Housing recession and business opportunities

Recession is a dirty word to many people and, after holding on to the horns of the charging property bull for so long, many are inevitably going to lose their grip.

Interest rates rose to 5.75 yesterday and stories abound about the tight squeeze - households will suffer as a result.

We have had such a good run that the economy will surely teeter on the brink of a crash and it will take fine handling by the government and key economists to avoid a disaster and allow a soft landing.

Fortunately for my business, the last deep recession of the late eighties and early nineties came at a time when I was hungry for success and completely focussed and driven by opportunity.

For some, that drive did not grip them tight enough and sadly many businesses failed. The UK went into a recession and it took many casualties and left deep financial wounds that would take many years to heal.

However, for those that are keen and astute there will be opportunities abound. No one likes to profit from another persons grief but if you do not provide a service then surely, someone else will.

When a property is repossessed because of a business failing or private individuals not being able to service their mortgage, there will be certain agencies that get involved. Ultimately, the estate agent will have to find a buyer for a repossessed property and in the meantime that property has to be maintained.

Those agencies have a duty of care whilst that asset is in their trust and to enable that asset to get the highest price at auction or sale it has to be maintained.

The deeper the recession the greater the number of properties that are re-possessed and that could mean some good business if you are involved with garden maintenance. Now is the time to register your interest with estate agents, auctioneers and banks etc.

My company was involved in many such transactions and one of the greatest sources of our business from the last recession was Savills in Guildford.

Savills had a property under their management called Copsem Manor - off of Copsem Lane Esher - which had been owned by a large catering company. Because of the deep slump the property remained unsold for nearly two years and during that time we maintained the garden for Savills who in turn took their cut and billed the receivers.

Lets hope and pray that the 'R' word does not have to be mentioned again but if it does, be ready.

Putting recession to one side though, estate agents and letting agents are good source of business and often prompt payers.

Many people who work abroad on lucrative contracts will let their house and pay good money to keep their plot in good order whilst they are away because tenants are neglectful by nature.

Comments

In recession, i see moods of peple down. We use to welcome Monday in bull period but now we look in calendar for working holidays.Keeping apart.... I believe that best sector in recession for business is to look those area where the recession is felt most. We have to think out of the box. If we turn into positive outlook enviornment then such business which
are in deep trouble of will give very handsome return wheras those business which will survive in recesiion with lot of hard working will not give so much handsome return.