The property market seems to be picking up, despite all the fundamental factors being negative. A developer in my street had 5 flats up for sale for about a year. He sold 3 of them this year, and auctioned off one of the remaining ones last week. He got virtually the same price as the flats he sold previously, so I bet the developer was delighted.
That developer sold his 1br flat for 160k at auction a few days ago. He previously sold the other 1br flats for 170k this year, so actually I think he has achieved a very good price for it, and I am surprised. I had a look at the results of another auction a few days later, and saw that a 2br flat about 10mins walk away from that development, sold for 100k. I don't know what condition the 2br flat was in, but it certainly seems like a better bargain at that price.
About 2 weeks ago, I went to view a freehold property which is due to be auctioned off very soon. It's out of my budget, but I went for the experience anyway. The property is three ex-local authority 2br flats in a busy city centre, with fantastic transport links. It needs a bit of cosmetic work doing to it, but the guide price was 250k! I know for a fact that 2br flats in that area would cost around 200k, and due to how close it is to the transport system, they would probably fetch even more. I reckon at auction, it will sell for around 500k or more. It was good to turn up to the viewing anyway. There were about 5 other developers there, so it just goes to show that there is no such thing as a genuine bargain, because other people will find out about it, and compete with you on price. It was fun looking around the property, and we had to use torches to check out the cellar, because the lights did not work!
The property market is not stagnant, and people are still buying and selling property. My millionaire mentor, Mr Piper, sold his main residence this year, and bought another lair, in spite of the poor property market. Life goes on, and if you are into property, its best to just get on with things. London is still looking a little expensive, so I'm now looking a bit further afield.
I've lined up some books on property to read, whilst I scour rightmove.com for investments that meet my criteria. I'm currently re-reading Beating the property clock, by Ajay Ahuja. This is an interesting and practical book by a successful and active buy to let investor, and he has his own website which contains good advice on how buy to let investors operate. His methods might not work too well in this recession, but I just want to learn about his perspective. Other books I've got lined up are: Property Ladder: Developers Bible, How to be a property millionaire, How to make a million from property, The Art of the Deal.
The most important thing about property investments are the numbers. If the numbers don't stack up, then do not do the deal. Property is a funny old game, but people will always need somewhere to live. The property crash has been nowhere near as bad as I hoped it would be, and the signs point towards this being the bottom of the market. Bankers are still getting paid big bonuses, and the market, in my opinion has remained resolute. The British desire to own property, coupled with limited supply, has kept the market strong and the prices high. Houses in Britain will always be expensive.
That developer sold his 1br flat for 160k at auction a few days ago. He previously sold the other 1br flats for 170k this year, so actually I think he has achieved a very good price for it, and I am surprised. I had a look at the results of another auction a few days later, and saw that a 2br flat about 10mins walk away from that development, sold for 100k. I don't know what condition the 2br flat was in, but it certainly seems like a better bargain at that price.
About 2 weeks ago, I went to view a freehold property which is due to be auctioned off very soon. It's out of my budget, but I went for the experience anyway. The property is three ex-local authority 2br flats in a busy city centre, with fantastic transport links. It needs a bit of cosmetic work doing to it, but the guide price was 250k! I know for a fact that 2br flats in that area would cost around 200k, and due to how close it is to the transport system, they would probably fetch even more. I reckon at auction, it will sell for around 500k or more. It was good to turn up to the viewing anyway. There were about 5 other developers there, so it just goes to show that there is no such thing as a genuine bargain, because other people will find out about it, and compete with you on price. It was fun looking around the property, and we had to use torches to check out the cellar, because the lights did not work!
The property market is not stagnant, and people are still buying and selling property. My millionaire mentor, Mr Piper, sold his main residence this year, and bought another lair, in spite of the poor property market. Life goes on, and if you are into property, its best to just get on with things. London is still looking a little expensive, so I'm now looking a bit further afield.
I've lined up some books on property to read, whilst I scour rightmove.com for investments that meet my criteria. I'm currently re-reading Beating the property clock, by Ajay Ahuja. This is an interesting and practical book by a successful and active buy to let investor, and he has his own website which contains good advice on how buy to let investors operate. His methods might not work too well in this recession, but I just want to learn about his perspective. Other books I've got lined up are: Property Ladder: Developers Bible, How to be a property millionaire, How to make a million from property, The Art of the Deal.
The most important thing about property investments are the numbers. If the numbers don't stack up, then do not do the deal. Property is a funny old game, but people will always need somewhere to live. The property crash has been nowhere near as bad as I hoped it would be, and the signs point towards this being the bottom of the market. Bankers are still getting paid big bonuses, and the market, in my opinion has remained resolute. The British desire to own property, coupled with limited supply, has kept the market strong and the prices high. Houses in Britain will always be expensive.
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