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Em

Em Morley

Rent Prices Drop for First Time Since March

Published On: September 18, 2015 at 12:48 pm

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Rent prices in England and Wales have dropped for the first time since March, according to the latest Buy-to-Let Index by Your Move and Reeds Rains.

Rent Prices Drop for First Time Since March

Rent Prices Drop for First Time Since March

The report states that rents decreased by 0.1% between July and August, standing at an average of £803 per month.

Rents are now 5.5% higher than they were in August 2014, a slowdown on July’s figure, when annual growth was a record high of 6.8%.

Although rent inflation in London and the South East began slowing, rises in the Midlands and the East of England reached all-time highs.

However, the index also reveals that despite slower rent rises, the proportion of rent in arrears has increased to 9.9%.

Director of Your Move and Reeds Rains, Adrian Gill, says: “August has witnessed a break in a series of blistering rent rises.

“Yet this mild correction comes on the back of a whole year of acceleration. Rents are rising rapidly on an annual basis, underpinned by an improving economic picture for many potential tenants – and the peak lettings season is only just about to start this autumn.

“There is also no major change to the fundamentals of supply and demand. This means that in the longer term, faster rent rises may become a semi-permanent feature of the British property market.

“Alongside purchase prices, rents will continue to rise rapidly until something happens to address a drastic shortage of homes in the UK.”1

1 http://www.propertyindustryeye.com/rents-fall-for-first-time-since-march-last-year/

 

 

 

 

 

Rents dropping but arrears are rising

Published On: September 18, 2015 at 12:44 pm

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The latest Buy-to-Let Index from Your Move and Reeds Rains shows that rents in England and Wales dropped fractionally during the last month.

A fall of just 0.1% saw average rents now stand at £803 per month.

Arrears

Data from the report shows that annual rental increase slowed to 5.5%, down from 6.8% on the previous month. With this said and despite rents slowing in London and the South East, record rates were recorded in the Midlands and the East of England.

Moreover, rent arrears rose to 9.9% of all rent payable during August, a rise from 8.4% recorded during July. What’s more, this was a substantial rise from the 8% recorded in the same month last year.[1]

Rents dropping but arrears are rising

Rents dropping but arrears are rising

‘Rents are being bid up by the vast majority of tenants, many of whom are seeing their incomes rise substantially for the first time in many years,’ noted a spokesperson for the agencies. ‘However, compared to rapidly growing demand, there is a real shortage of available properties to let across the country. This means that inevitably, rising rents will not be good news for everyone,’ they continued.[1]

The spokesperson concluded by saying, ‘we will be releasing new, separate figures on the most serious arrears very soon. However, there is a need for action. This involves more investment from landlords in properties to let-and action from the government to allow the building of more new homes of all tenures.’[1]

[1] https://www.lettingagenttoday.co.uk/breaking-news/2015/9/rents-dipping-and-arrears-rising-say-letting-agencies

 

Leading agent wants RTR deferred until 2016

Published On: September 18, 2015 at 12:08 pm

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A leading British letting agent has called on politicians to defer the upcoming Right to Rent Immigration checks until the beginning of next year, after what she called a, ‘summer of confusion.’

Lisa Simon, head of letting at Carter Jonas, said that the recent confusion over the implementation of smoke alarm legislation, coupled with changes to the Section 21 notice, means it is already a confusion time for landlords.

Too much

With Prime Minister David Cameron indicating that Right to Rent legislation, covering letting to immigrants, will also come into effect during the Autumn, Simon is worried about landlords’ workloads.

‘There is just too much change to absorb at short notice,’ she observed. ‘The House of Lords decided there had not been enough consultation on smoke and CO alarm legislation and rejected it with three weeks to go. Landlords thought they had a reprieve in meeting the deadline only to find this week that the legislation had gone through with exactly two weeks to the deadline so those who prevaricated now need to rush to avoid possible £5,000 fines,’ she continued.[1]

No idea

‘Last December, a trial of rules that required landlords and letting agents to check the immigration status of all tenants was introduced in the West Midlands,’ Simon continued. ‘After the election, David Cameron revealed that the national roll-out would take place this autumn, Well, autumn is here and no-one has any idea what is going on.’[1]

Leading agent wants RTR deferred until 2016

Leading agent wants RTR deferred until 2016

With the migrant crisis showing no signs of abating, Simon believes that, ‘Right to Rent coming in now, with so many people on the move across Europe to claim refugee status and what some have unkindly called swarms of people trying to cross from France, would be an absolute nightmare.’[1]

‘It must not go ahead until things are more settled, both in terms of population movement and discovering just how effective the trial period has been,’ she declared.[1]

[1] https://www.lettingagenttoday.co.uk/breaking-news/2015/9/defer-right-to-rent-until-2016-demands-leading-agent

 

 

 

New Property App Launches in Jersey

Published On: September 18, 2015 at 11:47 am

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A new property app especially for Jersey has just launched. The island measures just nine miles long and has a population of 100,800.

New Property App Launches in Jersey

New Property App Launches in Jersey

The app’s founder, Neil Harvey, describes it as a Rightmove for the island.

