Why are we Brits such snobs about renting? http://t.co/tSNJeR7fjl
— Telegraph Property (@TeleProperty) February 27, 2015
Friday, February 27, 2015
Brits snobs about renting
Legal and General enter PRS
Legal and General Group PLC has jumped into the UK private rental sector with the purchase of a £25m regeneration site in Walthamstow.
The multi-national's investment arm, Legal & General Capital is planning to build 300 flats to let out.
Laura Mason, director of investments at Legal & General Capital commented -
“The UK has a chronic shortage of housing. Today’s investment and our future plans for the PRS should help address the structural issues which have contributed to the shortage. We view investments over 30 or more years and are using our long term capital to change the way the UK housing market is financed. This will be the first of many PRS deals for LGC”
This is the first investment of a £1 billion strategy the company is planning for UK build to lets and will be built and managed by Legal & General Property, on behalf of LGC.
Expect to more large corporations to enter PRS soon.
Take advantage of our discounted landlord insurance rates
The multi-national's investment arm, Legal & General Capital is planning to build 300 flats to let out.
Laura Mason, director of investments at Legal & General Capital commented -
“The UK has a chronic shortage of housing. Today’s investment and our future plans for the PRS should help address the structural issues which have contributed to the shortage. We view investments over 30 or more years and are using our long term capital to change the way the UK housing market is financed. This will be the first of many PRS deals for LGC”
This is the first investment of a £1 billion strategy the company is planning for UK build to lets and will be built and managed by Legal & General Property, on behalf of LGC.
Expect to more large corporations to enter PRS soon.
Take advantage of our discounted landlord insurance rates
Thursday, February 26, 2015
LBTT affect on Scottish property
How could #LBTT affect the Scottish property market in 2015 and beyond? New Savills analysis: http://t.co/0c0Rkn3hjT pic.twitter.com/p7Ho8qKoSL
— Savills (@Savills) February 26, 2015English Housing Survey 2013-14
The latest English Housing Survey has been published by the Department of Communities and Local Government.
- In brief, the key observations from the English Housing Survey 2013-14 are -
- For the first time, the proportion of outright owners was greater than owners with a mortgage.
- The breakdown of the 22.6 million households in England were 33% owned outright, 31% held a mortgage, 19% were renting privately and 17% were renting social housing.
- 48% of 25-34 year old households rented privately, with owner occupation in this age group dropping from 59% to 36% over the course of the past ten years.
- Average weekly private rents were £281 in London and £145 outside of London, and average weekly social rents in London were £125 compared to £87 outside London.
- Working households receiving housing benefit increased to 14%.
- Damp problems were more likely to be found in private rented dwellings than social rented or owner occupied dwellings.
- A million homes were estimated to have problems with damp, a drop from 2.6 million homes in 1996.
London affordable rent hits £1,000
'Affordable rent' in London hits £1,000 per month on new builds http://t.co/8BlzuGbV2B
— housinglaw (@housinglaw) February 26, 2015
Wednesday, February 25, 2015
South West Landlord Expo
Landlord Expo – 12 March 2015
The Landlord Expo is the largest landlord event in the South West with over 90 exhibitors from letting agents, financial experts, trades people and suppliers and is sponsored by Andrews Letting Agents.
The rolling programme of free seminars include the topics
The Landlord Expo is the largest landlord event in the South West with over 90 exhibitors from letting agents, financial experts, trades people and suppliers and is sponsored by Andrews Letting Agents.
The event aims to provide landlords with all they 'need to know’.
Now in its 15th year, the event provides information stands, seminars and demonstrations and is aimed at anyone who already is a landlord or letting agent, or considering entering the private rental market.
The rolling programme of free seminars include the topics
- Deposit protection good practice
- Tax issues for landlords
- Funding for energy efficiency measures
- Using finance to grow your portfolio
- Recovering rent arrears
- Fire safety responsibilities
All seminars are free to attend and don’t require pre-booking.
