Park Royal Flats & Houses For Sale & Rents

2012 Could see the Accidental landlord Sell up as House Prices Rise

noreply@blogger.com (London Estate Agents) — Fri, 06 Jan 2012 13:42:00 +0000

The new year could bring the kind of market that many accidental landlords have been waiting for.

With home values estimated to rise further in 2012, Alan Ward, chairman at the Residential Landlords Association (RLA), believes that the time to sell up as originally planned will have finally come.

An accidental landlord is someone who has opted to rent out their existing home when looking to move because trying to sell it would hold back their journey up the property ladder (officially termed let-to-buy in the mortgage industry).

"There is a sector of the market that is likely to come to sell as property values begin to increase - these are the accidental landlords who have been forced to rent because they can't sell for whatever reason," he said."Some people say there are 100,000 properties in that sector and, if that comes back on the market, then that is quite a big change."

The Association of Residential Lettings Agents recently advised anyone considering a move into the rental market to consider the benefits of using a professional letting agent.

Landlord and Tenant News

UK House Prices Remain Stable

noreply@blogger.com (London Estate Agents) — Fri, 16 Dec 2011 10:05:00 +0000

There was no movement for house prices in the UK in November, according to the latest England & Wales House Price Index from LSL Property Services/Acadametrics.

However, just because house prices have remained static, people should not assume that they are not becoming more affordable.

David Brown, commercial director at the firm, said that zero growth means that in real terms houses are becoming more affordable.

"With inflation running at five per cent the real cost of property is getting smaller and smaller, which is good news for buyers and mortgage borrowers alike," he added.

The data showed that the average house price in the UK now stands at £220,043.

Mr Brown said that while over the past year house prices have dropped 0.7 per cent, low mortgage rates, the stamp duty holiday and the government's FirstBuy scheme have prevented larger falls.

Recent data from Halifax showed that 2011 has so far seen five months of price falls and the same number of rises, with one month of no change.

Mortgage Rate & Home Loan News

Landlords Should Maintain Good Personal Relationsh...

noreply@blogger.com (London Estate Agents) — Fri, 25 Nov 2011 10:18:00 +0000

Barnes Flats & Houses For Sale & Rent: Landlords Should Maintain Good Personal Relationsh...: The best way to get the most out of your rental property is to ensure you have a solid personal relationship with your tenant, claims one s...

Long Term Renters May Exceed Homeowner Numbers

noreply@blogger.com (London Estate Agents) — Tue, 22 Nov 2011 09:30:00 +0000

The number of people renting property could exceed the number of homeowners by 2026, says a survey by private landlords Grainger.

Some 67 per cent of respondents said that they felt long-term rental was becoming the common choice for most people, while 54 per cent added they expected there to be more renters than owners in 15 years time.

In addition, 49 per cent said that they do not feel any pressure or rush to purchase a property and 40 per cent stated that some time in a rented home was an important step in them deciding on how they would move forward on the property ladder.

Nick Jopling, executive property director at Grainger, said: "There is a new housing reality dawning on Britain: the financial crisis has tightened mortgage lending; house prices continue to be uncertain; and frankly there are simply too few homes for the demand."

Despite this the National Association of Estate Agents (NAEA) reported last month that the number of properties purchased by first-timers rose by two per cent in August this year.

First Time Property Buyers News

Buy to Let Interest Only Mortgages and Negative Equity Concerns

noreply@blogger.com (London Estate Agents) — Wed, 02 Nov 2011 10:23:00 +0000

Landlords with interest-only mortgages could be facing a 'ticking time bomb' of problems according to one property expert.Paul Holmes, CEO of advisory service Firstrung, says that a future slump in the housing market could lead to many property investors finding themselves in negative equity.

And being in such a position at the end of their mortgage term would lead to a multitude of financial issues.

"Interest only mortgages are particularly prevalent in the buy-to-let sector, so unless there is a major shift in house prices upwards in the next ten to 15 years a lot of buy-to-let investors are going to find themselves in deep trouble," he said.
In normal terms, interest-only mortgages are taken alongside an investment vehicle that will go towards repaying the capital at the end of the mortgage period.

