Why London Housing Market Presents Olympic Opportunities
House sales in London are slowing owing to the fact that mortgage companies now require the proverbial arm and a leg for a deposit and will only lend to people with squeaky clean credit files.
The housing market and global slow down has lenders scared and holding on to their funds.
This is resulting in stagnation in the London property market and the growth of a new breed of investors.
Seasoned "Buy to Let" property property owners have in recent times suffered owing to a growing band of 'accidental landlords' i.
e.
those who could not sell so let their homes instead.
These accidental investors sit on a knife edge with mortgages payments that absolutely need to be paid even when the property was void of a tenant.
It's a simple fact in London that the majority of accidental landlords just want out! The stress is too much and economic uncertainty has made the situation worse as many cannot financially handle void periods.
This has meant that the serious investor has ample opportunities not only to benefit from accidental landlords but now from a slowing housing market in London.
London house prices are now so high this has resulted in a market full of first time buyers that cannot get onto the property ladder, renting in London is now all the rage.
Rents are going up and landlords are making money.
It is well known that central London house prices are not like any other in the world.
They seem to be immune to any fluctuations experienced in the rest of the UK.
Driven largely in part by overseas property investors central London may benefit investors in two ways.
That is rental income and property price increases both can be substantial in central London but the initial capital expenditure will be high! I would recommend investors seeking London property to rent to look for London Houses for sale in East London.
I mean areas such as Barking & Dagenham, Bexley, City of London, Greenwich, Lewisham, Hackney, Havering, Newham, Redbridge, and Tower Hamlets.
These are areas are all benefitting from infrastructure improvements and of course the Olympic bounce where the feel good factor will increase house prices.
Recent changes in government housing benefits means the UK government plans to slash the amount of money received by families claiming housing benefit.
A restriction on housing benefits and plans to reduce their cost the Local Housing Allowance gives families in four bedroom homes up to £1,000 per week to pay their rent.
This is still a substantial sum and room enough for landlords to make a profit.
The housing market and global slow down has lenders scared and holding on to their funds.
This is resulting in stagnation in the London property market and the growth of a new breed of investors.
Seasoned "Buy to Let" property property owners have in recent times suffered owing to a growing band of 'accidental landlords' i.
e.
those who could not sell so let their homes instead.
These accidental investors sit on a knife edge with mortgages payments that absolutely need to be paid even when the property was void of a tenant.
It's a simple fact in London that the majority of accidental landlords just want out! The stress is too much and economic uncertainty has made the situation worse as many cannot financially handle void periods.
This has meant that the serious investor has ample opportunities not only to benefit from accidental landlords but now from a slowing housing market in London.
London house prices are now so high this has resulted in a market full of first time buyers that cannot get onto the property ladder, renting in London is now all the rage.
Rents are going up and landlords are making money.
It is well known that central London house prices are not like any other in the world.
They seem to be immune to any fluctuations experienced in the rest of the UK.
Driven largely in part by overseas property investors central London may benefit investors in two ways.
That is rental income and property price increases both can be substantial in central London but the initial capital expenditure will be high! I would recommend investors seeking London property to rent to look for London Houses for sale in East London.
I mean areas such as Barking & Dagenham, Bexley, City of London, Greenwich, Lewisham, Hackney, Havering, Newham, Redbridge, and Tower Hamlets.
These are areas are all benefitting from infrastructure improvements and of course the Olympic bounce where the feel good factor will increase house prices.
Recent changes in government housing benefits means the UK government plans to slash the amount of money received by families claiming housing benefit.
A restriction on housing benefits and plans to reduce their cost the Local Housing Allowance gives families in four bedroom homes up to £1,000 per week to pay their rent.
This is still a substantial sum and room enough for landlords to make a profit.
Source...