The Landlord Expo is taking place on Thursday 12 March in Exhibition and Conference Centre at the University of the West of England, Bristol
Free entry, free parking, and free refreshments
To find out more, visit www.landlordexpo.co.uk or contact the Expo organisers on 0117 352 1853
You can also follow the event on Twitter [@LandlordExpo1]
Take advantage of our discounted landlord insurance rates
The Landlord Expo is taking place on Thursday 12 March in Exhibition and Conference Centre at the University of the West of England, Bristol
Free entry, free parking, and free refreshments
To find out more, visit www.landlordexpo.co.uk or contact the Expo organisers on 0117 352 1853
You can also follow the event on Twitter [@LandlordExpo1]
Take advantage of our discounted landlord insurance rates
Most popular BTL mortgages
| Max LTV | Initial Rate | Term | Completion fee | Booking fee | Incentives | Lender |
| 85% | 4.99% Fixed | 2 Years | 2% | £130.00 | No | Kent Reliance Semi Exclusive |
| 85% | 5.19% Fixed | 5 Years | 2% | £130.00 | No | Kent Reliance Semi Exclusive |
| 85% | 5.09% Discount | 2 Years | 2% | £130.00 | No | Kent Reliance Multi Let & Ltd Co. Semi Exclusive |
| 80% | 5.39% Variable | 0 Years | 2% | £0.00 | No | Saffron Light Refurbishment |
| 80% | 3.79% Fixed | 2017-04-30 | £2495 | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 4.25% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 3.5% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.75% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 4.69% Fixed | 2 Years | 1.5% | £130.00 | No | Kent Reliance Multi Let & Ltd Co. Semi Exclusive |
| 75% | 5.39% Variable | 0 Years | 2.5% | £0.00 | No | Saffron Light Refurbishment |
| 75% | 2.25% Fixed | 2017-04-30 | 2.5% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 75% | 3.5% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 75% | 4.39% Fixed | 2 Years | 1.5% | £130.00 | No | Kent Reliance Semi Exclusive |
IMPORTANT! Due to current market
conditions, lenders are withdrawing and replacing products with little
or no notice. Please check our website regularly to see the most
up-to-date products available.
Tel: 029 2069 5446
Your home may be repossessed if you do not keep up repayments on your mortgages.
The Financial Services Authority does not regulate some forms of mortgage.
New BTL range from Kent Reliance
Kent Reliance has made changes to its buy-to-let mortgage range - available via Property Hawk Mortgages
Or use the free buy-to-let mortgage finder
- Reduced rates and fees
- Up to 85% loan-to-value
- New 5 year fixed rates with 110% rental calculation at pay rate
Or use the free buy-to-let mortgage finder
UK cities house price recovery
Jan 2015 #ukcitiesindex data out now. 2 tier housing recovery continues http://t.co/9C6QKhwBPb #ukhousing pic.twitter.com/RmTLkwUcjd
— Hometrack (@HometrackGlobal) February 20, 2015
Take advantage of our discounted landlord insurance rates
Scottish rent rise is off the pace
Scottish rents are up by 1.3% over the last 12 months according to data from Your Move's Scotland Buy to Let Index.
Your Moves figures show that average rent in Scotland grew at half the rate of rents in England and Wales where the average growth was 2.8%.
The average Scottish rent is now £536 per month.
The average Scottish rent is now £536 per month.
Brian Moran, director at Your Move commented.
‘Despite snowballing demand for homes to let, the private rented sector has managed to shelter tenants from the worst extremes of rent inflation, and rents have navigated an affordable route broadly trailing inflation.’
Read Your Move's Scotland Buy to Let Index for January 2015
Discounted landlord insurance
‘Despite snowballing demand for homes to let, the private rented sector has managed to shelter tenants from the worst extremes of rent inflation, and rents have navigated an affordable route broadly trailing inflation.’
Read Your Move's Scotland Buy to Let Index for January 2015
Discounted landlord insurance
Resposibility for repair & maintenance
Who is responsibility for the repair and maintenance of the buy-to-let property?
We look at the primacy of the tenancy agreement in setting out the responsibility for repairs and distinguish between the repair and improvement of a rental property.
We look at what the term repair covers in the terms of the tenancy agreement and what standards of repair are required under section 11 of the Landlord and tenant act.
Landlord insurance - expert brokers - online quotes
We look at the primacy of the tenancy agreement in setting out the responsibility for repairs and distinguish between the repair and improvement of a rental property.
We look at what the term repair covers in the terms of the tenancy agreement and what standards of repair are required under section 11 of the Landlord and tenant act.
Landlord insurance - expert brokers - online quotes
Ask the Property Ombudsman Q & A
Ask the Ombudsman: Live Lettings Q&A 12noon today @tsi_uk @arla_uk @NALScheme @GuildofLetting @CommunitiesUK #tsicodes
— Property Ombudsman (@TPOmb) February 25, 2015Universal Credit latest progress report
Despite Ian Duncan Smith's best efforts, just 18,000 claimants were paid using Universal Credit prior to October 2014 according to a damning report from the Public Accounts Committee.
