Stamford House Prices UP 2.7% in a Year
Tue 28 May 2019
The balancing act of being a Stamford Buy-To-Let landlord is something many do well at. Talking to numerous local landlords, they are very aware of their tenants’ capability to pay the rent and their own need to raise rents on their rental properties. Despite the ‘perceived’ dark clouds of Brexit, evidence suggests many landlords feel more confident than they were in the summer and autumn of 2018 about aiming to push rents higher on their Buy-To-Let properties.
Looking at the data for the last 7 years, this shows that throughout the summer months the rents new tenants have had to pay on move in have increased at a higher rate than during the colder months of winter. This is because the summer months are normally a time when renters like to move, meaning demand increases for rental properties yet supply remains pretty rigid. Yet the winter stats buck that trend and this is great news…
Rents in Stamford on average for new tenants moving in have fallen 0.8% for the month, taking overall annual Stamford rents 1.1% higher for the year
However, several local landlords have expressed their apprehension about a slowing of the housing market in Stamford and, I believe, based on this new evidence they may be overstated. Before we get the bubbly out though, the other part of investing in property is what is happening to capital values (which will also be of interest to all the homeowners in Stamford as well as the Stamford Buy-To-Let landlords). I believe the Stamford property market has been trying to find some form of balance since the new year. According to the Land Registry….Property Values in Stamford are 2.7% higher than they were 12 months ago
Yet, these figures reflect the sales of Stamford properties that took place in the late autumn of 2018 and now are only exchanging and completing during the winter / early spring months of this year.
The reality is the number of properties that are on the market in Stamford today has risen by 5% since the autumn and that will have a dampening effect on the property market. As tenants have had less choice, buyers now have more choice, and that will temper Stamford property prices as we head into the middle of 2019.
If you are preparing to sell your Stamford property in 2019 (either your own home or an investment property), with the rise in the number of properties on the market it’s vitally important you price your property realistically when you bring it to the market and consider HOW you are marketing it. With the likes of Rightmove, Zoopla and OnTheMarket on everybody’s mobile phones and laptops, buyers have access to every property on the market and they will compare and contrast your home with other properties like yours – and will more than likely dismiss your property rather than view it. At Pelham James Unique Homes, we understand HOW to make your home stand out from its competition and we'd be happy to chat to you about our distinctive marketing style and the success we've achieved for our clients.
To all the Stamford homeowners that aren’t planning to sell though, this talk of price changes is only on paper profit or loss. To those that are moving, most people that sell, are buyers as well, so as you might not get as much for yours, the one you will want to buy won’t be as much. Look at the deal as a whole, the difference between what you sell yours for and what you buy at. Finally, all the Stamford landlords, keep your eye’s peeled, as I have a feeling there may be some decent Stamford Buy-To-Let deals to be had in the coming months.
If you would like a current market appraisal of your Stamford or Rutland home, please contact us and we'd be happy to help.