Oh the joys....

Afternoon All,

This little story was told to me by Tracey Kellett at BDI Homefinders, after chatting with a local agent recently

"There are no buyers," says the grim-faced estate agent.

"Transaction levels are going through the floor." "Well at least you have the lettings side to see you through," I say cheerfully. "Ah yes, lettings", he says. "That's kept us afloat the past few years. But no more, I fear." "But aren't rents going up, and aren't we increasingly becoming a renting society?" I ask. "Hmm, yes… theoretically. I'm advising landlords to raise rents 8%. But I've got nothing to rent out. All the tenants who used to move out to buy, can't, so are staying put. The tenants who moved out to better places are staying put because there's nothing else out there."

"Not only that," he continues, "but over the last few years the market has been replenished by all those amateur buy-to-let landlords. It drove down rents but it kept a constant new stock supply. They've gone." He continues sombrely, "I make my money when tenancies change, be it new stock or old. So things for the business, sales and lettings, are pretty dire. The only real winners in this market are the landlords. They're starting to hit pay dirt." I throw him a sympathetic glance. "Oh don't worry about me," he says. "Got myself a nice little portfolio in 2008… when all those amateur buy-to-let landlords panicked."

The joys of being an estate agent !

Have a good weekend y'all.

Mr J.