|
The number of repossessed homes being sold off at auction has jumped
by a third in just three months, a rise of 32% according to the
RICS.
If the experts predictions are correct, rising interest rates will
push the number even higher, to some 45,000 homes in 2008.
According to the RICS, more than 5,120 homes were sold auction in
the second quarter of this year, which is the highest number of
sales for over two years.
Hardest hit areas include the North West and Merseyside, where
repossessions were 60% up on the previous year.
Of course this is a disastrous situation for those homeowners who
have lost their properties, but what does this mean for potential
buyers?
It could mean a significant increase in properties available
for sale at auctions across the UK in the coming 6-12 months,
which may benefit those shrewd property investors seeking potential
buy-to-let properties.
This, in combination with the drop in the number of first-time
buyers reluctance to buy and remain in rented accommodation until
they evaluate interest rates, could mean even more properties to
choose from at auctions around the UK.
Repossessed properties coming up for sale in the next two weeks
include...
Studio flat in London - Guide Price - £75,000
2 Bed Flat in Cambridgeshire - Guide Price - £95,000
3 Bed Modern Townhouse in Swindon - Guide Price - £150,000
For more details login to IPDS TODAY!! |
|
Fancy a
Flat
?..... |
Commercial
Buy-to-Let.. |
|
|
|
|
Liverpool,
Merseyside
Ground floor studio flat with communal garden. The
property is offered with vacant possession. .
Guide Price
£25,000 |
Chesterfield, Derbyshire
Freehold two storey semi detached property with two
lock-up shops to the ground floor and a self contained
flat to the first floor. Commercial & residential parts
currently let producing £6,920 pa
Guide Price £75,000 |
|
Residential Development... |
Ready for
Retail?.... |
|
|
|
|
Land in
Bristol, Avon
Freehold in fill building plot
with outline planning permission for residential
development. Offered with vacant possession.
Guide Price £60,000 |
Stoke-on-Trent
Vacant ground floor retail
unit with rear storage together with a tenanted one
bedroom self contained first floor flat and small rear
yard. The flat is let on an AST producing a rent of £260
pcm.
Guide Price £90,000
|
All
of these properties are appearing at auctions in the
next 3-4 weeks.
To find out more just Login to
www.auctionpropertyforsale.co.uk
if you are a Member, or Join IPDS Today! |
According to an
RICS surveys for Q2, buy to let investors have made a return to the
market pushed by record rental growth.
Buy-to-let investors returned to the market as rental growth
reached record levels. Tenant demand for rental property has been
boosted by declining accessibility, rising uncertainty and a slowing
housing market which has reduced the impetus on would-be home buyers
to enter into the market, says the RICS Lettings Survey published on
the 10th September.
29 percent more Chartered Surveyors reported a rise than a fall in
tenant lettings, up from 15 percent in the last quarter.
Deteriorating accessibility, tight supply and a slowing housing
market has kept would-be home buyers in the rental sector, with many
adopting a wait and see approach.
New landlord instructions (an indicator of buy-to-let activity)
picked up sharply in Q2. 20 percent more Chartered Surveyors
reported a rise in landlord instructions compared to 8 percent in
the previous quarter – the first time that the figure has moved
above the long run average (16 percent) in 15 months.
However, there was some further evidence that more heavily leveraged
landlords may be feeling the pinch from higher interest rates. In
the interest rate sensitive areas of London and the South East,
Landlords sales rose above the survey’s average. However, at 6%, the
percentage of landlords selling their properties at renewal on a
national basis remains below the previous peak of 10% in Q2 2004.
|
|
Looking forward, surveyors expect rents to reach record growth rates
in the coming months. In particular, surveyors expect a surge in
rental growth for flats into the autumn as first time buyers watch
for the impact of interest rates before taking the plunge.
RICS spokesperson Jeremy Leaf commented:
“Current economic uncertainty has created an ideal platform for
buy-to-let investors to cash in on rising rental levels. Many
would-be buyers have decided to wait and see how the interest rate
cycle will affect the market.
Rising rents are offering some compensation for landlords that are
experiencing higher borrowing costs, although buy to let investment
will struggle for funding in 2008 as lenders become more
discriminating, especially for ‘sub prime’ properties.”
|