He says: “Unlike mainland UK, where we have more apps than you can shake your stick at for searching property, there was nothing similar for searching property in Jersey, which is amazing considering the quality and professional nature of most estate agents on the island.”1

The Jersey Property app lists the latest homes for sale and to rent on the home screen and has a news feature where agents and industry professionals can upload property content.

The app allows home hunters to write messages on each property, share them on social media and make an offer.

There are around 30 estate agents in Jersey and about 24 on its neighbour Guernsey, which is 12 miles long, and where Harvey plans to launch his next app.

So far, 1,000 users have been on the app and 7,000 sessions have been recorded.

Seven agents are currently signed up: Broadlands, Troys, Wilsons, Keys Properties, Indigo, Le Gallais and Best Estates.

Marketing Manager of Broadlands, Zinzi Coetzee, says the app is proving a “very easy and user-friendly one-stop shop.”1 

Download the app here: https://itunes.apple.com/es/app/jersey-property/id998183911?l=en&mt=8

1 http://www.propertyindustryeye.com/its-the-rightmove-of-the-channel-islands-new-property-app-for-jersey/

 

 

 

 

 

 

 

 

 

ARLA Clarifies Smoke Alarm Rules

Published On: September 18, 2015 at 10:46 am

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The Association of Residential Letting Agents (ARLA) has clarified some confusion over the Smoke and Carbon Monoxide Alarm (England) Regulations.

ARLA Clarifies Smoke Alarm Rules

ARLA Clarifies Smoke Alarm Rules

James Morris discussed online yesterday his misunderstanding of the legislation, saying that it is not clear on when a landlord must fit smoke alarms.

He asked: “Bottom of page 7 (of the legislation) states that the amendments apply only to licenses granted or renewed on or after October 1st 2015.

“So does this mean that essentially although these changes come into effect from October 1st 2015, it actually takes effect only when the original tenancy has been renewed or when a new tenancy starts after this date?”1

Crucially, landlords and letting agents must ensure that each floor of a rental property has a working smoke alarm and that living spaces with solid fuel appliances have carbon monoxide alarms by 1st October 2015.

Managing Director of ARLA, David Cox, confirms: “All properties that are let need to have smoke and carbon monoxide alarms fitted from October 1st. Landlords and agents will then have to ensure that the alarms work (keep receipt/record of demonstration) at the start of each new tenancy (on or after October 1st).

“This does not include renewals under the same conditions (i.e. for the same premises by the same landlord to the same tenant) or a statutory periodic tenancy because by definition they are not new tenancies. Section 4 (4) of the regulations defines a new tenancy.”1 

Chief Executive of the National Approved Letting Scheme (NALS), Isobel Thomson, comments: “NALS welcomes final clarity on the implementation date of these regulations which we fully support but, like every other agent and landlord organisation, is concerned about the extremely short timescale for compliance.

“We have advised our firms of the requirement and to do everything they can to be compliant by the due date.”1

1 http://www.propertyindustryeye.com/arla-clears-up-confusion-over-smoke-alarm-regulations/

ARLA want smoke alarm regulations delayed

Published On: September 18, 2015 at 10:45 am

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The Association of Residential Letting Agents has become the latest organisation to raise concerns over the upcoming Carbon Monoxide Alarm Regulations.

Passed officially by Parliament, the regulations come into effect on the 1st October. However, ARLA believes that this simply isn’t enough time for landlords and letting agents to fully comply with the regulations.

Concern

‘Whilst ARLA is entirely supportive of the aims of the regulations, we remain concerned that the Government has ignored calls from across the private rented sector to reconsider the timeframe for its implementation,’ said ARLA managing director David Cox.[1]

‘Following final scrutiny of the measures yesterday in the House of Lords, landlords have until the 1st October 2015 to ensure that all tenancies have a smoke alarm fitted on every floor of their property where there is a room used wholly or partly as living accommodation. They will also be required to put a carbon monoxide alarm in any room where a solid fuel is burnt.[1]’

Cox acknowledges that these measures are completely sensible, but said that, ‘ARLA is concerned that landlords will not have enough time to comply with the requirements, as it is simply impracticable for letting agents, who may manage a huge amount of properties, to gain access to the properties and to install these alarms on behalf of their clients in the time frame allotted.’[1]

ARLA want smoke alarm regulations delayed

ARLA want smoke alarm regulations delayed

Issues

ARLA has written to the Government to outline its concerns. Cox said that the organisation believes, ‘all existing tenancies should be allowed to have until 1st January 2016 to comply.’ He went on to say that, ‘we were encouraged to see that Lord Marlesford showed support for our proposals in Parliament and again put our suggestion to the Government.’[1]

‘However, despite our efforts it appears that the Government will now go ahead and implement the new requirements as planned. We urge our members to ensure that they do all they can to ensure that their properties comply with the new regulations before the measures come into effect,’ he concluded.[1]

[1] https://www.landlordtoday.co.uk/breaking-news/2015/9/arla-calls-for-smoke-alarm-rule-to-be-delayed