Quick House Sale Edgbaston
I took this from my Blog at https://propertyinvestorsnetwork.co.uk/housing-market-update-december/
These are my thought on the UK property market and what it could mean for Edgbaston and quick house sale Edgbston for those who may need to sell quickly
In this property education blog post, I’m going to give you an update about what’s happening in the UK property market in December 2020. There’s a lot going on right now so I’ve got lots to cover in this post. It’s really important for you to keep up to date with what’s happening in the housing market if you’re thinking about investing in or selling property. Let’s look at what’s happened so far this year in 2020. For the last 10 years, we have been in a real growth market in the UK. What happens when you have a growing market is you have a boom and at some point you have a bust. I think a lot of people have been expecting that to happen.
At the beginning of 2020, I was talking about the number of landlords who are looking to retire and sell up early. These are people who’ve got property portfolios they might have had for 10, 15 or even 20 years. They’ve got to the point where they’re thinking, “You know what, I might think about retiring in the next few years”. Typically when people have portfolios of property, they might pass them onto their children, and very often their children have seen how hard their parents work and don’t really want to have those portfolios. So very often, retiring landlords actually sell the portfolio. They’ve had a massive growth in value, they sell them, they pay the capital gains tax and they retire on a big pile of money. Sounds like a good idea to me.
“It’s really important for you to keep up to date with what’s happening in the housing market if you’re thinking about investing in or selling property.”
The Affect of COVID-19 on the Market and Quick House Sale Edgbaston
Some investors are saying, “You know what? I don’t want the cost of a hassle of doing that; I’m just going to retire early.” So start to sell up their properties. We know this because of our network of property meetings all over the country. In 2019 and the beginning of 2020, we saw longtime landlords come to those network meetings looking to sell up some of their properties because of section 24 and the new tax changes. That meant a lot more landlords bringing more property onto the market. For this reason, we felt that 2020 might see a dip in the market. Then COVID-19 happened. In the UK, it kind of hit home at the beginning of March and then later in March, we went into the very first lockdown. What that meant for property prices in the UK was that for 12 weeks or so, nothing happened. What I mean by that is all of the lenders and the mortgage companies stopped lending. The reason that happened was because they were very nervous about the market and what was going to happen.
This pandemic and lockdown had never really happened here in the UK before. But the main reason was they didn’t have capacity to take on new work or even deal with existing cases. That was because the government announced that they were going to give rent holidays for tenants who were struggling to pay the rent because of the pandemic. There were going to be mortgage holidays for the landlords. So what that meant was, if you were struggling to pay your mortgage, you could speak to a lender and get three months of mortgage holiday. Now there was a real knee jerk reaction. I think a lot of investors thought, “Well, I don’t know what’s going to happen. My tenants might struggle to pay. Maybe I should get this mortgage holiday, just in case.” So tens of thousands of landlords applied to their mortgage companies to get these rent holidays.
If you’re thinking about a Quick House Sale Edgbaston then contact us here.