No matter what your aims are in the property market, it is likely that someone will have very different ambitions from you. It is always best to remember that positive news for one person or group in the property market is likely to be unwelcome news for other groups of people. If you are looking to sell your home, you may not think too much about the performance of the buy to let market, but given the connected nature of the property market, any substantial change for one group could impact on you.
A recent study carried out by the Centre for Economics and Business Research suggests that mortgage approvals are falling in the country. In 2016, there was a drop of 13% in buy to let mortgage approvals and in 2017, there was a fall of 27%. This is a significant drop by any standards; but considering the complaints and concerns that have been raised in the industry, this shouldn’t be a huge surprise.
Landlords have faced many challenges recently
Investors and landlords have faced many challenges in recent times including an increasing array of regulations and a lot of tax changes. This has led to some landlords deciding that they are better off out of the market, and this has certainly been a factor in the decline in buy to let mortgage approvals. There has also been an increase in the tests being carried out by lenders, and this may also have impacted on applications.
In one regard, some vendors will have concerns about a fall in investors and landlords obtaining a mortgage. After all, this will result in fewer buyers in the marketplace, which could make it harder for vendors to sell their home.
Vendors need to react to market changes
Of course, if there are fewer landlords operating in the private market, it becomes harder for tenants to find suitable and affordable rental accommodation, which may force some of these people to face up to the reality of having to buy a home. There is an increasing level of support on offer for first-time buyers and if the rental market becomes too expensive, there could be a switch towards buying property instead.
Either way, it is important that homeowners do their best to present their home in the right manner, and to the right buyer. If there is a greater focus on first-time buyers in the market, this should provide homeowners with clarity on who their most likely buyer is. This is useful information because it means the home should be tailored to the demands of these buyers. A well presented home, with the right buyer in mind, stands a much greater chance of being sold, and this is where Philip Ryan is here to assist you.
If you’re looking for the best range of support and guidance in selling your home, turn to an estate agent that makes a difference. Contact Philip Ryan and we look forward to helping you sell your home.