Property

Korean Investment in London Commercial Property

2012-02-02T01:02:00.000-08:00

The Korean Teachers’ Credit Union, with 20.9 trillion won ($18.5 billion) of assets, plans to buy a 12-story office building in London in the first half as declining property prices boost returns.
The credit union will visit the site this month and may team up with three or four Korean institutional investors to buy the property worth 299 million pounds ($471 million), said Lee Kun Ho, executive director at the Seoul-based organization that provides loans and insurance to its members. He declined to identify the tower as he’s still in talks.

“The price is still attractive enough for us to earn around 6 percent annually, and possibly further returns upon selling the building after a few years,” Lee said in an interview on Jan. 31, adding that prices for some properties are falling as banks put more buildings that were repossessed earlier up for sale to increase liquidity.

The credit union is planning its purchase as a two-year recovery in U.K.’s commercial property values petered out in the second half amid Europe’s sovereign debt crisis. The average value of the nation’s commercial real estate dropped 0.02 percent in November from October, the Investment Property Databank said last month. Values fell 44.1 percent from June 2007 to June 2009 and then rose by 17.9 percent in the following months through November.

The investment will be made while London, Europe’s most- active commercial property market since the start of the global financial crisis, is losing some of its allure as rising prices and prospects of a U.K. recession deter investors. The city slipped to 10th place in a ranking of 27 European cities, according to a survey of more than 600 brokers, investors and money managers compiled by PricewaterhouseCoopers LLP.

“Asian investors with sufficient liquidity can seize the investment opportunity amid financial turmoil in Europe and the U.S.,” Lee said.
The 41-year-old credit union joined a group of investors that bought a San Francisco office tower occupied by Wells Fargo & Co. in 2010 for $333 million in the city’s biggest commercial property deal in three years.

Bloomberg

London Housing Demand Continues to Outstrip Supply

2012-02-01T04:13:00.000-08:00

London starts the new year again proving it has its own micro-markets where housing demand continues to outstrip supply, reports Rightmove. New sellers in the capital have had the confidence to increase their month-on-month asking prices by 0.8% (£3,453), compared to a fall of 1.5% in the rest of the country (£2,792).

This is a continuation of the trend seen over the last year, with asking prices in London now 6.1% higher than a year ago. The rest of the country recorded a combined fall of 1.7% over the same period.

Miles Shipside, director of Rightmove comments:
“Depending on local market conditions, there are differing pressures on the direction of prices. The lack of property coming to market in the London area over the last year combined with buyer demand has helped to buoy new sellers’ asking prices in most locations. Prices will be receiving a further boost as estate agents compete to attract fresh stock for the year ahead.”

There have been more than 44 million property searches on Rightmove during the first ten days of 2012. While this doesn’t necessarily indicate a surge in proceedable buyer numbers, it does highlight a strong pent-up demand to move and is also a reflection that value-seeking buyers who can proceed are taking extra care to research the market. January often sees the beginning of a ‘spring bounce’ in the prices of properties coming to market, and there is again evidence of this in 2012, where the overall monthly period rise of 0.8% in new seller asking prices was boosted by a rise of 1.8% (£7,605) in the first week of 2012.

Shipside comments:
“As we move into the more active spring market with a shortage of new supply, prices will rise where the local market or a particular estate agent is short of a type or style of stock. However, asking more for your property can only be successful if your target buying audience can raise the necessary funds. The market fragmentation caused by the credit crunch means that success in selling now requires a more careful and complex micro-market analysis, rather than a wishful price-punt to see what happens.”

Middlesex Investment Residential Property For Sale

2012-01-30T03:57:00.000-08:00

Investment Property for Sale Middlesex

Ickenham
Hoylake Crescent
Ickenham
Middlesex
UB10

£ 410,000 Freehold

Located in the Middlesex Town of Ickenham Hoylake Crescent is a quiet tree lined street within close proximity to Ickenham Village and it's selection of shops, restaurants and schools.

Ickenham and West Ruislip stations are within walking distance offering easy access into Central London via the Metropolitan/Piccadilly, Chiltern and Central lines. The A40, M40 & M25 motorways offer alternative transport options.

The accommodation briefly comprises an un-modernised bungalow with entrance hall, lounge, kitchen, 3 bedrooms and a bathroom.

Further benefits include a private driveway and a rear garden backing onto playing fields.

Potential to increase its square footage by way of extension and loft conversion (STPP).

Bungalow for Redevelopment for Sale, Middlesex

Letting Agent Costs

2012-01-27T02:56:00.000-08:00

Estate agents are often secretive about what they charge sellers, it has been alleged, whilst there is great variation in the levels of fees that they charge.

