Inflation Property Prices and Costs of Refurbishments
All of us in the UK property market are witnessing shocking events in the costs of Property. There is very little supply, very few builders who are available to work and the costs of refurbishments are rising. Parrellel to this are want to be property investors who think they can buy BMV and run refurbishments half way across the world remote control. I can tell you first hand as every month we are doing 3 to 4 social hmo properties are mostly 5 and 6 beds. We have shifted to the bigger Social Hmos do to the costs of the property themselves and the costs to refurb. We have had pull back from some buyers of our properties as they do not understand the house next door might rent for 500 a month and we get a rent of 1300 net. They do not take into account all the costs to refurb plus now something very new, cost inflation of refurbishment.
With all of this said, I believe one of the safest places for our families money is in property. We buy 100 year old plus terraced houses. There are a shortage of thes plus we maximize returns by making them Social HMOs.