Landlords are taking action as tax bills and refurb costs rise above rent yields

The festive period is over, and as we head towards the second month of 2023, the year has well and truly begun. For many landlords, 2022 was a mixture of tough decisions, calls to action, and the realisation of a potentially rocky road ahead. After years of profitable property portfolios, landlords started to feel the pinch.

The situation was exasperated by a hike in interest rates, an economic downturn, and in the last few months of the year many Property118 landlords made the decision that the best course of action was to sell their portfolios and exit the market.

But for those that made it through to January, the questions remain: should I be thinking of selling? Is it too late? Is selling better than holding on to my buy-to-lets?

To answer this, it’s time to really take stock of what the current situation for many of us might be:

1. Tax bills haven’t gone away, and in January they need paying
2. Many landlords are still unable to get round to sorting out their empty properties and refurbs
3. There’s less cash in pot due to rate rises, so even if you don’t sell all your properties, selling some properties to raise funds is a sensible option
4. Tenants are in arrears and many are paying low rents with some skipping December rents to pay for Christmas, having a huge effect on landlords
5. There’s another rate rise due in February, so landlords need to act fast.

For many of the “golden era” landlords, it’s clear that we need to take action, but luckily there’s still time to exit completely or sell partially to raise the finance you need to weather the storm. In fact, it makes sense that so many landlords have decided to sell most of their portfolios but keep collecting rental income on just their top few profitable properties.

Whichever category you fall into, there’s no doubt that standard Estate Agents simply won’t cut it. By the time they sell, if they sell, the situation is likely to have got a lot worse and house prices will undoubtedly have dropped further. So if now is the best time to sell, where do you turn?

Landlord Sales Agency, a company created by landlords for landlords, are industry experts in selling tenanted properties – whether it’s with tenants in situ, or if you need help making sure they’re out.

Our database of over 30,000 private buyers and our extensive buyers network means we’re able to sell your properties in weeks rather than months. Most of our properties sell in less than 28 days.

No matter what condition, our “formula-one” team will work around the clock to solve every single issue your portfolio might have. We’re also trusted partners of Property118 if you need that extra help with incorporating.

What’s more, for such a fast sale, landlords don’t have to worry about compromising on the sale price. We typically achieve 85% of the market value, and for that we cover all the costs, solve all your property and tenant issues and take away all the hassle that comes with selling the portfolio.

This makes complete financial sense when compared to estate agents who might get you 100% but with large fees on top, plus a much lower price if they’re only able to sell months down the line and therefore at a much lower price. It’s better to take 85% of a high price now, than 100% of a lower price with fees on top. We’re also completely transparent, so you know exactly what we’re making.

In fact, we’re so confident in our ability to sell your properties fast and for the highest price that in some cases we can even help with cash advances.

You simply have nothing to lose and everything to gain. It’s time to let go of the stress, let the experts take over, and get you set up in the strongest financial position possible for the year ahead.

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