Posts with tag: rental properties

Lettings Market Shows Momentum in March, Finds Agency Express

Published On: April 20, 2017 at 8:49 am

Tags: lettings market,property listings,rental properties,tax changes

Following a slowdown in the UK lettings market throughout February, the latest data from Agency Express’ Property Activity Index shows that the sector showed momentum in March.

Lettings Market Shows Momentum in March, Finds Agency Express

Across the country, new listings to let rose by 12.2% last month, while the number of properties let was up by an average of 16.4%.

Looking at activity across the lettings market in the UK, all 12 regions included in the Property Activity Index recorded growth in both new listings and properties let.

Top performers in the lettings market last month include:

Properties to let

Central England: +28.40%
London: +28.20%
South East: +22.90%
Yorkshire and the Humber: +19.50%
South West: +17.00%
Wales: +17.00%

Properties let

East Midlands: +32.20%
East Anglia: +31.10%
Central England: +19.80%
London: +19.60%
North East: +18.60%
West Midlands: +18.30%

March’s top performing region was Central England, with growth in new listings of 28.40% – the region’s largest increase for March since 2014.

London followed suit, with a 28.2% rise in new listings, marking the capital’s largest monthly increase for March since the records began in 2012.

The month-on-month data also highlighted a strong lettings market in the West Midlands. As the only region to record consistent growth since the beginning of the year, figures rose again for a third consecutive month. The number of properties let increased by 18.3%, while new listings were up by 8%.

Sales in the region also flourished last month, according to the latest sales index from Agency Express.

Stephen Watson, the Managing Director of Agency Express, comments on the latest lettings market data: “Throughout March, we typically see an increase in activity across the UK lettings market and, this month, figures did surpass those recorded in 2016. However, between the demand for buy-to-let loans seemingly decreasing since the Stamp Duty hike and the recent tax relief changes, it is difficult to say what the forthcoming months may hold. We may see some landlords selling off their properties as a result of the changes.”

One in Five Rental Properties now Owned by Company Landlord

Published On: April 18, 2017 at 8:18 am

Author: Em Morley

Categories: Landlord News

Tags: landlord taxes,limited company,rent prices,rental properties,tax changes

The proportion of rental properties owned by a company landlord reached 20% in the first quarter (Q1) of 2017 – the highest level since records began in 2010, according to research by Countrywide.

The number of homes owned by a company landlord has been steadily rising since 2013, but Q1 2017 recorded the greatest annual jump, of 4%.

One in Five Rental Properties now Owned by Company Landlord

Changes to buy-to-let tax relief, introduced earlier this month, may be behind the rise, believes Countrywide.

From 6^th April 2017, the amount of tax relief that buy-to-let landlords can claim on finance costs, such as mortgage interest, is being reduced gradually to the basic rate of Income Tax.

The changes make it more tax efficient for some landlords to own their portfolios through a limited company, rather than hold as a personal asset.

Rental properties in London are most likely to be owned by a company landlord, with 27% of all homes let in the capital owned in this structure – the largest proportion in the UK.

Company landlord properties drive both the top and bottom of the rental market, with the most and least expensive homes likely to be owned by a company landlord.

Over the past year, a quarter of homes let by a company landlord cost less than £500 per month. Meanwhile, almost one in ten homes (9%) costing between £1,500 and £2,000 per month were owned by a company landlord, compared to 6% owned by individual investors.

In separate research, Countrywide found that rent prices across the UK fell in March. The cost of a new let was an average of 0.3% lower than in the same month last year, marking the second consecutive monthly drop.

The average rent in the UK is now £928 per month – £3 less than in March last year. The decline in rents was driven by London, the South West and Wales, where prices fell by 0.4%, 0.2% and 6% respectively.

The Research Director of Countrywide, Johnny Morris, comments: “The number of rented homes owned through a company is on the up. The incoming tapering of mortgage tax relief is likely driving the increase. Companies are generally taxed more favourably, particularly with recent changes by Government to tax relief. So, in many cases, landlords can make cash savings by operating through a company rather than as an individual.

“Rents fell again in March, mostly driven by falls in London. Stock growth continues to outpace demand in the capital, giving tenants more negotiating power, pushing down rents. In much of the rest of the UK, rents continued to growth, although at a slower rate.”

Get Free Property Listings for Landlords Online

Published On: April 11, 2017 at 8:14 am

Author: Em Morley

Categories: Landlord News

Tags: letting a property,property listings,property sales,rental properties

Get Free Property Listings for Landlords Online

Houses In Sale is a free advertising service website for estate agents, landlords, direct homeowners and other real estate related entities who want to sell or rent a property in the UK.

It tries to make online property finding a fun experience, connecting buyers, sellers and estate professionals, all to give you the listings and resources you need to make your buying or selling experience as easy as possible.

Why listing with them?

Making properties visible online is its goal. There is no getting around the fact that over 90% of consumers start their real estate search online.