However, with a let property being an investment in itself, most landlords have not felt the need to pay into separate, and sometimes costly, policies.

Despite concerns over such mortgages, calls to prohibit interest-only lending have been criticised by some financial advisers as they feel it will hinder a lender's ability to help push the housing market.

Buy To Let investment News

North South Divide Rightmove’s House Price Index for October 2011

noreply@blogger.com (London Estate Agents) — Mon, 17 Oct 2011 12:43:00 +0000

Rightmove’s House Price Index for October 2011 today reveals that average asking prices in the South are now more than double those in the North.

Although the national average price increased 2.8% in the past month, this was driven by prices in the South (East Anglia, South East, South West and Greater London) increasing by 4.7% to now stand at £336,743. Prices in the North (East Midlands, West Midlands, Wales, North West, Yorks & Humber and North East) fell back -0.7% to £164,347, a difference of £172,396 and the largest ever North/South price divide.

Rightmove director Miles Shipside comments: “While those in the affluent south may have cause to celebrate their prices being well up on this time last year, prices in the north continue to go backwards, leaving the widest price gap ever. For the average asking price of a property in the south you could now buy two average properties in the north and still have enough change left to buy new carpets and curtains.”

London Estate Agents News: Energy efficiency 'should be recognised in valuation'

noreply@blogger.com (London Estate Agents) — Fri, 23 Sep 2011 11:44:00 +0000

Homeowners who have secured flats and houses for sale in Brondesbury, London, should have any energy efficiency improvements to the property recognised in its valuation.

This is the view of Gordon Miller, co-founder and sustainability and communications director at Sustain Worldwide, who argued that it is "long overdue" that the valuation sector recognises the "inherent value premium" in energy efficient homes.

"It stands to reason: sustainable homes are cheaper to run because they are better insulated and require less heating and mechanical cooling, and they are fitted out with hands-off energy saving applications," he pointed out.

"What's more, they will increase in value faster - or depreciate less than existing homes - because they are more future-proofed than a conventionally built existing house that will require expensive retro-fitting."

Mr Miller's remarks came after the Royal Institution of Chartered Surveyors posited that a property's sustainability characteristics should be taken into account in its valuation.

London Estate Agents News

First Time Property Buyers News,; Confidence On the Rise

noreply@blogger.com (London Estate Agents) — Tue, 06 Sep 2011 08:22:00 +0000

An increasing number of first time property buyers are looking to enter the market, new research has revealed.

According to independent financial advisers unbiased.co.uk, searches for first time mortgage advice reached 41 per cent in August 2011.

This finding was part of the company's Advice Drivers report, which also found that first time buyer enquiries reached a 16-month high. Searches reached 38 per cent in July.

Karen Barret, chief executive of unbiased.co.uk, said: "Our latest figures reveal that enquiries for first time buyer advice reached a new high in August, suggesting real momentum in the first time buyer market and a real consumer drive for mortgage advice.

"This new market confidence has been fuelled by the continuing fall in house prices and mortgage rates since 2008."

She added that it is encouraging to see that first time buyers are seeking out mortgage advice from the whole of the market, as it means they have a good overview of all the products available to them.

First Time Property Buyers News

National Landlords Association Encourage Long Term Investment in Quality Property

noreply@blogger.com (London Estate Agents) — Thu, 23 Jun 2011 16:45:00 +0000

With the number of buy to let funding options increasing, the National Landlords Association (NLA) has warned that those with property to rent in London or other parts of the country should not get carried away.

Richard Price, director of operations at the organisation, commented: "Competition for quality rented accommodation is currently very high; it is likely that before the end of this decade one in five households will rent privately. As a result, there is great demand for landlords to provide the UK population with quality housing."

He added that any buy to let products entering the market must be "sustainable, with consideration for the longer term".

Mr Price's remarks follow research from the NLA showing half (49 per cent) of landlords reported an increase in tenant demand during the first quarter of this year.

The same proportion said they expected this trend to continue during the rest of 2011.

