Property investment during Covid-19
The effects of Covid-19 have already had a significant impact on the property market. With the current decline in house prices, cheaper borrowing, reduction in stock market returns and lower interest rates on savings. However, the potential returns from residential property remains an attractive option to investors.
Recent forecasts suggest that the UK might see residential house prices decline by 3% – 6% in 2020 but later bounce back in 2021, as the pandemic recedes. Although this is a time of uncertainty, it is also a time of opportunity for those who are prepared to invest.
Whether you are looking for your first investment property or to expand your existing property portfolio, many investors are now considering acquiring property during the lockdown. For example, there is now more room for negotiating price reductions for new build properties with units having not been sold and developers in need of liquidating property stock to increase cash flow. In addition, now could also be a good time to consider auction purchases, to re-visit previous bids and continue negotiations on transactions which were not concluded. Unfortunately, for many, there will be pay cuts, unemployment and chains falling through but this will provide potential investors with greater purchase options.
Lockdown need not limit your ability to invest. Most estate agents have modified their usual methods of working, particularly the way in which viewings are carried out. Virtual tours, where buyers can navigate their way through a home using 3D images online, have been on the rise. Zoopla have recorded a 215% increase in visitors who have recently viewed new-build homes virtually since social distancing measures have been brought in.
How Blaser Mills Law can help?
Whilst there is likely to be a surge of investment opportunities available during lockdown, every financial decision that is taken requires the weighing up of reward against benefit and risk. It is also imperative to consider one’s financial position, particularly during the Covid-19 pandemic. Blaser Mills Law works collaboratively with a number of tax specialists, property finders, accountants, surveyors and specialist buy to let mortgage brokers, to achieve our investor clients’ desired outcomes.
We are an experienced team of property lawyers who can advise on all legal elements of a property investment, including new build and off plan purchases, auction purchases, houses in multiple occupation, compliance with lender requirements and landlord obligations, to name a few.
Blaser Mills Law is a full service law firm. Our team can not only bring your purchase to a successful conclusion but we can also assist with other related property matters, such as bridging finance and development loans, planning law and property litigation matters.
For further advice, please contact Zara Liedl Carroll on 01494 788026 or at firstname.lastname@example.org.