A new survey found that only one agent in London – Winkworth – disclosed its fees on its website. About 20% of London agents refused to disclose their fees over the phone or via email.

The survey, by new estate agent comparison website ipostcode, looked at 250 agents’ fees across London and found that it is not necessarily in the most expensive postcodes where agents charge the highest fees.

Some of the highest average commissions are charged in the SE1 (Bermondsey), NW11 (Golders Green) and W6 (Hammersmith) postcodes, although agents in some lower priced areas – E8 (Dalston), N8 (Crouch End) and SE28 (Thamesmead) – offer some of the lowest commission rates.

The majority of the London estate agencies surveyed quoted 1.5% commission, but 15% of agents quoted 1%. The highest commission level quoted was 2.5%.

There were several postcode areas including Islington (N1) and Clerkenwell (EC1) where commission levels spanned the range from 1%-2.5%, which means that on a property priced at the London average of £342,749 (according to latest Land Registry figures), the seller could be paying anything from £4,113 to £10,282 including VAT to sell the same home.

Estate agents’ reputation for being guarded about their fees was borne out by the survey, with one in five of agents refusing to say what their fees were, either on the phone or via email. Only one agency, Winkworth, which has 43 London offices, displayed fees online.

One in four agents said that their fees are negotiable based on either a realistic valuation of the property or depending on the price range of the property. Many agents in the survey stressed that an agency should not be chosen simply on their commission rates but on service, track record and marketing.

The survey also found that estate agent fees in London at an average of 1.7% are more or less in line with the national average of 1.8% – contrary to the perception that London estate agent fees are the highest in the country.

Estate Agent Today

Buy-to-let property boom ‘pushing London rents higher’

2012-01-25T10:22:00.000-08:00

Reports in last weekend’s Financial Times have highlighted the surge in new buy-to-let purchases,with many areas in London likely to be the first to benefit, according to property search consultant Expatfindaproperty.com.

According to the Financial Times report, landlords are taking advantage of weaker house prices to snap up bargain rental prospects in premier locations. While some are cash purchasers, others are using cheap borrowing costs to expand their portfolios.

Expatfindaproperty.com’s own research suggests that rental yields in many parts of London, in particular, are starting to rise steeply, following many years of static, or only gently-rising, prices. In particular, demand for rental homes near to prime commuting transport links, such as those in the Clapham, Earlsfield, Wimbledon and Raynes Park areas of South West London, has seen agents arranging block viewings, with would-be tenants forced to bid against each other to secure a property.

Emboldened by the strength of the demand, says Expatfindaproperty, agents and landlords are now pushing rents higher, which means that new landlords can expect enhanced returns, as well as realistic prospects of capital growth, when capital prices eventually start to recover. Prospective tenants, however, will find this news less welcome.

Erica Evans, of Expatfindaproperty.com, comments, “Our straw poll of agents in South West London has revealed high levels of optimism for landlords. For those thinking of entering the market from abroad, providing they have a 30% deposit for an expatriate or international mortgage, now is an excellent time to be looking at the market, but location is absolutely critical.

“Strong rental yields are only available in quite specific areas around commuter infrastructure hotspots.”

Property Outlook for 2012

2012-01-23T02:09:00.000-08:00

Most homeowners expect property prices to rise in 2012, according to a new survey.

But despite the findings, confidence in the market has hit its lowest level in 12 months according to the same research.

Property website Zoopla invited users to give their predictions for the coming year.

More than 5,000 people, some of them property professionals, responded.

From them, Zoopla was able to determine the level of confidence in the market.

The results showed that 55 per cent of respondents expected property prices to rise in 2012, but the figure was four percentage points lower than in January last year.

The expectations for average property price increases was also lower than in January last year, reduced from 2.7 per cent to 2.2 per cent.

Interestingly, homeowners surveyed continue to believe that their own properties will fare better than the average and expect the value of their own property to rise by 2.8 per cent on average over the next six months compared to 2.2 per cent for other homes in their local area.

Similarly, only 24 per cent of homeowners expect the value of their own property to fall over the coming six months whilst 29 per cent expect house prices in their area to fall.

In stark contrast to the overall national picture, homeowner confidence in the London housing market continues to defy the rest of the country and the overall economic outlook.

Seventy-two per cent of London homeowners expect average values in the capital to rise over the next six months, up from 68 per cent last quarter.

And owners in the capital now predict property prices will grow by 4.7 per cent over the first half of 2012, up from the 3.6 per cent expected last quarter.

Whilst half (48 per cent) of the respondents felt that the key sign that the property market is improving would be when mortgage availability improves, only 11 per cent of the homeowners surveyed by Zoopla feel it is now easier to get a mortgage than it was three months ago.

