All of the recent upheaval in the mortgage markets has left many wouldbe sellers unable to sell their properties or achieve the selling price they were expecting. With interest rates expected to rise over the next 12 months, it’s likely that we’re at the start of a downturn in the housing market meaning that cash buyers, or those that can still buy under the constraints of the much reduced mortgage market, are going to benefit from a slower moving market and much better deals than were available in summer this year when a buying frenzy meant that properties were frequently selling for as much as 25%-30% above home report valuation.
Our advice to sellers
Given the conditions in the market, sellers should avoid trying to sell their properties unless they absolutely have to. This is because there are going to be significantly less people in a position to buy and the chances are that properties going on the sales market now will either sit for a long time or end up being sold for lower than the seller is expecting.
Renting out is a great option
As we’ve seen throughout 2022, the private rented sector in Edinburgh is crying out for more properties. There are so many more tenants looking for property to rent than the market is currently supplying and demand has never been higher from prospective tenants.
How to get started?
It’s much easier than most property owners think to start renting out their property. The first step is to contact a market leading agency like Umega for a no obligation discussion about what’s involved. There are some registrations and safety certificates to take care of in advance of a tenant moving in but the cost of these is likely to be covered by the first month’s rent meaning very quickly the property owner will be in a position where they’ve provided a new home to a quality tenant and will have their own costs covered while the housing market goes through whatever ups and downs lie ahead over the next few years.
If you’re stuck between selling and renting and not sure what to do, contact our team at [email protected] or call 0131 221 8280 for the latest news and advice on what’s happening in both sales and rental markets.