Time to grab a property bargain before the Election?

Rightmove reported the number of homes registered for sale per estate agent fell to its lowest level for five years in December, with available stock 10% lower than in the same month a year earlier. Looking at Solihull, in the Summer of 2014, each estate agent in Solihull had on average 7.6 properties on its books (as there were a total of 380 properties up for sale in Solihull at the peak in the Summer just gone). Our research shows that number plummeted to 4.7 per agent in December.

Similarly, the length of time a property takes to sell has modestly increased over the last few months. Most properties in Solihull are now taking - on average - around 70-80 days to sell, although interestingly, one bed properties are taking longer at around 160 days to find a buyer. It must be noted these are only averages and some properties are only taking a matter of a couple of weeks to sell .. it comes down to location, condition and price.

2015 will likely be the year of the selective mover.  With only 512 brand new properties a year being built in Solihull since the turn of the Millennium (I wish there were more!), this woefully low and insufficient number of new buildings in the town over the past few decades and a systemic change in the type of properties homeowners want (with families splitting etc so we have too many larger houses and not enough smaller ones), buyers are becoming dissatisfied with, and therefore dismissive of what is up for sale.

All this might mean Solihull landlords could bag a bargain during this period of uncertainty, especially if the financial markets do not like the election outcome. Markets and buyers do not like uncertainty, but savvy Buy to let landlords know buy to let is a long term game, and irrespective of short term apathy, reduction in the quality and quantity of stock for homeowners to buy  or the election, if people don’t buy property they rent.  The Council aren’t building anymore properties, the council house waiting list is decades, not years for the better type of property .. the only other place to get a roof over your head .. rent a property!  Good old Bricks and Mortar!

Therefore, if you are considering buying a property for investment in the near future, I am always happy to give you my considered opinion on which property to buy (or not as the case may be) to give you what you want from your investment. Email me on jane.morcom@centrickproperty.co.uk