– Each user can list unlimited properties

– Possibility to add floor plans to properties

– Edit, delete, view stats, pause property listings

– You have full property listing management

– Listing visible on desktop, tablets, mobile

-Free property listings

-You can list your house for sale using its simple Add New Property page, after registration or send them an xml or bml file with your properties

Get in front of buyers and sellers and get more leads with Houses In Sale, the real estate portal where you can list and find properties for sale and for rent in the UK.

Fergus Wilson makes it back into the Headlines with Controversial Ban

Published On: March 30, 2017 at 8:45 am

Author: Em Morley

Categories: Landlord News

Tags: Fergus Wilson,rental properties,rogue landlords,tenants

Fergus Wilson, one of Britain’s biggest buy-to-let landlords, has made it back into the headlines with yet another controversial ban.

Wilson, 69, has now banned “coloured” people from renting his properties because, he says, they leave them smelling of curry.

Fergus Wilson makes it back into the Headlines with Controversial Ban

In an email to the letting agent acting on behalf of Wilson, who runs a property empire in Kent, he said: “No coloured people because of the curry smell at the end of the tenancy.”

When contacted by The Sun, Wilson defended his comments, saying: “To be honest, we’re getting overloaded with coloured people. It is a problem with certain types of coloured people – those who consume curry – it sticks to the carpet. You have to get some chemical thing that takes the smell out. In extreme cases, you have to replace the carpet.”

Earlier this year, Wilson made headlines after saying that he would no longer accept victims of domestic violence as tenants, as jealous or angry partners typically cause damage to the property by kicking down front doors and punching holes in the interior.

Single parents, workers on low incomes, families with children, pet owners, smokers and single adults were also among those who Wilson banned from his properties.

A spokesperson for the campaign group Hope Not Hate responded: “You simply cannot treat people like this and deny them a place to live due to their skin colour.

“This is the unacceptable face of the housing crisis. There is something broken in the system when such a powerful figure can get away with such an appalling policy.”

They added: “Fergus Wilson’s comments would seem laughably offensive, a throwback to the Alf Garnett era, if they weren’t so serious in their implication.”

Rebecca Hilsenrath, the Chief Executive of the Equality and Human Rights Commission, also reacted: “There are still deep inequalities in our society, as our race report demonstrated, and these comments show why.

“As a country, we all assume we have left the dark ages behind, but clearly there is more to be done.

“We will investigate and will be asking Mr. Wilson to explain his actions. Unless we are satisfied that he will not break the law in the future, we will take legal action.”

And the Manager at letting agent Evolution, which manages a number of Wilson’s properties, Roy Fever, insisted: “We don’t condone this at all. We would never implement a policy like that. We put through anyone to the landlord and it is up to the landlord who they take on.”

10 Steps to Choosing the Best Letting Agent

Published On: March 23, 2017 at 10:45 am

Author: Em Morley

Categories: Landlord News

Tags: advice for landlords,letting a property,letting agents,rental properties

Choosing a half decent letting agent to manage (probably) the single biggest investment you’re ever likely to make can seem a daunting prospect. But don’t worry; we have produced a mini guide that will help you find a letting agent that’s just right for you.

Choosing the right letting agent could be the difference between finding a really great tenant or having your property sitting void for weeks on end and you losing a large amount of rental income. Whilst there are some very good Rent Guarantee Insurances available to landlords, these products won’t cover you before your tenancy start date and won’t cover properties in between tenancies. Below, with the help of Carol Lewis from the Estate Agents London news site, we discuss the difference between a good letting agent and a bad letting agent:

Remember the agent works for you

A letting agent earns money (usually called a commission) once they let your property. If they don’t have your property on their books, they can’t make any money. You’re the landlord and therefore you’re the one in control. It’s worth remembering that at all times when discussing your property with the letting agent.

Should you choose a sole agency or go multiple agency?

If you were selling your property, the number of agents you have marketing your property will directly affect the fee you are likely to pay.

When it comes to letting your property, however, the number of agents you use doesn’t always matter. You can have as many letting agents as you want to help find you a good tenant – their fees do not usually increase depending on the number of other competitors also marketing your property.

Asking family and friends for recommendations

Personal recommendation is probably still the number one way of acquiring new business for a letting agent. More and more letting agents are relying on landlords who have multiple properties to let and friends and family members who have properties they also wish to let. So ask around, it can’t do any harm.

10 Steps to Choosing the Best Letting Agent

Search online reviews

Reviews are the in thing right now. A number of high profile estate agents, such as London letting agent Foxtons, have recently followed the online revolution and have started to embrace review sites such as Trustpilot.

“Reviews and online reputation management help drive customer acquisition and also help us to better understand customer needs and areas we need to improve,” says Ajvinder Singh, Managing Director of London estate agent Aaron J Barclay.

However, you should read reviews carefully to see which ones are real reviews. There are tell-tale signs. Are they overly gushing in their praise of the agency or do they look like they are from a genuine customer who wants to share their experience?

