Conflicting Reports as to what the Property Market is Doing right now
We purposely post various blogs from UK property sites all claiming and reporting various "views" on what the property market is doing right now.
Whilst all this makes interesting reading, it is interesting to read just how conflicting this information can be. There is much reported about the sales market and not as much regarding the rental market. What I dont see on the internet and media generally is the local reports and the views of people in the business. It would be great seeing how many letting agents there are now for the local newspaper to perhaps to a survey of all of us giving our view on the local market and how we are seeing things in the current climate. Too many reports are based on the London Market and bit city centres but nothing on a more local level. Both views are important but locally during recent months our observations are this:
There is still a shortage of decent family homes on the market. Only this week we put up two houses we manage for overseas landlords which are coming up to let in August and we have been literally inundated with telephone calls! If you actually speak to the viewers, they too confirm that there is very little "decent properties" on the market. We did a viewing on an excellent property we have in Clarence Square, a two bed garden flat and the viewers tell me this was their 15th viewing in the last three days! Now, 15 viewings may be slighty overkill but there are definately more houses on the market than flats.
We will only deal with properties in a good state of repair and of a good standard – these types of properties appear to be in short supply and the viewings certainly confirm this.
Several things come to mind:
If a landlord or an investor cannot now secure the good buy to let deals of 18 months or so ago then there is no new stock coming onto the market. The newbuilds are in short supply (many sites are mothballed) and the investment clubs are doing very little. Again this means very little stock coming onto the market.
If there is uncertainty with the general public then people are unlikely to move, to perhaps change jobs, move to a larger property and again this means less is coming onto the market. Fewer properties are turning over we think.
However, the excellent properties in the good areas and school catchment areas still have excellent tenant demand and we cant get enough of them. There are clearly still people looking for rental property with very good budgets. Its a pity locally there are not the decent houses to meet the demand.