Nicholas Leeming, of Zoopla.co.uk, said: “There is a lot of general economic uncertainty at the moment which is taking its toll on homeowner confidence.

“Until there is some good news on the overall economy, homeowners will continue to be cautious with their optimism for the property market.

“Londoners, however, are living in a market detached from the rest of the UK.

“Many overseas buyers continue to pile into London property to take shelter from economic or political storm clouds elsewhere which is helping to boost prices and confidence in the capital.”

According to a further survey by Zoopla, average house prices in Britain finished 2011 at £221,331, down a modest £854 (0.38 per cent) from the same time one year ago, according to property valuation website Zoopla.co.uk.

Scotland, where average property values now stand at £164,844, outperformed the rest of Britain in 2011, recording an average increase of 6.73 per cent.

Average home values fell across England by 0.75 per cent (£1,719) and finished the year at £228,926, whilst the average property in Wales is now worth £153,826, down £172 (0.11 per cent) compared with one year ago.

In England, property values have risen over the past 12 months in London the South East whilst falling substantially in the North.

The average home in London is now worth £416,890 up £9,283 (2.28 per cent) on one year ago. The North East was the worst performing region over the past year with average house prices falling £9,596 (5.77 per cent) to £156,659.

Wigan topped the list of best performing cities over the past year, with property values having climbed 5.62 percent (£7,057).

In contrast, homeowners in Newcastle saw an average decline in property prices of 5.5 per cent (£9,650) over 2011.

Mr Leeming said: “National statistics on the housing market can mask differing fortunes in different parts of the country.

“Londoners continue to see the market go from strength to strength with high demand for a limited number of properties boosting house prices.

“However, for areas such as the North East where the local economy has suffered more than most, it’s a different story.”

Londons Mapesbury Conservation Area Property For Sale

2012-01-20T02:10:00.000-08:00

St. Gabriels Road, Mapesbury Conservation Area, London, NW2

6 Bedrooms
2 Reception Rooms
4 Bathrooms

A spacious (3,612 sq ft) well presented five/six bedroomed three bathroomed hall adjoining period family home situated on this prestigious residential road in The Mapesbury Conservation Area.

The property is located in a prime location close to Willesden Green and Kilburn (Jubilee Line) underground stations together with the vast array of shops and restaurants on Willesden Green high street and Kilburn High Road.

The accommodation to the ground floor comprises a 22' entrance hallway with feature fireplace and Parquet flooring; a guest cloakroom with tiled flooring; a 20' front facing reception with wood floors and a feature fireplace; the second reception with feature fireplace and wood floors; a stunning contemporary L shaped kitchen breakfast room with concertina sliding patio doors, integral appliances and a utility room.

The accommodation to the first floor comprises a large 15' front facing master bedroom with dressing area and an ensuite bathroom incorporating a white three piece suite and heated towel rail; front facing bedroom two with a feature fireplace and fitted wardrobes; rear facing bedroom three with fitted storage; rear facing bedroom four; bedroom five with a feature fireplace and a family bathroom incorporating a white three piece suite.

The accommodation to the top floor comprises a bright and spacious bedroom six/loft room with video entryphone and an ensuite bathroom incorporating a white three piece suite.

Further benefits include off street parking and a stunning mature South West facing rear garden with a side access, a patio area and a fully functional and sound proofed music studio with electricity.

North West London House For Sale

Landlords tips for The Winter Months

2012-01-17T05:10:00.000-08:00

Landlords have been urged to make managing their properties a key health and safety priority over the winter months.

The Association of Residential Letting Agents (ARLA) said burst pipes and damage to property can cause misery to both tenants and landlords, making preparation essential.

It has been unseasonably warm in recent months but the past few days have seen adverse weather sweep across the UK with storms and heavy rain causing property damage.

Temperatures could also drop, raising the risk of pipes bursting and wreaking havoc.

According to ARLA, simple steps such as lagging exposed pipes could prevent the escape of water and the damage and misery that can cause.

Before high winds and stormy weather hits, ARLA recommends:

Checking the condition of roofs, in particular garage shed and flat roofs for signs of wear and tear

Keeping gutters, gullies and drains clear so they can carry water away quickly and efficiently

Ensuring drainpipes do not get blocked with trapped rainwater as this may cause them to crack or shatter in freezing conditions

Consider cutting back low-hanging tree branches, which could cause damage in high winds

Landlord Health and Safety News

Investment Development Property For Sale, NW4

2012-01-16T06:32:00.000-08:00

London Development Opportunity for Sale

Sunny Hill Park
Great North Way
London
Greater London
NW4

Net Saleable: 6646 sq/ft*

£ 1,200,000
Freehold

The property is located off the westbound carriageway of the Great North Way at its junction with Sunny Gardens Road adjacent to "Sunny Hill Park"

The development is also close to the shops and amenities of Hendon and near to the beautiful open spaces of Hendon Golf Course and Sunny Hill Park. Mill Hill East Underground Station (Northern Line) is within easy reach, providing good transport links into the West End and City.

