Crossrail turmoil
I’m in real turmoil and would appreciate any words of wisdom from someone with your property experience!
I own a 3-bed house in London, W7 within a one-mile walk of a Crossrail station, Hanwell. I am selling it to move the family to a bigger house, but in a cheaper area outside of London (Hook, Hants) in order to take the equity out and use it for BTL. However, I have been reading about the impending (possible) impact of Crossrail and I am now reconsidering leaving the move until Crossrail arrives.
Is it all hype? Would I be better to use the equity to get up and running with BTL or is my property a possible little gold mine in itself and I’d be better off keeping it and looking for angel finance/JV to start BTL?
Ironically, I’ve just received an offer on the property which has got me thinking even more.
I’ve made property mistakes in the past which is why I’m thinking this through so much, perhaps too much!
Any help gratefully received!
Best wishes
Susan
Comments
Have Your Say
Every day, landlords who want to influence policy and share real-world experience add their voice here. Your perspective helps keep the debate balanced.
Not a member yet? Join In Seconds
Login with
Member Since August 2015 - Comments: 19
12:17 PM, 2nd October 2015, About 11 years ago
Susan,
The impact of crossrail on property prices is going to be very significant and it’s no hype. JLL has spent 3 years conducting a very comprehensive survey on all the areas which will benefit from a new station. It shows Hanwell rather favourably. Average residential prices by end of 2014 was around £500 in Hanwell. By end of 2020, it’s expected to jump to £730 – that’s a 46.4% increase. The reason you are getting offers already is because people can see the potential. As long as your house is within 10 mins walk to the new crossrail station, you will benefit.
Member Since August 2015 - Comments: 2
1:07 PM, 2nd October 2015, About 11 years ago
Thanks Denis, I’d seen those figures, but it all seemed too good to be true, especially as it’s taken several months to get an offer. I can see already in West Ealing that prices have increased as a result of Ealing Broadway becoming so expensive, Hanwell is right after West Ealing, so perhaps there will be the ripple effect too.
We are just over a 10 minute walk – my fast walking neighbour does it in 12 mins every day!
Member Since September 2014 - Comments: 6
2:02 PM, 2nd October 2015, About 11 years ago
Hi Susan
I think crossrail will have a positive impact for property prices, maybe not immediately upon the system becoming operational.
Would you consider keeping your current house and raising equity on it to start BTL?
If it is not possible, you may already have made sufficient profit to move from the area and I eat in BTL. There’s a saying that’s goes something like “no one ever went broke from taking profit”. If you stay where you are you will always have to decide whether it is a good time to sell.
As this is your home you may be moving for other reasons as well as releasing equity, so there could be plenty to weigh up.
Member Since August 2015 - Comments: 2
9:18 PM, 2nd October 2015, About 11 years ago
Thanks Chris, yes, there is indeed a lot to think about!
Even though there is significant equity in the property, the lenders are basing it on affordability which restricts me remortgaging. This is why I was looking at moving as I can still have a nice house, albeit outside of London, but it would free up the equity to use as a deposit pot to start a small BTL portfolio.
I agree that given the type of person I am, no time will be the right time to move, and yes, I have made good profit, but given that Crossrail is expected to bear such fruits, I’m thinking this is a one-time opportunity.
Thanks for all your points – very helpful.
Member Since August 2015 - Comments: 287
10:08 PM, 2nd October 2015, About 11 years ago
Is there a way of making your current house your first BTL and funding the purchase of another house to live in?