Buy to Let Investment News

Tenancy Deposit Scheme Protection For All Parties

noreply@blogger.com (London Estate Agents) — Sun, 22 May 2011 08:33:00 +0000

Initiatives such as the Tenancy Deposit Scheme protect both landlords and renters from confusion over inventories, LettingFocus.com has stated.

David Lawrenson, buy to let and private rented sector expert at the site, commented that such schemes were originally brought in because some tenants were not getting their deposits back.

While there were "undoubtedly" some "rogue landlords" who unfairly held on to deposits, there were also "rogue tenants" who left properties messy, which added to costs for the landlord.However, these problems can be negated with an inventory taken at the beginning and the end of a lease.

"A proper inventory matters to both parties because a landlord can only make a deduction if the tenant causes damage to a property or its contents or its state and condition - between the beginning and the end of the tenancy - and which is beyond normal fair wear and tear," Mr Lawrenson added.

His comments come after the Council of Mortgage Lenders revealed buy to let funding totalled £2.9 billion in the first three months of 2011.

Landlord and Tenant News

Property Repossession News: Restoring outdated homes 'is a savvy move'

noreply@blogger.com (London Estate Agents) — Fri, 20 May 2011 09:05:00 +0000

Landowners who have earmarked their investment as a property in need of restoration could be carrying out a "highly profitable manoeuvre", according to Build It magazine.

Anna-Marie DeSouza, editor of the publication, noted: "If you are investing in your property to make it more habitable or boosting its size for your own future use, this is a far more cost effective option than selling your house and purchasing a new property in the current market."

She explained that making improvements to properties needing modernisation in order to raise their value is a "savvy move", but insisted that homeowners should ensure the amount they are investing can be sufficiently recouped when the abode is sold.

Ms DeSouza's comments follow research from FrogTape showing that over half (54 per cent) of males admit to cutting corners while decorating their homes, while a fifth have botched a DIY task to the extent where they had had to call in outside help to fix it.

Property Repossession News

Cheaper Fixed Rate Mortgages Launch

noreply@blogger.com (London Estate Agents) — Fri, 13 May 2011 14:27:00 +0000

N&P (Norwich and Peterborough Building Society) is cutting up to 0.3 per cent off the interest rates on its range of 85% loan to value (LTV) fixed rate mortgages, the building society announced today.

The new cheaper fixed rate mortgages, which make the 2 year and 3 year fixed rate deals the lowest 85% LTV deals currently on the market, will be available from Friday 13th May 2011.

The deals would provide a saving of almost £1,500 over the course of a 3 year fixed rate deal for an interest only mortgage of £150,000, compared to the previous deal with a 4.88% interest rate.

Richard Barker, mortgage manager at N&P, said:

"This reduction in the interest rates across the range of our fixed rate mortgages is very good news for those looking to move home, or re-mortgage, as we approach summer."

"We continually look to offer a good deal for our members, and these changes mean that N&P is now offering the lowest 2 and 3 year fixed rate mortgages currently available for those with a 15% deposit, making it particularly helpful to first time buyers."

New Build Development News: Increased demand means positive outlook for new build properties

noreply@blogger.com (London Estate Agents) — Tue, 12 Apr 2011 17:01:00 +0000

More new build properties could be on the way because of increased demand for homes, the Home Builders Federation has suggested.

Steve Turner, head of communications at the organisation, commented that the outlook for the future is "more positive" because of the pent-up demand generated by two years of difficulties in the property market.

"First time buyers have found it very difficult to enter the market, but transaction levels across the property market have generally been low. We know that there is a pent-up demand that at some point needs to be, or will be, released," he explained.

Mr Turner went on to say that the government's Firstbuy Direct policy, which was announced in last month's Budget, is "good news" because it will help improve the market for first time property buyers, but added that the lack of UK mortgage offers is still a "significant constraint".

His comments come after research from the Office for National Statistics found the volume of construction output increased by 8.6 per cent in February this year compared with the previous month.

New Build Development News

Park Royal Schools, Bins and Recycling Services by Postcode

noreply@blogger.com (London Estate Agents) — Wed, 23 Mar 2011 15:31:00 +0000

When moving into an area there are a number of local services you need to know about. Below you can access local authority information and services; we have chosen the most frequently asked information. Just put in your postcode and find out information on;

Bin Collection, Council Tax, Parking Permits, Recycling centres,Electoral roll registration, School and Term Dates and your local councillor for your new area.

