COVID 19: Should I invest in property now?
With the current fear and unknown factors currently surrounding the COVID 19 pandemic, we have seen a huge influx of investors contacting us to ask about the next steps and if they should invest still.
Our answer is simple. YES.
We have to keep positive and looking forwards. This pandemic will be under control at some point, of course we are not completely sure when but as a modern society in 2020 I think we can remain positive that our technology and advancements in science will prevail.
One vital task and a responsibility of us all is to keep the world moving. If we all decide to stop and do nothing, the world will potentially run out of all basic supplies and reserves. Hand sanitiser for instance, not a bottle to be found anywhere!!!! This also the remains the same with housing. Housing and homes are a basic human requirement and will always be needed. Once this pandemic is under control, people will still need houses and homes. What our task is now, is to prepare for when it is over.
Once this pandemic is over, it stands to reason that people are going to want to move. They have been isolated in their homes for periods never known in modern day society. They are going to do one of two things. Either: fall in love more and more with their home and never want to leave, or, it will emphasise all the things they were never quite happy with and also show them that their homes just may not be big enough for their needs. The latter will prompt a major demand in rental properties.
So how do we prepare: we keep actively searching for investments and use the pandemic timescale to our advantage. With all the information and guidance provided from the government regarding isolation and times business should close or reduce public contact for, 3 months is the guidance. Ironically, it takes on average 3 months to purchase a property!!! Coincidence maybe? Or the universe aligning? Whichever is may be it makes perfect logical sense. We can now use this time to select and purchase properties in preparation for likely high demand which will be seen.
However, preparations must be done correctly with the right consideration. The basic research will always remain the same and must fit your required investment outcomes. The product delivery (property) must be of a high standard and with the right demand. Should the pandemic last a little longer than the 3-month guidance we are currently being given, then that is fine, this time can be used productively to execute upgrade and renovation works as and when required. Builders and trades people are on the whole self-employed people and will be feeling the impact of this pandemic. This will result in greater availability and possibly even reduced costs.
The result: keep investing and maybe even more proactively than before, but ensure a good quality product is produced which will attracted the right tenants and result in greater retention with reduced void periods.
Contact us today for any assistance and guidance you may need on your investment journey.