Newspapers report property prices in England have soared to a record high – sparking predictions that the country is facing another dangerous property bubble. Yet property values in the North West are still 11.2 per cent lower than their previous peak in the Autumn of 2007. Even with that news, I have been speaking with a couple of landlords over the last few weeks who are looking to buy more investment properties, but who had concerns that the state backed schemes to boost sales to first time buyers, such as Funding for Lending and Help to Buy were helping to fuel this potential bubble and were asking if this means the end of property bargains in Rochdale?
Well, if you do your homework, there are still plenty of good buys in Rochdale. Don’t expect them to come on the more popular streets in the town, or to be given to you on a plate. It will take time, research and analysis to find them, but they are there if you look...
Back in February 2013 a garden fronted, extended stone terraced cottage in Norden came on to the market. Whilst some modernisation was required, the property did offer a brand new gas fired central heating system, uPVC double glazing and electrical rewiring. The property sold for £81,500 in April 2013. The point was that a lot of money had been spent on the high cost items (central heating, windows and electrics) but it was obvious that it had not been redecorated for over 40 years and it had a kitchen and bathroom suite of similar age. Another property investor obviously saw what I saw and bought the property and it was back on the market in less than six months achieving £113,500 – aside from a new basic kitchen and bathroom suite, new carpets and redecorating, which will have cost no more than £5,000-£6,000 in total, someone has made an awful lot of money. 2014 is no different, the bargain properties are out there, albeit not in quite the same abundance as in recent years.
By keeping an eye on the local market, I am able to judge if a property is good value to buy for a landlord. I give this advice and opinion freely to anyone who asks, be they an existing landlord of ours, or of another agents. I will also give this advice to anyone thinking of becoming a buy to let landlord for the first time, it can be scary at first, due to the number of “what ifs”. However, by buying correctly and most importantly managing the property / tenancy effectively, the “what if” scenarios can be mitigated, therefore providing a good property investment and future return for you.
I do not charge for this service, because if I offer you an honest and straight forward opinion, you may consider using my company to manage your property. However, I must stress there is no obligation to do so.
Why not pop in to see us, or call to make an appointment to discuss the Rochdale property market.