London Property News

London Property News: Govt realises need for new homes

noreply@blogger.com (London Estate Agents) — Thu, 17 Mar 2011 15:28:00 +0000

The UK government has realised that there is a need for new property in London to be built and that this can only be achieve if the restrictions on construction are loosened.

That is according to Steve Turner, head of communications at the Home Builders Federation, who explained that the coalition now needs to take the next step and cut even more red tape restricting home builders in next week's budget.

He explained: "We need to see decisions made in terms of the new planning system; we need to see measures to free up public land and initiatives to help first-time buyers and people who can't get mortgages."

Mr Turner added that there has been a "realisation" within government that house-building levels are not great enough and this will helpfully be addressed in the near future.

It follows the publication of a report by the Institute for Public Policy Research, which revealed that demand in the property market could outstrip supply by 750,000 over the next 15 years if more new homes are not built.

London Property News

Feb house price fall biggest in a year - Hometrack...

noreply@blogger.com (London Estate Agents) — Thu, 03 Mar 2011 09:40:00 +0000

Camden Flats & Houses For Sale & Rent: Feb house price fall biggest in a year - Hometrack...: "House prices in England and Wales fell at their fastest annual rate in more than a year in February, although a rebound in new buyers slowed..."

Interest Rate Rise Unlikely to Affect Repossession Rate

noreply@blogger.com (London Estate Agents) — Fri, 18 Feb 2011 11:08:00 +0000

The number of property repossessions in London and other parts of the country is unlikely to be heavily impacted by an interest rate rise, according to John Charcol.

Ray Boulger, senior technical manager at the firm, noted: "The number of people who are in arrears has been falling and that is clearly because the low interest rates let some people who had been in arrears actually climb out of arrears.

"I don't think that a change in interest rates is going to make a big difference," he explained.

The bank rate is likely to climb by a quarter or a half per cent, which will not be enough "to make very much of a difference", Mr Boulger added.

His remarks follow HML's prediction that the number of UK home repossessions are set to fall in the first half of the year to 15,557 for those six months, before rising during the second half of 2011 to 17,700.

Property Repossession News

London Freehold Property Investment: Mary Portas Tackles Estate Agents in Secret Shoppe...

noreply@blogger.com (London Estate Agents) — Mon, 07 Feb 2011 18:57:00 +0000

London Freehold Property Investment: Mary Portas Tackles Estate Agents in Secret Shoppe...: "Channel 4's Secret Shopper Mary Portas wants to start a revolution in the world of estate agents. Buying a house is the most important purc..."

Landlord and Tenant News; Landlords 'need protecting from unscrupulous tenants'

noreply@blogger.com (London Estate Agents) — Wed, 19 Jan 2011 17:41:00 +0000

Those with landlord licences living in areas with low levels of demand could consider reducing their rental rate, LettingZone has suggested.

This is the advice from Mark Garner, founder of the organisation, who responded to research from the Association of Residential Letting Agents (ARLA).

ARLA's study found there is an increasing number of tenants who are finding it difficult to meet rent agreements, although this was not seen so much for property to rent in London.

Mr Garner offered landlords some advice to ensure they are not struggling to pay the mortgage after a tenant defaults on the rent.

"Always do a full credit check before you take a tenant and I suggest you take out a rent guarantee insurance product before they move in which will cover you if your tenant stops paying their rent," he said.

Meanwhile, research from Upad has found that 63 per cent of residential landlords are more confident this month than they were in December 2010.

Residential Landlords News

Landlords Insurance Advice; Prepare Property for the Winter

noreply@blogger.com (London Estate Agents) — Sun, 02 Jan 2011 10:15:00 +0000

Winter weather is one of many health and safety issues for landlords, who need to ensure their properties can withstand the severe conditions.

As snow and ice continues to affect many parts of the country, insurance provider Santander is highlighting the importance of preparing homes for the winter.
It pointed out that the estimated cost of storm and snow damage during the current cold snap is £1.1 million.

