The housing market
The UK housing market is slowing down. Property transactions dropped by 18% in the year to February 2023 and reports suggest that house prices are falling at the fastest annual rate since 2009.
This could have both positive and negative consequences for buy-to-let investors. On one hand, buying a property when prices are low may give you a better return on your investment — so long as you get your timings right.
A slower market could also give you some bargaining power if you can offer homeowners a quick sale. Some sellers may be willing to reduce their asking price rather than keep their property on the market for an extended period of time.
Conversely, if your property continues to decrease in value well into the near future, you may end up selling it for less than you paid for. Even if you do get a good deal, you’ll also need to factor in additional costs such as taxes and mortgage rates.
Talk to us about your buy to let options.