Planning permission has been granted for the demolition of the existing building and erection of a two-storey block comprising 8 luxury apartments with associated parking and landscaping (6 x 2 beds & 2 x 1 beds)

The seller has drawn an improved indicative scheme to provide 6 x 2 beds, 1 x 2 bed duplex & 1 x 3 bed apartments (NIA 7,276sq.ft). This is achieved with a slight modification to the approved scheme.

North West London Investment Property For Sale

London Housing Boosted By Boris Johnson Plans

2012-01-12T02:55:00.000-08:00

Speaking at the National Housing Federation London Mayor Boris Johnson outlined the details of his revised housing strategy which would deliver 55,000 affordable homes in London by 2015, including 16,000 in the current financial year – the most since the mid-1990′s.

The new housing will be designed to the Mayor’s larger spaces standard which will mean more decent-sized family homes.As well as providing over 100,000 jobs in the next four years, these new affordable homes should also provide a much needed stimulus to housing mobility. By upgrading 40,000 council homes and by creating more affordable homes the plans will allow more Londoners than ever to get on the housing ladder. This should have a knock-on effect across the market with an increase in buyers over the four years and therefore steady growth.

This movement in the market will be spurred on by the government’s mortgage indemnity scheme which would decrease mortgage deposits to just 5% for first-time buyers allowing more of those stuck renting to gain a footing on the housing ladder.

The Mayor also has plans to reform the rental market by accrediting 100,000 landlords in an attempt to improve the quality of service in the sector. While this will help to raise confidence in the rental sector it will also make finding the best tenants a more difficult task. For landlords living outside of the capital that may mean using a property rental management service to ensure they are providing the most attentive service to their tenants.

Towns in London and the South East accounted for nine of the 20 towns recording the strongest price rises in 2011

2012-01-09T00:43:00.000-08:00

Woking in Surrey recorded the biggest rise in house prices among major UK towns and cities in 2011, according to new research by the Halifax.

Based on the Halifax’s own house price data, the average selling price in Woking, a commuter town within easy reach of central London by rail, was 16% higher than in the previous year. Prices increased from £257,590 in 2010 to £299,654 in 2011.

Falkirk in Scotland experienced the second biggest rise in house prices with a 12% gain. Like Woking, Falkirk is within easy commuting distance of major commercial centres, lying almost equidistant between Edinburgh and Glasgow. The town also has relatively low average property prices, making it more affordable than many other areas close to Scotland’s two largest cities.

Towns in London and the South East accounted for nine of the 20 towns recording the strongest price rises in 2011. Overall, 28% of the towns surveyed saw some increase in prices over the year.

The majority of worst performers were outside southern England. Kettering in Northamptonshire and Dunfermline in Scotland experienced the largest falls in average selling prices in 2011, both recording declines of 15%.

Nine of the ten towns that saw the biggest declines in property values are outside southern England, reflecting the generally weaker performance of the housing market outside the south.

US Top Global Commercial Real Estate Top Choice

2012-01-03T01:00:00.001-08:00

The United States will remain the top choice of most global commercial real estate investors in 2012, but the country has lost ground to Brazil which ranked No. 2 this year, according to a survey released Sunday.

While the United States offers the most stable and secure option in commercial real estate, investors said improvement in rent and occupancy growth and the repeal of a 1980 foreign investment tax would have the strongest impact on their investment decisions, according to the 20th annual survey of Association of Foreign Investors in Real Estate (AFIRE) members.

For about the past year or so, investors in U.S. commercial real estate have focused on gateway cities such as New York, Washington, Boston, San Francisco and Los Angeles, driving prices up and yields down.

Meanwhile commercial property in Brazil, with its bubbling economy and safer investment environment, has become a hot spot for global investors. Sao Paulo, Brazil's largest city, jumped to the fourth best city for real estate investment dollars in 2012, up from 26th place last year.

The United States is still very desirable and was second behind the UK in attracting cross border investment in 2011, according to Real Capital Analytics preliminary figures.

"The negative is it doesn't promise a whole lot of capital appreciation because the prime markets are already fully priced," AFIRE Chief Executive Officer James Fetgatter said. "By no means will Brazil replace the U.S., at least not in the forseeable future. Brazil is considered now a much safer place to invest and a place where you can get capital appreciation and good yield."

AFIRE'S survey respondents hold more than $874 billion of real estate globally, including $338 billion in the United States.

Sixty 60 percent of respondents said they plan to increase their investment in U.S. real estate in 2012, down from a record 72 percent last year, according to the 20th annual survey.

