Welcome back to the first Warrington Property Blog
article of the New Year! I hope you all had a lovely festive break with your
friends and family.
I thought this would be the ideal time to talk
about the weather… (I’m joking!)
So
what type of property will sell best in Warrington?
Knowing how saleable a property is, is half the battle when deciding what (or what
not) to buy for your next property investment. Why? Well because, one day, you
may need to sell that property. If you go into the purchase with open eyes, you
know most of the risks – and can barter the price accordingly if you have to.
Bearing this in mind, last week, a newbie landlord
from Runcorn popped into our offices to ask about investing in property. His
concern was if we have another property slump (and we will because that is what
has happened to the British property market ever since the 1950’s), if he did
need to sell, what type of property would be easiest to sell. Now, everything sells, even during a slump,
but I did some research and followed up his query – I was actually quite
surprised with the results.
A good guide to judge the ability of a
property to sell is the number of properties for sale, compared to the numbers
that are sold, subject to contract.
I carried out this comparison last week, so the
numbers will be marginally different today, but of the 283,656 households in
Warrington there are 2,041 properties on the market for sale. Of those 2,529
properties, 1,206 properties are fully available on the open market waiting for
a buyer and 1323 have buyers and are sold subject to contract. That means 52.3%
of property on the market has a buyer in Warrington.
However, if we delve deeper: in Warrington today, a
reasonable 29.8% (162 of 543 houses have buyers) of detached houses on the
market have a buyer. It’s great news for semi detached property owners, as
49.4% of them have buyers (almost 50%, which is great market activity as 264 of
the 534 have buyers). Terraced houses fair slightly better than detached
houses, with 232 of the 511 on the market now having buyers (making 54.6%). The
properties that appear to be sticking are apartments, which are comparatively
lower than a semi detached house, coming in at 34% (81 buyers out of 238).
You
must have a plan when investing in property – are you doing it for the yield or
are you looking at it as a long term investment?
Looking at the research above its clear to see that
if you are looking to invest in a property that will be easy to sell down the
line, then it’s between the semi detached and terraced houses in Warrington. However, each of these have to be
approached with different strategies.
If you are a reader of my blog you will know I am
fond of my two up two down terraced houses in Warrington, as they can be picked
up for around £70 – £80k in most cases. They can be ready to let for around
£495pcm, roughly giving you yields of around 8%.
However, the average price of a three bed semi detached
in Warrington is around £150k - £155k with rents on average at £750pcm, which
gives you a yield of around 6%. These three bedroom semis tend to be in high
demand and have very few voids. Although the upfront cost is larger and the
yields are not as great, you can expect some good capital growth in the near
future.
If you are looking
for an agent that is well established, professional and
communicative, then contact us to find out how we can
get the best out of your investment property.
Email me on manoj@hamletwarrington.co.uk or
call on 01925 235338. If you are in the area, feel free to pop into
the office – we are based on 6 Bankside, Crosfield St, WA1 1UP. There
is plenty of free parking and the kettle is always on.
Don't forget to
visit the links below to view back dated deals and Warrington Property News.
Twitter, https://twitter.com/HHWarrington
No comments:
Post a Comment