With lockdowns now firmly behind us and no prospect of them returning in full force any time soon the property market has come roaring back – could now be time to invest in Salford property?
There is certainly plenty of evidence the housing market is booming –although figures have been inflated by the rush to take advantage of the stamp duty holiday which came to an end in October.
According to HM Revenue and Customs, in the UK in last month an estimated 160,950 homes changed hands, which was almost 70% higher than in August and 68% higher than the previous September.
Compared to the 50% drop in sales which occurred in April and May 2020 due to the pandemic, it is clear the market has put Covid behind it.
Zoopla has predicted 2021 will be the strongest year in the housing market since 2007, with around £500bn in sales.
Now that the stamp duty holiday has come to an end it is expected the residential sales market will slow and price growth is set to stall making now a perfect time to invest in Salford property.
Sensing opportunity of a market lull before further growth, investors are out in force cash buying property left right and centre after laying low throughout the pandemic.
Property is on the verge of flipping from a seller’s market to a buyer’s market.
What does this mean for rental?
Research from Zoopla found rents were rising at their fastest pace in over a decade in all places in the UK except London.
They found rent would be on average £500 more per year by the end of 2021 compared to 2020.
Demand for rental properties across the country is expected to rise in the coming months.
As people decided to stay put during lockdowns, and with evictions made temporarily very difficult, tenants very rarely moved.
But now the economy is looking increasingly strong and lockdowns fading into memory more and more tenants will start looking for a place to move.
With a rise in demand, it could be the perfect opportunity for House in Multiple Occupation (HMO) property investment.
With the ability of being able to house multiple separate tenants into a single property, HMOs can easily absorb any rise in demand.
Combined with a rise in rents and the reproductive growth HMOs offer, they could be a wise investment.
If you are thinking of investing in property for rental and would like help and advice on how to manage a successful tenancy, please contact our experienced team or visit our contact page to find your local branch.
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