"The Department for Work and Pensions has spent £700 million on Universal Credit since the programme began in 2010. However, very little progress has been achieved on the front line. Fewer than 18,000 people were claiming Universal Credit by October 2014, out of around seven million expected in the longer term – just 0.3% of the eligible population.
We hope the Department’s expectation that this number will rise significantly by February 2016 proves to be accurate."
Read the Public Accounts - Universal Credit Progress Report Feb 2015
The Public Accounts Committee chair, Labour MP Margaret Hodge, commented
"The Department for Work and Pensions has spent £700 million on Universal Credit since the programme began in 2010. However, very little progress has been achieved on the front line. Fewer than 18,000 people were claiming Universal Credit by October 2014, out of around seven million expected in the longer term – just 0.3% of the eligible population.
We hope the Department’s expectation that this number will rise significantly by February 2016 proves to be accurate."
Unsurprisingly, the government still insists the roll out of Universal Credit was 'making good progress'...
Read more comment on the PAC's assessment of the Universal Credit rollout in the Financial Times
Tuesday, February 24, 2015
Rent - why it pays not to be greedy
How much rent should you charge? The latest figures from the rent-index indicate that the average rent in the UK is £637.
We always want to get top dollar....of course we do. We work hard to bring our buy-to-let to the rental market and then maintain it in a lettable condition.
Here's an article though that puts the case that it also pays sometimes, not to be greedy on the rent.
Landlord insurance - professional rates - online cover
We always want to get top dollar....of course we do. We work hard to bring our buy-to-let to the rental market and then maintain it in a lettable condition.
Here's an article though that puts the case that it also pays sometimes, not to be greedy on the rent.
Landlord insurance - professional rates - online cover
Monday, February 23, 2015
Judicial review asked for Rotherham licensing
The National Landlords Association has confirmed they have written to the government asking for a judicial review of Rotherham Council's plans to introduce a selective landlord licensing scheme.
The landlord licensing scheme was set to begin in May inin four areas of the town -Eastwood, Masbrough, Dinnington and Maltby South East.
The landlord licensing scheme was set to begin in May inin four areas of the town -Eastwood, Masbrough, Dinnington and Maltby South East.
Dave Richmond, Rotherham Borough Council's director of housing and neighbourhoods commented
"The authority has received the initial documentation notifying us of a potential legal challenge from the Rotherham Action Group and this is now being considered by our legal department."
Read more on the council's website - Rotherham Councils Selective Licensing Scheme
Shift to private rentals
Shift to private rentals from social tenancies pre-dates Govt http://t.co/kvuwLJl8vz @jrf_uk #ge2015 hub pic.twitter.com/tVTFlnQU1e
— Joseph Rowntree Fdn. (@jrf_uk) February 23, 2015
Take advantage of our discounted landlord insurance rates
Landlord task force has never met
The task force had been initiated to build on the work of a previous task force to tackle so called beds in sheds rentals where 'dodgy' landlords were renting out illegally garages and outbuildings often to migrant workers.
When questioned in Parliament Housing Minister Brandon Lewis admitted that the new task force had not met once since being established in 2012.
Landlord insurance - professional rates - online cover
Liverpool's licensing scheme hits town
Liverpool's city-wide compulsory landlord licence scheme has been introduced.
Starting from the 1st of April ( not a joke ) all of Liverpool's private residential landlords will be required to obtain a licence to legally rent out a property.
Licences will cost £400 for a landlord with a single rental property, and then an additional £350 for each property a landlord owns after that. Licences are valid for a period of five years.
Before a landlord is awarded a licence they must first prove they are a 'fit a proper' person. A landlords will have any past convictions checked through before a licence is granted. The council have not yet explained if any other tests will be done. (possibly a landlord will be required to remain polite and courteous whilst a council officer leads them on a short jog followed by a set of press ups...)
Rental properties will be inspected to check they meet health and safety guidelines and the exterior of a property needs to be kept in a 'good state of repair' and the landlords need to help deal with any incidents of anti-social behaviour made by their tenants.
Any Liverpool landlords who do not register for the licensing scheme by April 1st 2015 will face additional administration fee and possible prosecution.
