occupiers - but maybe I'm missing something