Jackie Llewellyn ends 2013 as she started it – looking for more properties for waiting tenants.
In an ideal world, the balance between supply and demand in the residential rental market would be perfectly balanced. The last thing you want to be doing as a property agent is turning down business!
But the continued surge in demand for rented property in South Wales is currently focussing all our attention on how we encourage more landlords into the market.
This time last year we had a reasonable waiting list of tenants looking for suitable, good quality properties. And, despite having had a record year and finding tenants for hundreds of properties in South Wales, that list has actually lengthened somewhat.
Despite higher levels of borrowing and more homes coming onto the market here in South Wales, a great many people are still keen to rent – and the steady upturn in the economy is helping to drive that demand.
People who were sharing accommodation because of uncertainties in the job market are now looking for their own place. Many need the flexibility of being able to move whenever they need to the advance their career prospects. Buying is not always a possible or even the best option – and so quality properties are in demand.
Getting started couldn’t be easier. For anyone looking to move into the buy-to-let market, there are plenty of lenders keen to offer a range of different options – including shared risk – and the relatively low prices of property in Wales still make it a great place to invest, even with a starting pot of just £20,000. Yields are currently around 6% after all the costs are taken out, and capital growth for 2014 has been predicted at 7%. Those sorts of returns just aren’t available elsewhere without taking considerable risks.
The big factor then, is availability of property to actually acquire. And here we can also help both smaller investors as well as corporate ones: we’re in touch with developers keen to sell ‘end-of-scheme’ properties or to pre-sell entire developments they have consent for.
Even though house prices are firming up, there are always deals we can do – and we’ve recently helped a number of investors purchasing properties all along the M4 corridor with discounts of up to 20% of the asking price.
So if you want to see your money grow in 2014, give me a call!