Read the list of exemptions from the Liverpool landlord licensing scheme.
Take advantage of our discounted landlord insurance rates
Starting from the 1st of April ( not a joke ) all of Liverpool's private residential landlords will be required to obtain a licence to legally rent out a property.
Licences will cost £400 for a landlord with a single rental property, and then an additional £350 for each property a landlord owns after that. Licences are valid for a period of five years.
Before a landlord is awarded a licence they must first prove they are a 'fit a proper' person. A landlords will have any past convictions checked through before a licence is granted. The council have not yet explained if any other tests will be done. (possibly a landlord will be required to remain polite and courteous whilst a council officer leads them on a short jog followed by a set of press ups...)
Rental properties will be inspected to check they meet health and safety guidelines and the exterior of a property needs to be kept in a 'good state of repair' and the landlords need to help deal with any incidents of anti-social behaviour made by their tenants.
Any Liverpool landlords who do not register for the licensing scheme by April 1st 2015 will face additional administration fee and possible prosecution.
Read the list of exemptions from the Liverpool landlord licensing scheme.
Take advantage of our discounted landlord insurance rates
Saturday, February 21, 2015
Landlords to lose LESA tax break in April
- cavity wall and loft insulation
- solid wall insulation
- draught-proofing
- hot water system insulation
- floor insulation
Landlord insurance - cover options - professional rates
Wednesday, February 18, 2015
The London new build property crash
The train crash waiting to happen in new-build property http://t.co/uPTbq6jnwO pic.twitter.com/8NNj9Qurmj
— MoneyWeek (@MoneyWeek) February 18, 2015
Fair wear and tear on a rental property
Our guide for landlords calculating the Fair Wear and Tear on a rental property.
#disputetips 3) In order to increase the chances of a successful claim, make sure you account for fair wear & tear
— The DPS (@The_DPS) February 18, 2015
Take advantage of our discounted landlord insurance rates
Savills property growth forecast for 2015
Stronger than forecast capital value growth for all UK property sectors in 2014 - find out what's in store for 2015: http://t.co/4tpBehtomU
— Savills (@Savills) February 18, 2015
Take advantage of our discounted landlord insurance rates
Universal Credit roll out gathers pace
The roll out of Universal Credit continues.
Here's a batch of new JobCentres joining the list.
- Clevedon
- Dingwall
- Fort William
- Fulham
- Hartlepool
- Invergordon
- Northallerton
- Portree
- Ryedale
- Shepherds Bush
- Skipton
- Swindon
- Weston Super Mare
- Wick
- York Monkgate
- York Stonebow
Read more on the Job Centres now issuing Universal Credit
ONS December 2014 House Price Data
The ONS have published their house price data for December 2014.
They observed these key points -
They observed these key points -
- UK house prices increased by 9.8% during 2014.
- With 2014 growth rates of 10.2% in England, 4.0% in Wales, 5.5% in Scotland and 4.9% in Northern Ireland.
- Best performing English regions were London with 13.3%, South East (11.5%) and the East (11.4%).
- Excluding the South East, UK house prices increased by 7.4% in the 12 months to December 2014.
If you want every microscopic detail at the ONS December 2014 House Price Index to download the pdf report and the full data sheets.
Tuesday, February 17, 2015
February House Price up 2.1%
Rightmove report a 2.1% in average UK asking prices in February.
The portal makes these key points about the market data -
Take advantage of our discounted landlord insurance rates
The portal makes these key points about the market data -
- Decades of inadequate provision of homes to satisfy demand are having an increasing effect, with a tight-stock market resulting in a shortage of quality property to trade up to:
- Average price of property coming to market up by over £5,000 this month (+£5,729/+2.1%), with all regions reporting uplifts
- Increase in demand for property continues with busiest ever January site traffic on Rightmove
- 31% increase in housing transactions in last two years in England and Wales, outstripping 11% rise in number of properties coming to market in same period
- Some agents reporting lowest ever stock of quality property for sale, as lower owner-occupation, buy-to-let investors not selling, and owners’ reluctance to ‘sell before you find’ contribute to a 4% fall in new seller numbers compared to same period in 2014
- Different tactics required for a successful move in a tight-stock market
Take advantage of our discounted landlord insurance rates
CML record a strong December for BTL
The latest Council of Mortgage Lending data for December 2014 show that BTL is still on the up.
The CML recorded 17,300 BTL mortgage advances in December 2014.