Choose a local agent

This can seem pretty obvious at first. However, a lot of the new online-only or hybrid agencies claim to have local property experts who know the local market. On closer inspection, some of these local experts are covering large parts of the country, so cannot truly have local knowledge. It’s worth bearing in mind the high level of local knowledge a local agent can have. If coupled with a database of local clients who have registered locally, this can make a powerful combination and help you find a tenant pretty quickly.

Choose someone who’s relevant

This applies to those landlords with unique properties to let. If you have a cosy one-bedroom flat in central London, there’s no point appointing a Surrey letting agent who specialises in luxury countryside barn conversions. A lot of letting agents find that specialising in a particular niche works for them – it could work for you too.

What is their marketing like?

Are they any good at their actual job? The photos should be professionally taken (and edited) and should show your property in a good light to maximise its potential. The description of the property should be comprehensive and well written.

Are there many let boards around town?

The sign of a good agent is having lots and lots of let property boards scattered around town. Be wary though of some agent leaving their boards up too long to make it look as though they are doing better than they really are.

Narrow your search down to three good agents and see how good they are

Invite three letting agents around to your home to give you an appraisal and to see what levels of service and value they can offer you. Ask the agent how many comparable properties they have on their books and how they can justify their figures. Also ask what professional qualifications they have, as that is important to understand what their minimal legal obligation is towards you as a customer. There are many professional bodies that deal with letting agents including ARLA (the Association of Residential Letting Agents), NAEA (the National Association of Estate Agents) and TPOS (The Property Ombudsman Scheme).

Always ask if there’s a plan B – what would your letting agent do if your property wasn’t getting the desired interest? Evaluate what answers they give you and decide if it’s something you can work with.

Ask them all which portals your property is going to be marketed on. Rightmove is the clear market leader when it comes to property portals, followed by a distant Zoopla. On The Market is a new portal and is a similar distance behind Zoopla and compares favourably with Prime Location, which is owned by Zoopla. Listing on the big two will ensure your property receives the best exposure.

Finally…

Choose a letting agent you are comfortable talking to, because you could end up having to communicate a lot. Don’t fall for the classic over-valuing of your property by an agent just to gain your confidence at an unrealistic level. This ploy doesn’t work and will only become evident when there is a lack of interest in your property and the inevitable call asking you to lower you rental price. Take into account what the letting agent is charging, but don’t get hung up on it too much. If they are offering good value for money and the commission includes some generous extra, then go ahead with the agent you feel most comfortable with.

If you’re unsure about something, then ask; agents expect all sorts of questions and it’s their job to alleviate your concerns.

Rent Prices Stall in London and the South East, Reports Countrywide

Published On: March 13, 2017 at 9:18 am

Author: Em Morley

Categories: Property News

Tags: private rental sector,property market,rent price growth,rent prices,rental properties,tenants

The Lettings Index for February from Countrywide shows that rent prices in London and the South East have stalled, causing the average rent in Great Britain to record the first annual drop since November 2010.

Nationally, rent prices fell by 0.6% over the last 12 months, taking the average rent to £921 a month – £5 less than in February 2016.

Rent Prices Stall in London and the South East, Reports Countrywide

However, rents are still £112 (14%) a month more expensive than in the previous peak of 2007.

The decline in the average national rent was driven by London and the South East, where the price of a new let dropped by 4.7% and 2.6% respectively. It has taken seven months for falls in these regions to take national rent price growth to -0%.

Apart from London and the South East, every other region continued to see rent prices rise, albeit at a slower rate than the previous month. Outside London, rents increased by 0.8% annually, but the rate of growth slowed in nine of the 11 regions in Great Britain.

The East and West Midlands were the only regions to record faster rent price growth in February than in January.

The slowdown in average rent price growth was driven by a decline in the number of tenants looking for a home, combined with higher numbers of homes available to let in London and the South East.

In Great Britain as a whole, there were 5% more tenants looking for a home than in the same time last year, while London (-3%) and the South East (-5%) both had fewer renters than last February.

There was more tenant demand in every other region of the country, with the greatest increases recorded in the East Midlands, the East of England and the North West.

The surge in the number of homes available to let following the rush to beat the Stamp Duty deadline last year is now starting to subside, reports Countrywide.

There were 10% more properties available to let in February 2017 than last year across the country, but the rate of growth has halved since January.

London, the South East, the South West and the East of England were the only regions to record double-digit growth in the number of homes available to let. This increased level of stock is likely to continue stalling growth in rent prices over the coming months, the agent believes.

The Research Director at Countrywide, Johnny Morris, comments: “Rents are growing in most of the country, but falls in London and the South East are dragging down the national growth rate. Recent falls in London and the South East are small in the context of growth in recent years. Rents are a third higher in London and the South East than in 2007.

“Early signs point towards 2017 being a rare year where rents rise faster in the north of the country than in the south. While rents are likely to track any increase in earnings, affordability in London and the South East remains stretched. That is likely to limit rental growth.”