At the auction on the 5th March we will be offering 4 houses in Southampton, one in Highfield, one in Portswood and two in Shirley, all let on assured shorthold tenancies. With realistic price expectations the returns should be very good and interest high. Lets face it, there has never been a time when it was more important to put money into something as safe as houses.
Notwithstanding the recent rather dramatic seasonal weather we have just enjoyed, the New Year is maturing and the rhythm of business is re-establishing itself. The property market is returning after the dormant weeks up to and over Christmas and the first few predictions of recovery and growth are starting to be heard.
Here at Pearsons we have noted that there is a steep increase in the number of people out looking at the properties for sale and indeed offers are being made by those already in a position to proceed and sales are being agreed, in some cases on homes that have been for sale for some considerable time. As usual the number of properties coming onto the market this early in the year does not match the enquiry levels although this will change soon.
If you are wanting to sell the trick is to take advantage of this early year optimism and, as with everything, the secret is in the timing. Any property that comes onto the market now is pretty much guaranteed to attract attention. Later in the spring and summer it is likely that there will be much more choice for the buyers and sellers will need to compete for their attention.
So, if you are selling, do not delay, call us in now and “catch the early worm”.
We are receiving an unprecedented number of calls from buyer with the money available to buy property in need of work. They include many for whom this will be their first foray into property speculation. What is wanted is a house, flat or bungalow with room to improve and thus add value, some want to re-wire, re-fit and decorate only and others, with building connections, want to buy with more extreme refurbishment/repairs required.
Selling such property at a public auction ensures the seller gets the very best price available on the day. Arguably the value in each case is exceeded as the last and successful bid is higher than everyone else in the auction room is prepared to go to.
If you are faced with selling such a property I can offer you a free appraisal, suggest a guide price to ensure the best response and a cost breakdown for selling. I promise there will be no obligation or pressure put on you, only good advice. Obviously, if you do decide to enter your property in the next Pearsons auction, we will provide the very best in marketing and reporting to make the sale as stress free and straight-forward as possible. To speak to me call on direct line 023 80 474274 and ask for Toby Wheatley.
There have been quite a few predictions about the market in the coming year as there has been about the economy in general. They all share a rather restrained tone with growth predictions of 1% and similar, unexciting levels of price rises. One has to agree that there are scant signs of a boom coming.
Traditionally the property prices have followed the employment graph with house values rising as employment goes up. The prevailing interest rates for borrowing and the levels of general inflation have not had nearly as strong an impact on the cost of buying a residential property.
I think that this is changing. It seems to me that employment does not pay as well as it used to and the private rented market is expanding, providing an alternative to buying.
With more people are now renting rather than buying, the demand for property has dropped (in 2012 there were 40% less transactions than at the height of the market) and the level of demand might not come back. And, if owner-occupiers are being replaced with more commercially minded investment buyers, the driving force behind house price movements will change from employment trends to interest rates and inflation.
We should be wary of predictions that do not take the changing motivation of buyers into account.
I met a couple today who have been on the market for two years! They have a beautiful property in a desirable location, they took the advice from the estate agent on the asking price. Over the course of the months following they attracted no real interest in spite of dropping the price 4 times, now quoting £150,000 less than the original valuation figure, and changing agents 4 times. Still no offers.
It seems to me they have to either give up and stay put, which I understand is not an option, or do something different. If they radically reduce the price in one big hit it could work but they will then be left with less money than expected and a feeling they have been “seen off” and lost out.
An auction would at least pitch all buyers in competition with each other and so produce the best price that is available.