The life of a landlord has gotten tougher in recent years. While that won’t move many people to tears, the reality is that being a landlord is as much of a business as any other. Therefore, if market conditions change, the amount of money you’re making will take a hit. The good news for landlords in Oxfordshire is that the rental market remains strong.
Strong Markets Might Not be a Reason to Remain a Landlord
Data from Home shows that the average property in Oxfordshire rents for £2,444 per month. Based on the 1,147 total properties for rent at the time of writing, 129 were in the £500 to £1,000 bracket, compared to 526 in the £1,000 to £2,000 bracket. Perhaps even more interesting is the fact that 399 properties were being advertised for between £2,000 and £5,000 per month.
Despite the market being buoyant, landlords in Oxfordshire and the UK at large are selling part or all of their rental portfolios. According to data collated by Simply Business, 25% of landlords are planning to sell their properties in the next 12 months. Asking 1,500 landlords in 2023, the business website found that 20% cite the government’s Renters (Reform) Bill as the reason for selling.
Of those surveyed, 43% noted rising mortgage interest rates as a reason to sell, and 32% said rising taxes (from changes to allowable expenses) are forcing a selloff. If you’re a landlord who wants to sell, there are certain things you need to consider. Firstly, you need to think about the type of mortgage you have and the financial implications of selling. Secondly, you need to think about the status of the property, i.e. are there any tenants in situ?
Sell Your Properties in the Right Way
Getting advice is crucial when it comes to selling a house with tenants in situ. As noted by Sold.co.uk, you can ask tenants to leave but they’re under no obligation to if they’re under contract. Goodwill goes a long way in these situations, but what happens if people don’t want to move? Evicting them is an option, but only if there’s a legal and just reason. You can’t simply invent reasons why a court should evict people from your property.
Another option is to sell the property to a landlord or company that is happy to take on the tenants. For example, if you sell to a property company, they’ll act as a cash buyer. That means you can agree on a price and complete the transaction, with tenants in situ, within days rather than weeks or months. The agent then assumes responsibility for the property and the tenant while you’re free to enjoy the proceeds of the sale in whatever way you want.
Selling may not be the answer. The rental market in Oxfordshire is stronger than in many parts of the country. Therefore, if you’re willing to accept a decrease in the amount of money you make each month, it might not be right to sell. However, if you’re tired of the rental game or the market is no longer viable, there are quick and easy ways to sell, even if you’ve got a tenant in situ. Just make sure you do things fairly and legally.
