William Tobin, Director of Wilton Trust, a London based property development and investment company, currently focusing on properties with buy-to-let potential in South London. Together with his brother, Hugo, they lead the direction of the company deciding on the type of property to purchase, when to sell and creating value within their portfolio. My Property Eye caught up with Will and his views on the current market;

How did you get into the property industry?

My father was in property which I suppose is why I entered the industry. Now I mostly carry out site visits and looking at potential new investment stock.

How did you react to the budget, in particular, the removal of the mortgage interest tax relief (due to begin in 2017)?

Specifically in answer to your question regarding the changes for landlords being unable to offset interest payments, my answer would probably be unprintable. Would a taxi driver welcome being unable to offset the costs of running his taxi?

What areas of London are you most interested in and why?

We have been focusing in specific areas in South London for the past 2 years or so.  It is a slow burn, we take a 10 year view and buy in areas which are currently perceived as peripheral, with attractive buildings and good transport links. Consider how well areas such as Queens Park, Brixton, Shepherds Bush have done over the last decade. We like mixed use parades or buildings with commercial elements.

Do you think we are in a property bubble and if so, when will it burst?

No. Anything but. There have been significant changes over the last 12 months such as non-resident Capital Gains Tax, changes to SDLT. There are many private landlords out there, some with relatively large mortgages. The upcoming changes, especially for landlords who will not qualify for incorporation relief and who are unable to offset interest payments will likely result in an increase in stock levels in the coming years. Especially when interest payments increase as rates increase.

Short term, in and around central London I still anticipate the market trickle upwards until the dust has settled surrounding the recent shake up. Once the market has acclimatised I expect a constant but gentle rise.

What would your ideal project look like?

For development projects we like multi-unit projects as the risk can be spread. We have always been inclined to stay away from high value houses. In hindsight this has been a good decision. High end houses have taken a hammering this year due to the recent legislation changes. There are more changes to come over the coming months which will certainly have an impact.

What do you do to unwind after a hard week at work?

I try and get out of London most weekends.

A big thank you to William for his time and insight into the property industry.

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