The total value of BTL loans in December 2014 were £2.5billion.
An increase of 20% on volume and 32% on values compared with December 2013's numbers.
BTL lending total for 2014
The CML recorded 17,300 BTL mortgage advances in December 2014.
The total value of BTL loans in December 2014 were £2.5billion.
An increase of 20% on volume and 32% on values compared with December 2013's numbers.
BTL lending total for 2014
December figures bring the years totals for BTL lending to 197,700 loans, valued at £27.4 billion of lending. BTL purchases totalled 100,100 loans and remortgages totalled 96,020.
Compared to 2013's BTL lending total this is an increase of 23% by volume and 32% by value.
Search the whole BTL mortgage market free
Claimants doubt universal credit's simplicity
Four in 10 claimants doubt simplicity of universal credit: Four in ten universal credit claimants do not think... http://t.co/2Q60VEOh2k
— Inside Housing (@insidehousing) February 17, 2015
This weeks popular BTL mortgages
| Max LTV | Initial Rate | Term | Completion fee | Booking fee | Incentives | Lender |
| 85% | 4.99% Fixed | 2 Years | 3% | £130.00 | No | Kent Reliance Semi Exclusive |
| 85% | 5.49% Discount | 2 Years | 3% | £130.00 | No | Kent Reliance Multi Let & Ltd Co. Semi Exclusive |
| 80% | 5.39% Variable | 0 Years | 2% | £0.00 | No | Saffron Light Refurbishment |
| 80% | 3.79% Fixed | 2017-04-30 | £2495 | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 4.25% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 3.5% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.75% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.5% Discount | 2 Years | £1995 | £250.00 | One free Valuation on properties valued up to £1,000,000 | Hinckley & Rugby Exclusive |
| 75% | 5.39% Variable | 0 Years | 2.5% | £0.00 | No | Saffron Light Refurbishment |
| 75% | 2.25% Fixed | 2017-04-30 | 2.5% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 75% | 3.5% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 60% | 2.45% Discount | 2 Years | £1950 | £250.00 | One free Valuation on properties valued up to £1,000,000 | Hinckley & Rugby Exclusive |
IMPORTANT! Due to current market
conditions, lenders are withdrawing and replacing products with little
or no notice. Please check our website regularly to see the most
up-to-date products available.
Tel: 029 2069 5446
5 tips to avoid bad tenants
1. Always do extensive tenant referencing by thoroughly vetting your tenants
2. Watched out for forged and fake tenant references and faked tenant ID such as passports or driving licences. Are the tenants really who they say they are. Make sure you cross check the information.
3. Double check the tenants ID phone work and go through the switchboard rather than using a direct line this way you have the certainty of matching up the person to the name and ensuring that they really do work where the tenant says they do. It may be you will get the switchboard saying 'oh no they have left the company' or 'we have nobody of this name working here'.
4. Always make sure you insist on seeing the tenants last 6 months of bank statements. This will give you a unique insight into how they conduct their finances including whether they really have been paying the rent on their last rental property. Despite what the last landlord might have said in his tenant reference (could they possibly be trying to get rid of their nightmare tenant to some other poor unsuspecting landlord).
5. When you meet the tenants are they on time for their appointment, do they seem organised and responsible. If they are late for the viewing do they apologise. I'm a great believer in the 'face to face'. I think you can tell a lot about the character of tenant my meeting the tenant personally and don't ignore your landlord senses!
Here is more advice on getting great tenants.
If in doubt make sure you get a tenant guarantor
Landlord insurance - professional rates - online quotes
New BTL mortgage range from Fleet
We have a new range of buy-to-let mortgages with Fleet Mortgages.
Fleet Mortgages is a specialist buy-to-let lender offering mortgages designed to fit the needs of landlords. With three separate product ranges for Individuals, HMOs and Limited Companies these could be an excellent choice for your landlord clients.
Product range highlights include:
Fleet Mortgages is a specialist buy-to-let lender offering mortgages designed to fit the needs of landlords. With three separate product ranges for Individuals, HMOs and Limited Companies these could be an excellent choice for your landlord clients.
