Is the buy to let market dead. Answer – definitely not.
As anyone who has come to hear me speak or has read my column will know all properties are not born equal.
We are seeing demand growing strongly for houses, while the oversupply of new-build properties means stalling or falling rents on flats.
The latest lettings survey from RICS shows that demand remains healthiest for family homes with 25% more surveyors reporting an increase in demand .
At the samne time, the proportion of landlords opting to sell properties when tenants move out has risen from 6.1pc to 6.5pc in the past quarter, according to RICS – the highest level since January 2005.
Lots of experts will say this is a sign that higher house prices and falling rental yields are making it difficult for landlords to turn in a profit. It will also re-ignite concerns over the housing market. There are some experts who are warning the buy-to-let sector could be the weakest point in Britain’s property market, with some comparing it to the sub-prime sector in the US
My view is that the problems will be limited to those - mainly new landlords - who have bought flats in oversupplied areas from the less reputable property clubs.
Sure, there will be lots of individual stories of landlords hitting hard times, but savvy landllords will be delighted that the curent turn of events is giving them a great opportunity to buy property at below market value prices.
The auctions are busy with landlords snapping up cheap property and whispering to estate agents., “If you know someone who is really keen to sell, then talk to me.”
If you need more advice on buying property below market value or buy to let investment in general please ask me. I’m David Lawrenson from property investment advisors www.lettingfocus.com
I’m the author of the buy to let book “Successful Property Letting - How to Make Money in Buy to Let” the UK’s top selling property title.
I’m an expert on property investing for profit and a well known property freelance writer and I contribute to newspapers and a host of property websites, write a property investment blog and run a landlords advice service - check out my columns for FinancialExpress.net and Archant’s “The Guide” magazine
I also work as a consultant helping banks, building societies, housing associations and web portals with their buy to let and property products and services.
You can read more of my property investment blog and details of my networking, advice, property networking programme at my website www.lettingfocus.com.
My next London landlords networking meeting is on March 12th. Click here for details: Property Investment Advice
What’s unique about lettingfocus.com is that we offer independent property mentoring because unlike most people in the buy to let and property “advice” business we are not linked to a property company, developer, agent or bridging loan financier and do not receive commissions from any of these sources.
If a property investment is lousy – We’ll tell you straight and we will tell you all about buy to let and property investment - the good and the bad and we won’t make silly promises that you’ll become a millionaire overnight.
Copyright: David Lawrenson 2007. This blog is updated at least twice a week. Permission must be sought before using the material in the blog.
We are seeing demand growing strongly for houses, while the oversupply of new-build properties means stalling or falling rents on flats.
The latest lettings survey from RICS shows that demand remains healthiest for family homes with 25% more surveyors reporting an increase in demand .
At the samne time, the proportion of landlords opting to sell properties when tenants move out has risen from 6.1pc to 6.5pc in the past quarter, according to RICS – the highest level since January 2005.
Lots of experts will say this is a sign that higher house prices and falling rental yields are making it difficult for landlords to turn in a profit. It will also re-ignite concerns over the housing market. There are some experts who are warning the buy-to-let sector could be the weakest point in Britain’s property market, with some comparing it to the sub-prime sector in the US
My view is that the problems will be limited to those - mainly new landlords - who have bought flats in oversupplied areas from the less reputable property clubs.
Sure, there will be lots of individual stories of landlords hitting hard times, but savvy landllords will be delighted that the curent turn of events is giving them a great opportunity to buy property at below market value prices.
The auctions are busy with landlords snapping up cheap property and whispering to estate agents., “If you know someone who is really keen to sell, then talk to me.”
If you need more advice on buying property below market value or buy to let investment in general please ask me. I’m David Lawrenson from property investment advisors www.lettingfocus.com
I’m the author of the buy to let book “Successful Property Letting - How to Make Money in Buy to Let” the UK’s top selling property title.
I’m an expert on property investing for profit and a well known property freelance writer and I contribute to newspapers and a host of property websites, write a property investment blog and run a landlords advice service - check out my columns for FinancialExpress.net and Archant’s “The Guide” magazine
I also work as a consultant helping banks, building societies, housing associations and web portals with their buy to let and property products and services.
You can read more of my property investment blog and details of my networking, advice, property networking programme at my website www.lettingfocus.com.
My next London landlords networking meeting is on March 12th. Click here for details: Property Investment Advice
What’s unique about lettingfocus.com is that we offer independent property mentoring because unlike most people in the buy to let and property “advice” business we are not linked to a property company, developer, agent or bridging loan financier and do not receive commissions from any of these sources.
If a property investment is lousy – We’ll tell you straight and we will tell you all about buy to let and property investment - the good and the bad and we won’t make silly promises that you’ll become a millionaire overnight.
Copyright: David Lawrenson 2007. This blog is updated at least twice a week. Permission must be sought before using the material in the blog.
This entry was posted by lettingfocus, on
Tuesday, December 18, 2007.
