Should I invest in property in 2023?
Short answer – yes!
As a result of the recent macroeconomic conditions – a persistent 5%+ base rate, the days of ultra-low interest rates and cheaper mortgages a distant memory, research has shown that one third of UK landlords plan to sell rental properties given the drop in landlord confidence.
Despite news headlines painting a pretty dire picture of the property market, don’t take their word as gospel and do your own research. Granted, there are a lot of factors to consider but do not let them stop you from entering the world of property investment because this year could be the best time that you could start building a property portfolio or simply getting yourself onto the property ladder.
If we turn the negative news on it’s head and look at it from a different angle – it’s a buyer’s market. The exit of a lot of landlords from the property market opens up multiple opportunities for investors but you need to be smart about how you go about investing in quality homes. If you are a serious investor and favour long-term strategy to gain high returns, 2023 is absolutely the best time for you to invest in UK property. For savvy investors, the current market conditions can be described as opportunistic. The shortage of rental stock and a slowing economy can result in a higher rate of bargain offer acceptances. This is because sellers value time over price, especially when they are cautious of a pending housing market crash and place a quick sale at the top of their priority list.
If you are a serious buyer and intent on getting your foot on the property ladder and not looking to invest in multiple properties, the same benefits apply to you too. The reality is that the number of new properties for sale is leaning in your favour, more so than sellers because of the impact of higher mortgage rates a lot of buyers are being forced out of the current market so when putting an offer in your number of competition will likely be lower than you realise.
Another positive noticeable trend we’ve seen is that the first-time buyer market has remained robust throughout the turbulence of the market- their buying behaviour has adapted to seek smaller properties than previous to still achieve the bigger goal of getting on the property ladder. Population continues to grow and the demand for housing does too, people’s behaviour and habits are adapting not disappearing. Provided you are able to find a reputable and experienced estate agent that can advise you on elements such as this, in the local market you are seeking to invest in, your property journey will continue and should move forward seamlessly.
At Sims Williams, we truly believe that investment in property is always profitable and worthwhile but it heavily depends on what your investment goals and circumstances are to determine what it is that you subsequently look for in property.
It is important to remember that the current property market is not a bad market and the landscape will change again as part of the cycle. Investing in property has always been a significant commitment, regardless of macroeconomics. The only difference right now is that it’s more crucial to price correctly in order to achieve a sale within a reasonable timescale. Did you know that the average sale takes 20 weeks? Click here to find out how Sims Williams can help get you ready to move and speed up the sale process.
With over 300 years’ experience between us, we are uniquely placed to advise you on every aspect of the property market between Chichester, Bognor-Regis, Arundel and Walberton, particular in these changing times.
Rest assured, the local markets are still buzzing with activity, we would love to hear from you and get you moving into your next home in West Sussex.