Some 42.2 percent said they believed the United States in 2012 would offer the best opportunity for the price of their commercial real estate investments to increase, down from 64.7 percent last year's survey.

The United States lost ground to Brazil, with 18.6 percent saying Brazil's property market offered the best growth opportunity for their investment dollars. That's up 14.2 percentage points, moving Brazil up to second place from fourth, and pushing China down to No. 3, according to the AFIRE survey.

Seventy percent of respondents picked one of the three countries as their favorite, while the remaining 30 percent had top choices from 13 other countries on five continents.

Warwick Pub for Sale, CV34

2012-01-02T08:33:00.000-08:00

Freehold Pub For Sale In Warwick, Warwickshire

Bunch of Grapes
Vine Lane
Warwick
Warwickshire
CV34

Gross Site Area: 10751 sq/ft*

£ 295,000 + VAT

LOCATION
The Bunch of Grapes public house is conveniently located on Vine Lane, a predominately residential area, yet moments from Warwick's town centre. The property is situated within walking distance of Warwick Railway Station and is close to the A46 providing excellent transport links.

PROPERTY
Two storey detached building sitting on 10,751 sq ft of land. To the rear of the property is a large car park and garden which is accessible via a secure gate.

FURTHER INFORMATION
Vacant possession
Development potential (STPP)
Approx gross site area: 10,751 sq.ft*
Approx ground floor foot plate: 1,766 sq.ft*
Rateable Value: £4,000
Unconditional offers are invited for our clients unencumbered interest.

Warwickshire Pub for Sale

London Property Maintenance Company

2012-01-01T09:11:00.000-08:00

Paramount Maintenance Services are based in West End Lane, West Hampstead, North West London, providing a complete in-house letting, property maintenance and property management service to accidental landlords, investment companies, property developers, buy to let investors and corporate property portfolio owners.

Paramount Maintenance take on all sorts of renovations like kitchens, bathrooms, plumbing, electrical, handyman work, tiling, painting, plastering, carpentry, landscape gardening and roofing. They also specialise in the upgrading, renovating, refurbishing and repair of tired or run down rental properties to obtain the maximum benefit to the landlord, property owner or investor in the most cost effective manner.

'Running a professional property management business for professional landlords and professional tenants is a 24-hour a day responsibility, 365 days a year. Once a property is let it is only the beginning of the story and the obligations of a landlord must be executed in the most efficient way possible. Although good professional tenants are hard to find they are often quite demanding. They are looking for trouble free occupation in return for their hard earned cash.' explained Spencer Lawrence of Paramount Lettings based in West Hampstead.

Spencer continued, 'Breakdowns and breakages don’t happen nine to five and so Paramount’s management team doesn’t just happen nine to five either. Central heating boilers tend not to break down in the summer. They wait until the middle of the coldest night of the year. Window locks don’t just break. they wait until their owner or tenant is about to leave for a long weekend in Prague.'

'We not only value our tenants but also our landlords. We provide a property maintenance service second to none in North West London, ensuring that our landlords properties are maintained to the highest standard by arranging independent check-in and check-out. We also ensure rents are collected efficiently and on time and provide monthly statements confirming all income and expenditure. '

Here’s what some of our tenants say:

“Could you please forward my gratitude to your plumber who arrived at m y my property at 10am on Christmas day and fixed my boiler and saved the day as l had a house full with twelve for dinner.”

“Thank you for your swift response, l look forward to coming home to a warm flat.It has been a real pleasure dealing with Paramount. The professionalism they have show during and on completion of my tenancy has been superb, l look forward to renting from you again on my return from Australia.”

Follow the link for more on Paramount's managed property maintenance services in Brondesbury, Cricklewood, Hampstead, Little Venice, Kensal Rise, Kilburn, Maida Vale, Mapesbury Estate, Queens Park, St Johns Wood, South Hampstead, West Hampstead and Willesden Green.

Property Investments that Might Earn Big in 2012

2011-12-31T08:05:00.000-08:00

International Business Times reports;
A survey of more than 360 internationally renowned real estate professionals, including investors, developers, property company representatives, lenders, brokers and consultants has revealed the emerging top earners for the real estate sector in 2012.

Residential real estate is the second top investment for the year 2012 across the Asia Pacific Region, the study revealed.

It said that in spite the weak global housing market this year better prospects are to be seen in 2012, although caution and planning are still the keys to success.

Apartments. Interviewees favoured investing in multifamily property development, which can be class A, value-enhance class B, develop from scratch, purchase in infill areas, acquire in gateway cities, or hold in lower-growth markets. "Even buy class C and upgrade, spend a little more, hold a little longer-demand will be there."

