‘Time in the market, beats timing the market’ is a well known quote often applied to the stocks and shares market, but it certainly is very applicable for anyone building up a property rental portfolio. Many long-term landlords who gradually build up their portfolio over many years rarely if ever sell, unless they get to a stage later in life where not having mortgages is preferable and the buying phase is truly over.
But there are definitely times in every housing market cycle where opportunities to buy come along and where sellers are more motivated. This is without question a period we are now into with the sharp increases in mortgage interest payments over the last 12 months. As Adam Lawrence comments in his article on page 34. this is not a time to be sitting on the sidelines, however I am well aware it’s not so easy to meet the lenders borrowing criteria as it was a few years ago.
Those who have been hoarding their cash reserves and who did not overpay in 2021-22, will be very likely looking carefully at the upcoming auctions and networking more with local agents to find deals which add up.
In this edition we have two articles looking at the HMO sector, with one on page 40 from Wendy Whittaker-Large, a highly experienced operator in shared accommodation. And Whilst on page 18, you can learn more about how two award winning HMO specialists are creating a 13-bed Co-Living scheme, by adapting some former commercial premises on the south coast. There are lots of useful nuggets to absorb, as they explained how they go about creating HMOs that their residents will pay high local rents to live within.
Commercial property specialist Suzi Carter comments on page 38 about the opportunity to buy, in what is without doubt a buyers market for commercial offices and shops in secondary locations in many towns and cities.
Another commercial property niche which is seeing very difficult trading conditions, is in the hospitality industry with many public houses enduring a tough time as consumers make alternative choices. On page 22 planning consultant David Kemp talks through his experiences of how to win planning battles to enable pubs to be converted to residential use.
In just a few weeks time on the 6-7th October, the long running Property Investor Show returns to the Excel Centre at London’s Docklands. We will of course be exhibiting and the PIN team look forward to speaking with those many readers who regularly attend. If you are attending, then do say hello and share your thoughts on the market