July 1, 2009
Landlords - Local makes sense
Private landlords who buy property in an area that is local to them can have a "distinct advantage" over investors who purchase bricks and mortar in regions they know little about, it has been suggested.
This landlord advice comes from Richard Bowser, editor of Property Investor News magazine, and he thinks that there have been a number of "naive" buy-to-let buyers in the last few years.
Those who made mistakes with their investments in the "boom" years of recent times may have found that purchasing homes away from their local vicinity has not been helpful.
Mr Bowser said: "As a consequence, [they were] sometimes relying on portfolio building companies who were only interested in serving their own ends and not fundamentally interested in the client once the property had been sold."
Buyers were focusing on supply, he added, but not the demand element of fundamental economics.
Earlier this week, head of consulting at property investment consultancy Ducalian Timothy Lambert advised landlords to conduct thorough research before getting involved in the buy-to-let sector.
