Brexit: An Opportunity Or A Threat?

A survey has revealed that investors are much more likely to see Brexit as an opportunity rather than a threat, in spite of factors like rising inflation.

Half of those surveyed said they considered the changing relationship between the UK and Europe to be an opportunity. Some shared the surprise and concern that dominated in the UK; in France, the feeling was largely one of incredulity that the UK was ruining the European dream. For Germany, it was seen as an opportunity to promote Frankfurt as a commercial market, while many Asian buyers and investors saw a decline in sterling as an opportunity.

In over three decades in property, UK undergoes crises and economic upheaval, but markets, particularly London, soon recovered – and often thrived.

It was on the late 1980s, when institutional investment in UK real estate came of age, when the big commercial businesses experienced some of their fastest growth and overseas investment from the likes of Japan, Sweden, and the Middle East began.

In the early 1990s, George Soros ‘broke the Bank of England’. It was also a time of chronic overbuilding and, early in the decade, sky-high interest rates – a challenge for overextended property firms. Yet by the mid-1990s, investors, particularly German firms such as Deka and Commerzbank, were piling into London property.

Finally, In 2008 and into 2009, the commercial property market was on its knees.

Whether, when and how we leave the EU may have significant, long-term implications for the economy, but the impact on commercial property is likely to be short-lived. Despite the uncertainty, the macroeconomic fundamentals remain strong. The economy is still growing, with 0.4% GDP growth in the latest quarter and employment at its highest since records began.

The property market is healthy. A no-deal Brexit could disrupt the market and affect yields, but over a period of months, not years. The market will bounce back, just as it always has done. For those with the right perspective, that’s not a disaster; it’s a buying opportunity. Learn about bridging finance and how it can benefit you by reading about Richard Butler Creagh online here. Like the official Richard Butler Creagh on Facebook to keep up to date with the latest news in property and finance market.  Show your support online by following Richard Butler Creagh on Twitter here.

 

 

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How to Buy a House at Property Auctions

Tips on bagging a Property at an Auction

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While it is true that purchasing a property at an auction does come with some inherent risks, when done right, it is also a great way to secure a good bargain. If you are prepared to take on the risks involved, you will find that buying at a property auction can offer you some very incredible savings.

For those that are doing this for the first time, the prospect may be a bit intimidating to you. To help guide you on your first attempt at buying a property at an auction, below are some tips for you.

Find an auction

You need to locate auction houses that offer properties where you are interested in buying a property from. Many of the London auctions tend to offer properties that are located in London as well as in the Home Counties. For auction houses outside of London though, expect that they are likely to focus on local properties.

After finding an auction house, secure an auction catalogue by being part of their mailing list. These catalogues will be available a few weeks before an auction so this should give you enough time to find out about the pricing as well as the sale conditions.

Check the fine print

This is something that you should never skip on when joining an auction. Read through the document and make sure to send a copy to your solicitor. Be aware too that flats and houses that are sold in auctions tend to require some renovation and modernisation. Being aware of the extent of the repairs needed is helpful and a survey is often a good way to do so.

Ensure fair value

Find out more details on the local property market before you will sign up for the auction. This will help you get an idea of the actual worth of the property. This will also help you set a maximum bid. Be aware that it is a common mistake that people make during auctions to get carried away and bid more than maximum. So, always make sure to set a specified limit and stick to it.

 Bring the right stuff

Find out what kind of ID you will be asked to show. Know about the methods of payment that are being accepted as well. For a successful bidder, an exchange of contract is to be expected a deposit fee amounting to 10% of the property’s purchase price is expected to be made too, along with the auction house fee. Purchasing from an auction often requires four weeks to complete. Be aware that if you do not get it completed by the set date, the seller could sue you and you will likely lose the deposit too.

Watch Richard Butler Creagh video below.

Auctions need not be that intimidating when you know what to do. Before taking part in one, learn more about how you can get the best property deals at auctions by checking out Richard Butler Creagh website here. You can also connect with Richard Butler Creagh on Linkedin here.