The only caveat: avoid severely affected housing markets where a surfeit of empty single-family homes will compete as rentals.

Fortress Malls, Infill Shopping Centres. Aptly named fortress malls, near upscale suburban neighbourhoods and strategic highway intersections, continue to concentrate the top brand chains and attract more shoppers away from their weakening competition-centres situated near older or more commodity class housing districts. These types of property development attract necessity shoppers to anchored centres with leading supermarket and drug store chains. Investors are in for steady cash flows.

Coastal Port Industrial Space. Global trade will power export activity around the nation's primary seaboard ports, where traditional big-box warehouse distribution assets rebound after experiencing uncomfortably high vacancies. All eyes focus on which East Coast cities can position themselves to capture Pacific container-ship traffic slated to come through a widened Panama Canal in 2014. Some winners will turn into new industrial hubs, but first need to dredge harbor channels to handle deep-hulled vessels. Miami, Charleston, Savannah, and Norfolk look like prime contenders, and New York/New Jersey will not be left out. Houston should pick up business along the Gulf Coast.

Business Center Hotels. ULI and PwC said that 2012 will be within that the point in the real estate market cycle where lodging makes sense. But only the major 24-hour cities attract consistently strong combinations of business and tourist travelers to sustain occupancies and advance room rates during the week, as well as into weekends. Middle-market hotels without food and beverage service lure budget-conscious travelers without outsized operation overheads, enhancing bottom-line results.

QR Codes for Estate Agents

2011-12-30T02:28:00.000-08:00

ARLA reports on What is a QR code and as an Estate Agent, why should I care!?

So you've all got yourselves your mobile 'apps' and are frantically getting to grips with the wonderful world of 'social media', but what about the latest craze to hit the world of business? - The QR (Quick Response) code.

Put very simply, QR codes are a form of barcode that make the storing and retrieving of data very quick and simple, principally through use of an app on a mobile phone such as an iPhone or Android device. Simply open the app, point the camera at the QR code, and wait for the magic to happen.

Scanning a QR code can perform a number of different actions from displaying text, contact information, composing an email, or opening a web page in your mobile phones web browser. The later of these actions is probably what you will see most often - point your camera at a QR code and be taken to a web page with all the information the company using the code would like you to see.

The QR wave

QR Codes were created by Toyota subsidiary Denso Wave in 1994 to track vehicles during the manufacturing process, but have since burst onto the scene in 2011 with virtually all major global brands including Subway, Coca-Cola, and the BBC making use of them on a regular basis. The technology should not be ignored. The increasingly common use of so called 'smart phones' to access the internet means QR codes offers interesting opportunities for estate agents to direct people from offline media to online.

Take a simple scenario in the world of the property agent. A prospective client walks past a property you're marketing, scans the QR code you've added to the For Sale board and within 5 seconds is looking at a page on your website with all the information they need about the property. One more click and they're making a call to your office to arrange a viewing. Neat eh?

Here are some advantages to using QR codes:

Simple, fast, and inexpensive to create and distribute
Connects people with detailed product information
Smartphone's with QR code readers are becoming increasingly common
And here are some examples of what a QR code can include are:

URLs
Text
Phone numbers
Complete contact information
SMS text messages
Calendar events
An email address
A geographic map location

2011 Property Market Review

2011-12-29T02:39:00.000-08:00

This year’s property sales market has been healthy from start to finish with the average property going under offer in 4-6 weeks. Properties in great condition, property in need of refurbishment or with outside space are often going under offer within days and on the odd occasion going over the asking price. Agreed prices went up by 5% early in the year and have held all year so far.

2011 has been the year of the cash buyer with Paramount agreeing over 50% of its sales to cash buyers. These buyers have often been Parents from the UK, mainland Europe and Asia buying for their children who are based or will be based in London. These properties are going on the rental market for the interim periods.

We have also seen some buy to let investors return to the market, with the rental market’s being so strong they have achieved some great rents and are generally renting their flats within days of taking ownership.

With the lack of properties currently on the market and the amount of good quality buyers currently looking, 2012 looks like it is going to be a great year to sell your property in our local area.

What's been happening in 2011 in West Hampstead and surrounding areas for Paramount lettings?

In 2011, Paramount has seen unprecedented demand from applicants looking to rent in North West London. The cost of market entry for first time owner/occupiers is preventing many people from buying and so is boosting demand for rental property. A dearth of rental stock is pushing up rents and future prospects for rental growth are very strong indeed; the average rental income are up by 12% in the NW6 area. Landlords can “cherry pick” their ideal tenant with no worries of a void period whatsoever.

Given that yields have steadily increased this year, it has also meant the introduction of first time buy-to-let investors into the property market as well as existing landlords expanding their portfolios. There is no reason to suggest that in 2012 the rental sector will show any signs of waning.

