Musings of a Brighton Property Finder

Undoubtedly there are still fluctuations in the housing market and it is likely that these fluctuations will continue early into 2010.  The British Bankers Association spokesman, Derek Dooks,  reported a net lending increase in April although not as vigorous as in March.  He believes that  mortgage lending  has stabilised slightly.  Howard Archer from IHS Global Insight holds a similar view that €˜housing market activity has very likely passed its worst point€™ but predicts a €˜gradual€™ and €˜fitful€™ pick-up due to the €˜very poor economic fundamentals and still tight credit conditions.€™

So where does that leave us?  We, Property Finders, believe that there are good opportunities for all groups of buyers.  Most estate agents are advising their clients that, if they really want to sell their house, they may well need to accept offers.  This is borne out by comparing prices achieved with asking prices.  Our expertise and knowledge of the London market is a good starting point for buyers, as our interest is in achieving the most realistic price for our clients.  We also pride ourselves on our negotiating skills, agreeing deals based on up-to-date knowledge of the market.  One advantage of tighter mortgage lending controls is that, if a buyer has confirmed his/her mortgage or other borrowing arrangements before they actively start their search for a property, then they will be in a very strong position indeed.   Our experience with vendors confirms our belief that they will accept a prudent offer more easily, if it is accompanied by a proposed exchange and completion date and the buyer can demonstrate willingness to proceed e.g by getting the survey done PDQ and of course the magic words €˜cash buyer€™ spark real interest.

Our firm advice is that it is a good time to buy €“ so whether you€™re looking for a new home or simply a buy-to-let investment with a good yield €“ you know the Brighton Property Finders in the know!

Technorati Tags: Brighton Property, Brighton Property Finders

Tags: Brighton Property, Brighton Property Finders

Musings of a London Property Search Agent

London and Brighton property search agents like us with investment Clients and the odd buyer with less than a million have been turning up to the auctions with great glee in recent months, as better quality property has trickled onto the market, yet the bargains persist.

Regular readers will know we are not keen on new build flats and Clients and contacts will remember the sceptiscism with which we greeted pricing at Brighton’s New England Quarter development.  In fact we were watching the development with a very keen interest, as my sister was considering buying there, in view of it’s proximity to the station and other friends who live near by.

Those who missed out or refused to pay the inflated prices and opted for a period conversion instead, may have noticed that pricing in the development has plunged and Barratt have had to offer more part-buy part-rent than was initially anticipated, presumably due to poor take up.  But values have crept to new depths since Allsops last auction, when a 2 bed 2 bathroom flat in Sharpethorn Court failed to sell. 

According to property price website ourproperty.co.uk, the flat in question was sold for £320,000 in January 2007.  It is now available to bargain hunters at £180,000 and we are sure that with a little negotiation, a 50% discount could be achieved.  The timing of the auction was particularly poor from the vendor’s point of view.  About the time the auction catalogue was released, an article appeared in the Argos publicising yet again residents horror at fellow tenants.  Many flats were bought by buy-to-let investors who have rented their new flats to a variety of undesirable tenants.  The article highlighted the case of a flat in Sheffield Court which had been turned into a drug den.  Residents complained of shouting at all hours of the day and night, urinating in the stairwells and outside and persistent bell-ringing, again frequently in the middle of the night.

So it’s not all good news, but it will settle down.  Sharpethorn Court is almost adjacent to Sheffield Court, but in a development such as this, the problem could happen anywhere.  At £180,000 for a flat though, presuming it is still in good condition, without any dubious former tenants or neighbours, we think it is now fairly good value and my sister is considering buying there again.  For the city-phile who hates DIY and wants a 7 minute door to door trip to the station, good pubs and the nearest corner shop, it’s definitely a development to consider - at the right price, of course!  This London Property Search Agent  will only advise to buy while the price is right.

Technorati Tags: brighton first-time buyer, brighton flats, brighton flats near the station, London Property Search Agent

Tags: brighton first-time buyer, brighton flats, brighton flats near the station, London Property Search Agent

Musings of a London Property Finder

With savings rates at a record low, the stock market in turmoil with High Street names going under on a daily basis and borrowing rates exceedingly favourable for those with good credit ratings and hefty deposits, is it time to move investments into bricks and mortar?  Wearing our hats as London property finders and relocation agents dealing predominantly with prime property, we would say yes.

Since the 60s, we’ve always been rather fond of property.  You can see it.  You can live in it.  You can rent it out and if you bought well, you should cover all costs with a bit left over.  If it burns down, or floods or your tenants don’t pay the rent, you should have insurance which will pay out and indemnify you against your losses.  You can borrow against property and even if you lose your main source of revenue, you could still have insurance  to cover payments on your property investment. 

You just need to buy the right property in the right location at the right price.

We predominantly use the land registry data to study house price statistics, which is a month behind the others but is based on actual sale prices.  The latest data shows that property prices are down 10% in London and Bedfordshire, 9% in East Sussex and Essex and 7% in Buckinghamshire and Kent.  The problem is, the masses aren’t buying, with property sales down 60%. 

But there is still money around for properties priced correctly, or perhaps we should say - at a giveaway price.  The difference between now and 18 months or even a year ago is that prime properties are increasingly being sold discretely, to avoid ending up on property snake or appear stale if they don’t sell.  Auctions which are always a good barometer, are full of lesser quality flats and low value housing, often ex-local authority properties which made great buy-to-let investments with strong yields when purchased cheaply.  Good beaten up properties have become thin on the ground, indeed there have been less than half a dozen properties with guide prices over £500K in most London auctions during the last 6 months.  But there is a plethora of very smart properties available for those of us who know where to look.

With buyers thin on the ground, it’s a good time to buy if you buy well and are prepared to walk away if a vendor refuses to play ball.  Prices may be down 10% but discounts far exceeding this can be achieved at present, so assuming the market continues to fall - which it will, buyers should be cushioned if they negotiate effectively. 

In our view, the market overheated in 2007 - we said that in February 2007 and regularly advised our investors not to enter the market and frequently warned our residential home buyers that we thought the price asked was too high.  So although the headlines are black, this readjustment is not all bad news.  In our view it has reduced the number of agents and vendors pricing a property by sticking their index finger in the air, although there are still a surprising number of those.  Estate agents have to earn their commission somehow, after all and if some poor sucker will pay it - some will think, why not?  We are still seeing the odd home on both the sales and rental markets which are overpriced by 100%+.

So if you don’t want to pay over the odds and you need a London Property Finder or Relocation Agent who will be efficient and organised, call us on 020 7923 7564.

Technorati Tags: London Home Finders, London house finders, London House Prices, London Property Finder, London relocation agents, negotiating London house prices, negotiating property prices

Tags: London Home Finders, London house finders, London House Prices, London Property Finder, London relocation agents, negotiating London house prices, negotiating property prices