Teddington and Hampton - where are the deals?!

It's a tricky time for investor purchasers! The last few months have seen a lot of people contact me to express interest in buying. Many of those have bought at what I'd consider to be 'market rate'. The hardy few who have hung on in search of a deal have found it tough going - there's very little out there for those of us that have short arms and deep pockets!! This is in contrast to 2012 when there was far more available.

Why there's a shortage of deals, I'm not sure. There is a renewed enthusiasm for buy to let in Teddington certainly. I've got lots of first time landlords coming into the market and this generates competition for lower priced properties. The recent government intervention in the market has also created an impetus whilst the banks have finally realised that over lending represents bad business. I've seen a lot of Teddington estate agents talking enthusiastically about auctions. This isn't because they see auctions as an opportunity to offload difficult properties - it's because in recent months auctions have become a way of creating a bidding war between eager buyers - if you look at auction results online, it's hard to find someone who's got a 'steal'!

So where does this leave us? Shrewd purchasers will hang on! Those less shrewd will let an estate agent talk them into paying £350+k for a 2 bed in Hampton. Meanwhile I've recently had a landlord pay £280k for a 1 bed flat just off Teddington high street. Irrespective of what happens with house prices if she's got a long term mortgage, she'll clear £300 profit per month on a relatively (by today's standards!) modest investment and, as such, can't really go wrong. My advice to others is to seek out these deals, and to hold firm until you're happy you have one - don't get pressured into buying a lemon!

Rebecca Smith