2 FTSE 250 stocks that I think would be smart buys ahead of the next bull market

Some stocks look very tempting right now to me. Two such FTSE 250 choose there Bellway (LSE: BWY) and Big Yellow Team (LSE: BYG).

The reason I'm interested in both is that I feel they could go higher if a bull market is near. With inflation, and rumors of interest rate cuts, a bearish market may be on the horizon.

Here is my opinion on both stocks.

Bellway

To say that housebuilders have suffered in recent times would be an understatement. High interest rates, the fight against inflation, and the cost of living crisis have impacted completions, sales, and profits.

I must admit that these are still ongoing risks that can hurt performance and investor returns. The lack of pricing power could hurt Bellway if inflation were to rise and raise costs.

However, the case for the bulls looks clearer, at least to me. A big part of this is that the housing crisis in the UK means that there would be more opportunities for Bellway to make money. Demand outstrips supply. And, as the population grows, the demand should increase further.

Digging into some basics, there's a lot to like. First, the shares will give me an opportunity for passive income with a dividend yield of 4.10%. However, I understand that benefits are not guaranteed.

Next, the shares look decent value for money right now as they trade at an earnings multiple of 14.

Overall, falling interest rates and inflation remaining under control, combined with the current housing situation in the UK, means that Bellway shares could be an opportunity worth considering.

Big Yellow Team

Self-storage provider Big Yellow Group also looks like an interesting opportunity to me.

Working in the storage sector, which has experienced great growth in recent years, things seem to be going back, after its problems during the recent malaise.

Also, it makes a good dividend stock as it is set up as a real estate investment trust (REIT). This means it must return 90% of profits to shareholders.

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The Q1 update released last week piqued my interest. The main headline was the 4% increase in profit compared to the same period last year. This seems to have come from an increase in demand from domestic customers. Are people preparing for a booming housing market again? Do they have extra money in their pocket to re-use storage facilities? An update would suggest this.

In addition to this, the business continues to grow, and is looking to open nine new sites in the near future.

From a fundamental perspective, the dividend yield of 3.8% is also very attractive.

However, with a bearish view, I am concerned that Big Yellow's presence is only in the UK. Competitors such as Safestore have access to the European market. If volatility continues in the UK, Big Yellow could find earnings and operations hurt.

Overall, with a potentially better market outlook ahead, I think Big Yellow stocks are worth considering.