"Overall, buying agents remain active and very popular amongst buyers, especially when time-poor and busy, when relocating to a new country or city where one has zero knowledge, or after repeatedly failing to secure a purchase, leading to disappointment and frustration."
PR: How did you get into property and what is your current role in the industry?
JL: I grew up in a family of property investors where we bought, renovated and sold many properties in France and Europe throughout the years. Not just homes to live in, but also residential rental properties as well as commercial (offices, industrial, retail...). I consequently always had a passion for property, and in particular for listed and historical buildings.
I am now co-founder and Director of Domus Holmes Property Finder (www.domusholmes.co.uk), a Bristol-based and independent property-buying agency providing a comprehensive property search & acquisition service to private clients looking to buy a home or purchase an investment property in Bristol, Bath & the South West of England (Somerset, the Cotswolds, Gloucestershire & Wiltshire).
As buying agents we exclusively represent buyers and only act in the buyer’s best interests, levelling the playing field by providing buyers with the best possible representation - while avoiding all the wasted time, money and stress suffered by most buyers.
PR: How does the French property scene differ from the UK?
JL: There are many differences between the French and UK property markets.
Firstly, there is less of an obsession in France of owning a property, or getting onto the property ladder, so to speak, than in the UK. I have many friends who could very easily obtain a mortgage and buy their own home but prefer renting. It is a cultural thing. It is also worth noting that in France rents are controlled and capped, thus offering more flexibility than in the UK.
From a transaction point of view, the system of chains does not exist in France: If one relies on the sale of a property to purchase the next one, transactions cannot be linked. You sell your house first, complete the transaction and then move on to your next purchase.
Another difference between France and the UK, and one of the first things buyers will notice is that there is probably only going to be one notaire involved. In English law, each party must have their own legal representation.
The role of the notaire, though, is not the same as that of a solicitor. A notaire is primarily required to ensure that the property is transferred correctly and that all duties are paid on the transfer. The solicitor’s role on a conveyancing transaction will go further than that, to make a deeper assessment of the property to be bought.
PR: What are the biggest challenges facing the property industry this year?
JL: An overall feeling of uncertainty due to the increase in interest rates, inflation and a lack of stock of properties for sale or to rent.
PR: With house prices cooling and the market shifting back in favour of buyers, how does this affect buying agencies?
JL: With house prices cooling and the market shifting in favour of buyers, I noticed an increased number of calls from selling agents (or sellers directly) about new instructions or even prior to listing.
I also find we have more time to carry out the necessary level of curation and due diligence on properties we shortlist on behalf of our clients, not to mention more time for second (and even third) viewings if needed. This translates in putting less pressure on buyers compared to the last 2 years where the property market was literally on steroids (and doing 2 viewings on a property was almost impossible!).
Overall, buying agents remain active and very popular amongst buyers, especially when time-poor and busy, when relocating to a new country or city where one has zero knowledge, or after repeatedly failing to secure a purchase, leading to disappointment and frustration.
Not to mention to access off-market properties: one of the most valuable services good property finders can offer to buyers is that associated with identifying and accessing off-market properties.
PR: Commercial investment still hasn't fully recovered from the effects of the pandemic. With rising rates, hybrid working, and eye-watering costs to meet the minimum efficiency standards due to be in place by 2030, what advice would you offer those looking to purchase commercial property?
JL: Conducting a thorough level of due diligence would be my advice! Not all commercial properties perform the same, and there are so many factors to consider when investing in this particular asset class.
Commercial property investment is complex and requires an in-depth understanding of various areas such as different types of commercial properties, different types of tenancies, governing legislation, acquisition process, due diligence required – what to look out for, protections, commercial leases (including major terms such as rent reviews, repairs, break clauses, etc), Landlord and Tenant Act 1954 (in or out).
Without this knowledge, it is like piloting a Boeing 747 without previous flying experience. In addition, you need to understand funding, which is completely different from BTL residential investment, tax implications, Capital Allowances etc. So, some knowledge is very much required before venturing into this arena of property if you are a newbie.
However, despite the effects of the pandemic, there are some commercial property sectors performing very well, industrial in particular. Multi-let industrial estates and distribution warehouses are currently in high demand as the value of e-commerce trade has accelerated. There has been growth in distribution centres to meet consumers’ demand for quick, online deliveries during lockdowns.
The industrial sector has consequently seen a healthy capital increase since Covid (High-tech and laboratory space is also highly sought after due to low availability and high demand).
Pubs, restaurants and gyms have taken a huge hit during the pandemic but there are signs of recovery as customers make up for lost time. Whether offices and high street shops will similarly recover is a subject for debate though.
PR: What are your property predictions for the rest of 2023?
JL: No one has a crystal ball to accurately predict how the UK property market will react and behave for the rest of 2023. So far it has been surprisingly steady and resilient in the South West region where I operate, with prices in Bristol and Bath remaining strong and many properties still achieving close to, if not the full asking price, not to mention a few bidding wars still out there for great properties.