Product range highlights include:
- Individual 2.69% 2 year fixed rate up to 65% LTV
- Individual 3.09% 2 year fixed rate up to 75% LTV
- Limited company 4.19% 2 year fixed rate up to 75% LTV
- Limited company 3.81% lifetime LIBOR tracker up to 65% LTV
- HMO 5.29% 5 year fixed rate up to 75% LTV
- HMO 4.56% lifetime LIBOR tracker up to 75% LTV
- Up to 80% LTV available
- Limited company
- Portfolio landlords
- HMOs
- Freehold blocks
- Multiple tenancies
Tel: 029 2069 5446
Your home may be repossessed if you do not keep up repayments on your mortgages.
The Financial Services Authority does not regulate some forms of mortgage.
Monday, February 16, 2015
Smoke alarms in rental properties
Currently they are only legally required in HMO properties. The current guidelines on fire safety in rental properties make no requirement for the general provision of a fire alarm. However, a law was proposed last year by Shadow Environment Minister Nick Raynsford calling for the mandatory installation of a fire alarm in all privately rented properties.
Chair of the LGA's fire services management committee, Cllr Jeremy Hilton, said:
‘Many people will be shocked that most landlords are not obliged to install smoke alarms. The current laws are outdated and inadequate - and without question lives are being put at risk.' 'While the majority of private landlords are reputable and voluntarily install alarms, there are a small minority who don't, needlessly putting lives at risk. They have a duty of care to ensure their tenants are safe. This is why we are calling on the Government to enact the law and ensure all private landlords install smoke alarms - and save hundreds of lives every year. '
Property Hawks view
In our view smoke alarms are a good thing but their are two flaws in making this requirement mandatory.
1. Home owners are not legally responsible for having a fire alarm in their property. There are far more home owners than landlords and any government that is serious about reducing fatalities through fire should act equally for both sets of home owners.
2. Tenants are quite able to install their own fire alarms if they require them. A battery operated fire alarm costs a few pounds and take moments to put up. Why should it fall to a buy-to-let landlord to carry out the work and then have the added legal responsibility of ensuring that they are maintained.
Landlord insurance - expert brokers - online rates
Saturday, February 14, 2015
Landlords forced to go green
The Energy Act introduced the much maligned Green Deal for landlords which most commentators have hailed to be a disappointing failure.
Landlords face a legal requirement by 2018
From April 2018, landlords will be legally required to raise the energy efficiency of rental properties to at least "Band E" levels of energy efficiency. Estimates are that this will involve significant work to over 450,000 properties which currently fall into bands F & G to bring them up to the higher standards.
A DECC spokesman said: "There will be no upfront costs to landlords so it’s not going to cost them thousands. Landlords can obtain money through the Green deal, eco or other subsidies so they don’t lay out money upfront. Depending on what improvements the property needs would also determine how much it will cost."
Landlord Energy Saving Allowance (LESA) ends 2015
Will extra costs stack up for landlords?
The reality is that these works could cost landlords thousands of pounds for additional insulation and new boilers amongst other measures. Many landlords remain unconvinced that the thousands of pounds of investment will ever be recouped in the capital value of their buy-to-let property.
These expensive works will generally only result in small efficiency savings and reduction of energy bills by tens of pounds and therefore are uneconomic in all but the very long-term. Tenant groups argue that tenants foot the cost of higher bills and are unable to act because the insulation and the energy efficiency of the boiler is a landlords responsibility.
Who's right?
Thursday, February 12, 2015
RICS survey for Jan 2015
The Royal Institute of Chartered Surveyors have published their UK Residential Market Survey for January 2015.
Scotland and Northern Ireland have faired best with surveyor sentiment. Both countries experienced strong growth in buyer enquiries, prices and forecasts, whereas England, particularly the London property market have continued to see a deterioration in surveyor confidence. London seeing a further drop off in prices and buyer enquiries.
Scotland and Northern Ireland have faired best with surveyor sentiment. Both countries experienced strong growth in buyer enquiries, prices and forecasts, whereas England, particularly the London property market have continued to see a deterioration in surveyor confidence. London seeing a further drop off in prices and buyer enquiries.
B of E warn of impending rate rise
Bank of England warning over impending interest rate rise http://t.co/JZfhi4e19V
— Guardian news (@guardiannews) February 12, 2015CML see drop in repossessions
According to Council of Mortgage Lenders data UK residential property repossessions are at a nine-year low.
The CML report that 2014 saw a total of 21,000 repossessions, 26 % less than 2013 which recorded 28,900.
Paul Smee, CML director general, commented
“No-one should be lulled into a false sense of security that the current low interest rates we are experiencing will last forever, though. Rules are in place to ensure lenders assess future affordability, but these are not a substitute for careful borrowing.”
