What is going on at the moment?
All I hear on the media is doom and gloom. Living costs rising fast and prices just shooting upwards each week. The talk of stagflation and the markets kicking all over the place. I am fearful of a recession, a long one at that, I want to sell my BTL in the next 12 months and I cannot start the process for a few months yet. Yet again my plans are being scuppered and ripped to shreds. I will have to serve a section 21 and it will hit at just the wrong point in the year (winter). Not the best time of year to sell or try to get a property vacated. I fear that it is going to cost me a lot to get the place sold too, i.e. carrying a void house for months. Putting the property onto the market when there is a recession is not helpful as I could end up losing money, which was not the idea. I just wanted somewhere safe to put my redundancy money, then later sell and make a little bit of profit to cover costs and provide the equivalent to a reasonable rate of interest (~ 6%) on the invested money as that was better than a savings account ( ~1%). I think that idea has burst.
If COVID has not hit I would have initiated the process in 2020 and I would have been out of the rental market by now. I worry about the selling process as I watch my neighbour moving. They sold their house in November 2021, by open house and sold same day, but they have only just moved out, that’s 6 months to complete. Ouch! I guess some of that was due to a long chain, although it has taken my aunt 4 months to complete and that involved an empty house on one end and a first-time buyer on the other.
I was told by a friend that the area where my BTL property is is very competitive and that houses are selling fast (within days), they have a relative who has bought in an adjacent area and they were saying that they had to chase properties quickly as they were going as quick as they appeared on the market. I am not so sure this will be the case when I come to sell mine, this economic situation is not looking good. The property has low running costs so may appeal to a downsizer or a first timer trying to get on the housing ladder, its a 2-bed mid-terrace. It depends on what happens this winter with energy costs. I wonder if there will be any buyers at the start of 2023 when my property is likely to appear on the market? (If I can get the tenant out)
Any words of wisdom from BTL landlords out there?
Would local letting agents help me find a landlord who would be willing to buy the place with sitting tenant?
Am I better putting an empty property on the market and widen the potential buyers?