Landlords should sell their Property Investment Portfolio now

There hasn’t been a better time in 28 years for you as a landlord to sell-off your property investment portfolio than now.

Why do we say that ?

The answer has to do with prospects for both rental income and capital growth.

Poor Rental Income Yield From Your Property Investment Portfolio

As a landlord, perhaps you’ve noticed that your yield - the annual rental income as a percentage of the value of your investment property - has gone down in recent years. Why has this happened ?

The two main reasons for this are . . .

• A few years ago we had property values shoot-up 30% and 20% in a year. This will have increased the denominator on your yield percentage calculation and given rise to a sense that it’s not as profitable to be operating as a landlord any more

• Also, although property values have shot up, rents are more or less at the same levels they were at in 2002. How long it will take for rental levels to start to move up again is anybody’s guess. Some such economic cycles have a period in the order of 40 years so some of us, especially if we are retiring landlords, may not see the high income days of being a landlord again in our lifetime. Such static rent conditions contribute to the sense that landlords are subsidising their tenants’ income !

Poor Capital Growth Ahead For Landlords With a Low Rental Income Property Investment Portfolio

28 years ago we bought our first small flat for £4,500 ! Today it is worth £45,000. It works out then, that the long-term 28 year average rate of property appreciation is running at 8.57% !

Now, given that we’ve had property values increase at 20% - 30% pa over a series of years recently while the long-term average rate is only 8.57%, it’s quite likely that we will have below-average capital growth ahead of us for some years now as the prevailing long-term average exerts its influence.

So in effect, for both reasons of capital-growth and reasons of low rental income there’s never been a better time for a retiring landlord to sell.

But why do we want to buy your property investment portfolio when everyone else should be selling ?

The answer is simple enough.
We want to work at developing property.
Along with putting our own investment capital to work in our development operations we’re open to the prospect that you might like to invest your investment property’s disposal proceeds with us and we’re happy for you to off-load your properties to us to enable you to become involved with us. We’re offering a fixed rate of return of 32% pa pre-determined by contract.
It’s a bit like trading-in your old, rusty investment vehicle with a manual gearbox (your property portfolio) for a new, shiny, turbo-charged automatic (your new investment with us).

So if you are a landlord and would like to discuss selling your property portfolio to us with or without re-investing call us for a no obligation discussion on . . .

email us enquiries@saleexpress.co.uk with details of your property and remember to include your contact details and attach photos if you have any