Q I am thinking of purchasing an apartment in the city centre to live in; however I may decide to rent it out at a later date. I would like a balcony over the canal but this will be at a premium; am I likely to be able to get the returns back on this increase in purchase price? Gemma O'Brian, Birmingham
Isabelle Wright comments: The apartments that have balconies over the canal are usually considered to be the prime units in most developments.
As you suggested these apartments command a premium and will usually be the first to sell. In terms of investment, the selling features of a balcony and canal view will always attract potential buyers/ tenants and as such enhance investment potential. Tenants are certainly prepared to pay more for features such as these and it is likely that the increase in rental will justify the increase in purchase price.
Another important factor to bear in mind is that these apartments are likely to secure a tenant quicker than those without a balcony or attractive view. You will therefore find that the void periods are reduced and the total income for the year is greater. Similarly if you decided to re-sell the apartment these features should enable you to secure a purchaser in a short timescale.
Q I have an apartment in Birmingham that I am planning on selling in the next few months. Is there anything that I can do to prepare for the sale? Toby Brown, Staffordshire
Isabelle Wright answers: When you have decided on the exact timing of selling your apartment there are a number things that you can do to ensure a quick and problem-free sale. In general, you must make sure that the apartment has been cleaned throughout and looks as close to a show-suite as possible.
Remember that many of the developments that you will be competing against will have a show-apartment for potential purchasers to view and it is therefore essential that the apartment looks at its best.
In terms of the paperwork it is vital that you contact your solicitors who will be acting for you in the sale of the apartment and inform them that the apartment is on the market and the agents who you have instructed. Your solicitor will then be able to check that the deeds will be available on request once a sale has been agreed. In addition to this you will need to contact the management company and notify them of your impending sale.
It is advisable that you settle any outstanding monies due to the management company, such as outstanding service charges to ensure that this does not delay the sale. Similarly you will need to contact the utility companies once a completion date has been agreed by all parties.
Finally, check that the apartment has a full set of keys to hand to the purchaser and that any guarantees, instruction manuals or documents relating to the apartment are available for completion.
Penthouse to pavement
Isabelle Wright is an apartment sales specialist at the Birmingham office of Knight Frank. If you have a property query you would like her to answer in CityLiving Magazine, email isabelle.wright@knightfrank.com
