The survey of 186 BTL property investors who visited the recent Home Buyer Show, spotlighted sound legal support (27 per cent) and a reliable financial adviser (26 per cent) as the two most invaluable professional services for property investors, followed by managing agents (17 per cent), estate agents (11 per cent), accountants (8 per cent) and architects (6 per cent). It also suggested the local council is seen as more of a burden than an ally, with just 2 per cent citing planning or other council departments as invaluable.
Looking to the tradesmen who make the most telling difference, having a builder (35 per cent) as a mate, followed by the much-sought plumber and a solid painter-decorator (both 19 per cent) are the three right hand men respondents pointed to. Knowing a switched-on sparky was most important for 13 per cent of property investors, followed by the humble carpenter at 7 per cent.
Mark Sismey-Durrant, chief executive of Heritable Bank, commented: “No-one can build a successful portfolio without the right support in key areas, and it’s interesting to see which services property investors depend on most. Clearly, it’s not an either-or call between sound financial and legal advice and reliable on-site craftsmanship; the most successful investors bring together the most experienced, best value team across all areas for long-term portfolio success.”
Asked which factors mattered most to investors when choosing a property to add to their portfolio, potential price growth of a given area scored highest (72 per cent) followed by snapping up property at a discount (61 per cent) and having strong local market knowledge (39 per cent).
When questioned about their top concerns surrounding their current property investments, property prices were once more the central focus with over half (53 per cent) putting this preoccupation at the top of the pile. Other concerns included tenant behaviour (45 per cent), void periods (41 per cent), mortgage costs (34 per cent) and the costs and strains of complying with regulation (32 per cent).
Sismey-Durrant added: “With buy-to-let more popular than ever, property investors are clearly feeling increasing pressure to attract reliable tenants and maintain yields, while keeping one eye firmly on the overall property market. However, we feel that while the overall property market may cool through 2007 the market for experienced portfolio property investors should strengthen as a result of increased rental demand and keener purchase prices.”