With further severe weather forecast in several areas, this figure could continue rising in the weeks ahead.

As well as physically preparing properties for wintry conditions, Santander also recommended that property owners secure landlord insurance to cover against any damage that does occur.

The group suggested keeping insurance documents in water-tight containers and having a photographic record of the contents of the property as evidence for claims.
Colin Greenhill, director of Santander Insurance, said: "The British weather is as unpredictable as it is uncontrollable but we can all ensure that should the worst happen we are correctly insured."

Health & Safety News

Property Market Weakened By Lack of Mortgage Lending

noreply@blogger.com (London Estate Agents) — Wed, 01 Dec 2010 09:29:00 +0000

The lack of UK mortgage lending options is taking its toll on demand for homes, according to Mouseprice.

Selwyn Lim, director of the online UK and London property market website, commented that there are fewer buyers around at the moment, which is why the market is currently "weak".

"There are just not that many people out there who are in a position to buy and so there is a lack of buyers competing against each other. The availability of mortgages definitely plays a significant role in that," he explained.

However, the lack of new properties coming on to the market means there are not many desperate sellers, while the Bank of England's low interest rates "does support prices somewhat", he added.

Mr Lim's comments follow Hometrack's latest research, which showed demand for housing dropped for the fifth consecutive month, falling by 4.3 per cent in November.

The drop was the largest single monthly decline since January 2009.

London Property Market News

Green Door Offers More Kerb Appeal

noreply@blogger.com (London Estate Agents) — Thu, 11 Nov 2010 12:03:00 +0000

A Zoopla Survey has found that Green Doors offer more kerb appeal with 31% of the vote.

How CSR Cuts Might Affect Home building in West Lo...

noreply@blogger.com (London Estate Agents) — Wed, 20 Oct 2010 10:38:00 +0000

Greenford Property Agents: How CSR Cuts Might Affect Home building in West Lo...: "It’s been a busy year for the HCA, according to David Lunts, London Director of the Homes & Communities Agency, who spoke at the Place West London economic summit last week.“We’ve been investing in housing and regeneration, keeping developers busy”, but the HCA are not in a position to forward fund any starts until the budget allocation is revealed in the Comprehensive Spending Review..."

Tenants 'unaware of mandatory Tenancy Deposit Scheme'

noreply@blogger.com (London Estate Agents) — Wed, 06 Oct 2010 09:44:00 +0000

Tenants are not always aware of the mandatory safeguards that are in place to protect their money when they are renting a property, the Tenancy Deposit Scheme has said.

The organisation explained that because the concept of tenancy deposit protection did not become mandatory until 2007, many people who rent properties may not be aware of the security they ought to be given.

Property legislation stipulates that landlords or agents must give proof that they have registered their tenancy and deposit with one of the three deposit schemes.

If the landlord or agent fails to register their tenants, they will be required by court to pay them compensation.

Those seeking houses to rent in north-west London, across the capital and the rest of the country were advised that as well as safeguarding their money with the Tenancy Deposit Scheme, they can also protect their deposit by using a regulated agent.

A spokesperson for the scheme commented: "It is absolutely vital that the tenant ensures that they are registered with one of the three schemes. You must by law be safeguarded through a Tenancy Deposit Scheme."

London Property News: Rental yields and returns in London 'buoyant'

noreply@blogger.com (London Estate Agents) — Thu, 23 Sep 2010 09:42:00 +0000

Rental yields and returns in London are buoyant, new figures from the Association of Residential Letting Agents (ARLA) suggest.

A recent survey by the association reveals that the average number of new tenants signing rental agreements has increased since ARLA conducted its last survey.

The poll of 302 ARLA members also shows that the average void period has fallen to 3.2 weeks this quarter, from 3.6 weeks during the preceding three months.

According to ARLA, the fall during the last four quarters signals a change and shows that the rental market has made a dramatic recovery since the beginning of 2009.

Ian Potter, operations manager at ARLA, said the rental market is incredibly strong at the moment and called for further safeguards for the private rental sector (PRS).

"The new government must ensure that finance is made available to the sector, so that more properties can be brought into the PRS and ensure that more rental homes are made available," he said.