Paramount Property News

Council of Mortgage Lenders Report Strong Buy to Let Market

2011-12-27T02:09:00.000-08:00

Figures released today by the Council of Mortgage Lenders (CML) show that the buy to let market is still strong.According to the body, mortgage loans to landlords increased by 16 per cent in the third quarter of this year.

Over the same three-month period, the amount of money loaned by financial institutions for property investment rose by 19 per cent, showing that banks and building societies are regaining their confidence in the buy to let sector.

A total of 34,500 buy to let mortgage advances were made in the quarter totalling an incredible £3.2 billion. It is the highest buy to let lending as stood since the onset of the credit crunch in 2008.

CML director general, Paul Smee, stated: "With tenant demand remaining strong in the rental sector, some existing buy-to-let landlords have been expanding their portfolios and the growth that returned to the sector in the preceding quarter has continued.”

Mark Durban, senior lettings agent at Paramount, said recently that at present the demand for rental property is so high that it exceeds the number of homes available.

Buy to Let Investment News

London Luxury HMOs for Overseas Student Market Student

2011-12-25T05:48:00.000-08:00

Cash rich students from overseas are increasingly looking at the more luxurious end of the rental market.

Jonathan Moore, director of EasyRoomMate.com, said that while student homes still often have the reputation of being far from grandiose, students are becoming more choosy and those from overseas in particular are looking for properties in more affluent districts.

"With the increase of demand from international students with bigger budgets, we are seeing a niche luxury lettings market emerge in many university towns, with investors targeting higher rents - albeit from a bigger investment," he said.He added that, despite this, changes in the HMO [house in multiple occupation] licensing requirements mean that all property let to students is now of a decent standard.

Research conducted last month by specialist mortgage provider Paragon found that student lets still offer a landlord the highest possible yield, with an average of 7.62 per cent.Properties let on a shared basis by professionals was the second best performer at 7.56 per cent.

Landlord and Tenant News

UK Government Targets British investors in Middle East

2011-12-21T08:29:00.000-08:00

The UK has set up a new unit to target British investors who own property in the Middle East, in a bid to boost the country’s flagging tax revenues.The UK government has set up a 200-member team of taxation investigators, known as the ‘affluent unit’, which will target those who own properties overseas and have not declared them for tax purposes.

During the boom era, thousands of British investors bought holiday homes and investment properties, mainly in Dubai and Egypt.

There will be "no hiding place" for tax cheats, said David Gauke, the UK’s chief secretary to the Treasury who is heading up the new unit. The UK government “is committed to tackling tax evasion and avoidance across all areas of the economy,” he added.

The new unit will specifically target those who are paying the top tax rate of 50 percent but also aims to investigate UK-based commodity traders and British residents who hold offshore investment accounts.

Ronnie Ludwig, tax partner at accountancy group Saffery Champness told the OPP property trade magazine that “those who have been letting out their foreign property and declaring the rents received have nothing to fear, but those who own foreign property which has never been let out should be prepared to prove to HMRC [Her Majesty’s Revenue & Customs] that they have received no income from the property.”

“This will involve producing UK and foreign bank statements and being able to demonstrate that they could afford to purchase and maintain the property out of normal declared sources," he added.

Charles Neil, CEO of Dubai-based Landmark Properties said the new unit “will have no effect on British expatriates living and working in Dubai who have non-resident UK status for tax-purposes,” but he warned that any UK residents who own Dubai properties and have not declared them any income from them should “take appropriate legal advice from their lawyers and tax accountants on how they are to approach the tax authorities and pay what is due.”

Neil pointed out it might be difficult for UK officials to track down those who own properties in Dubai as the Land Registry is not searchable. It would be difficult for UK authorities to apply to the Dubai Courts to get an order for ownership details to be handed over, he added.

“There is no income tax in Dubai, and technically if you are not paying tax back in your home country you are not breaking any laws in the UAE,” said Neil.

Central London Property Prices Up By 13%

2011-12-21T05:19:00.000-08:00

The value of prime property in central London shot up by 13 per cent in 2011.This is according to the latest Knight Frank Prime London Sales Index, which states that homes in the area are now at the their highest ever levels.

Properties priced between £2.5 million and £5 million saw the largest growth, increasing by 16 per cent on average, while those valued over £10 million increased by 12 per cent.The average prime property in central London is now worth around £3.19 million and has seen a value increase equivalent to £1,202 each day over the past 12 months.

Sales numbers have increased by 17 per cent year-on-year, but this is largely due to high take up of properties at £5 million or less, which are up by an incredible 20 per cent.It is widely believed that funds from cash-rich investors from overseas is helping to drive up the luxury homes market in the capital.

London Property Market News

London Property Investment Remains One of the Few Safe Investments

2011-12-21T04:00:00.000-08:00

Lofty apartments in London's prime boroughs, chic chalet's in the finest Alpine ski resorts of France and Switzerland, and 2 bed semi's in Salford. Spot the odd one out?

While there may be many reasons making the 2 bed semis in Salford the odd one out, investment potential is not one of them according to British institutional investors, who have invested heavily in British housing stock in the last 12-18 months, to capitalise on the current rental boom, and solidify their investments away from the tumultuous global stocks and bonds markets.

According to data just released by Her Majesty's Revenue and Customs, financial institutions invested £2.2 billion in UK houses and apartments in the year ending April 2011, a 189% increase over the previous year.

Specialist property companies also increased their exposure to UK buy to let during the period, the data shows that such firms purchased £7.5bn worth of UK rental properties, which is a 27 percent increase over the same period in 2010. Wealthy British individuals are also getting in on the action. They invested a combined £193.8 billion in the year ending April, which is surprisingly only a 24% increase over 2010.

The growth is hardly surprising. The financial world is a scary place, and the stock markets are even scarier. The Eurozone debt crisis is making any European investment a high risk strategy, especially now with some reports indicating that banks are putting in place contingency plans for the Eurozone's complete break-up, although few believe this will come to pass.

Never the less, this makes British property one of the few safe investments in Europe. Property is far less volatile than stocks, and of course, Britain stayed out of the euro, so, while it would suffer a shock if the Euro collapses, its property market will see a far smaller hit than those in the Eurozone.

On top of the long term safety of British property, the rental yields are currently very attractive in the short-mid term as well, with the constrained mortgage market, lack of affordability and housing shortage continually drive up rental demand. The latest data rents and yields are growing across the country. The latest Residential Lettings Survey from the Royal Institution of Chartered Surveyors said that 15% more chartered surveyors reported rental yields rose rather than fell in the three months ending October. This is the 7th consecutive quarter of rising yields according to RICS.

Student Accommodation Investment in Disused Buildings

2011-12-19T01:15:00.000-08:00

When looking for an ideal place to rent to students it might be advisable to look at buildings that are currently out of use.

Manchester-based Fresh Start Living says that too many would be landlords merely look to purchase properties that are already in residential use in the predominately student areas.

However, they suggest that landlords could be cutting their options short and may actually get a better deal if they explore the option of buying a disused or derelict building.

"Disused buildings can usually be obtained very cheaply and transforming them into student accommodation is very easy and cost effective. By taking advantage of unused buildings, developers can usually obtain planning permission very easily," said Stephanie Sowerby, marketing director at FreshStart Living.

She added that a lack of funding for universities means they are having to cut down on the level of accommodation they offer themselves and this could give property investors more opportunity to make it in the lucrative student market.

According to specialist mortgage provider Paragon, student rents far exceed the financial yield made by landlords on other types of tenanted property.

London Rental Property News

Energy Efficient Homes With Kerb Appeal

2011-12-17T01:12:00.000-08:00

People looking to add few pounds to their property value should make it warmer and more energy efficient, says the National Home Improvement Council (NHIC).

Andrew Leech, executive director of the body, says that loft and cavity wall insulation will not only help to keep your energy bills down it will also bump up the value of your home and make it more appealing to potential purchasers.

He also stated that the house has to have what he calls "kerb appeal", meaning it looks good from the outside and suggested that ideally the windows should be double glazed and secure.

"If you're talking about looking at selling a house on then you have got to make it look as normal as possible, you don't want any garish paintings, decorations or [colour] schemes running throughout the house. You want to make it a very neutral environment because people can relate to that more," Mr Leech added.

Phil Spencer, presenter of Channel 4's Location, Location, Location, said last year that painting the outside of the house may cost between £100 and £1,000 but could add around £5,000 to its value.

London Property Market News

Swiss Cottage London Flat for Sale

2011-12-12T02:22:00.000-08:00

New College Court, Finchley Road, Swiss Cottage, London, NW3

A spacious (602 sq ft) one double bedroom flat set on the second floor of this purpose built mansion block in Swiss Cottage.

The property is located close to all the local amenities and transport links on Finchley Road and the huge array of shops, restaurants and entertainment facilities at the O2 centre. West Hampstead and Swiss Cottage is also easily accessible.

The accommodation comprises a front facing 14' reception room; an inner hallway with fitted storage cupboards; a separate kitchen; a rear facing 13' bedroom and a bathroom incorporating a white three piece suite.

Further benefits include a lift in block, an extended lease, heating and hot water included in the service charge and no upper chain.

The external common parts are currently being refurbished.

Finchley Road Flat for Sale