Read the Council of Mortgage Lenders Repossession Report for 2014
Take advantage of our discounted landlord insurance rates
Of the 21,000 properties repossessed in 2014 just 4,900 were BTLs.
The report also showed a fall in mortgage arrears to its lowest rate since 2006, with just 1.05 of all mortgages in arrears.
Paul Smee, CML director general, commented
“No-one should be lulled into a false sense of security that the current low interest rates we are experiencing will last forever, though. Rules are in place to ensure lenders assess future affordability, but these are not a substitute for careful borrowing.”
Read the Council of Mortgage Lenders Repossession Report for 2014
Take advantage of our discounted landlord insurance rates
This weeks most popular BTL mortgages
| Max LTV | Initial Rate | Term | Completion fee | Booking fee | Incentives | Lender |
| 85% | 4.99% Fixed | 2 Years | 3% | £130.00 | No | Kent Reliance Semi Exclusive |
| 85% | 5.49% Discount | 2 Years | 3% | £130.00 | No | Kent Reliance Multi Let & Ltd Co. Semi Exclusive |
| 80% | 5.39% Variable | 0 Years | 2% | £0.00 | No | Saffron Light Refurbishment |
| 80% | 3.79% Fixed | 2017-04-30 | £2495 | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 4.25% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 3.5% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.75% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.5% Discount | 2 Years | £1995 | £250.00 | One free Valuation on properties valued up to £1,000,000 | Hinckley & Rugby Exclusive |
| 75% | 5.39% Variable | 0 Years | 2.5% | £0.00 | No | Saffron Light Refurbishment |
| 75% | 2.25% Fixed | 2017-04-30 | 2.5% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 75% | 3.5% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 60% | 2.45% Discount | 2 Years | £1950 | £250.00 | One free Valuation on properties valued up to £1,000,000 | Hinckley & Rugby Exclusive |
IMPORTANT! Due to current market
conditions, lenders are withdrawing and replacing products with little
or no notice. Please check our website regularly to see the most
up-to-date products available.
Tel: 029 2069 5446
Your home may be repossessed if you do not keep up repayments on your mortgages.
The Financial Services Authority does not regulate some forms of mortgage.
Flipping Battersea power station flats
Investors flipping Battersea Power Station flats that are not even built yet for £150,000 http://t.co/cyKGke9LOj pic.twitter.com/rUbKICMttC
— Telegraph Property (@TeleProperty) February 12, 2015
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Wednesday, February 11, 2015
Renting Homes (Wales) Bill Introduced
Lesley Griffiths, Minister for Communities and Tackling Poverty has introduced the Renting Homes (Wales) Bill to the Welsh National Assembly.
The bill, introduced by the Minister on Monday 9th February 2015, is now set to proceed through the Welsh National Assembly's legislative process with the aim of achieving its Royal Assent by early 2016.
If this Bill is passed it will replace existing housing law in Wales with a new legal framework.
Griffiths hopes the bill will -
Read in detail the pdf copy with the Explanatory Notes for the Renting Homes (Wales) Bill
Read more on the status and detail of the Renting Homes (Wales) Bill and the pdf doc, on Welsh Assembly's housing aims - Homes for Wales - November Bulletin
Introduction of new Welsh tenancy agreements
A significant part of these proposals are the creation of two new types of rental contract in Wales.
One for 'social housing' and another for the 'private rented sector.
Read further comment on the Renting Homes (Wales) Bill from BBCWales
Take advantage of our discounted landlord insurance rates
The bill, introduced by the Minister on Monday 9th February 2015, is now set to proceed through the Welsh National Assembly's legislative process with the aim of achieving its Royal Assent by early 2016.
If this Bill is passed it will replace existing housing law in Wales with a new legal framework.
Griffiths hopes the bill will -
- Give tenants ‘easy-to-understand’ written contracts by letting agents or landlords.
- Stop landlords from making ‘revenge evictions’.
- Bring greater powers to evict domestic abusers without affecting others living at a property.
- Provide greater flexibility for landlords to offer short-term tenancies
- Give better rights to 16 and 17-year-olds renting a property.
Read in detail the pdf copy with the Explanatory Notes for the Renting Homes (Wales) Bill
Read more on the status and detail of the Renting Homes (Wales) Bill and the pdf doc, on Welsh Assembly's housing aims - Homes for Wales - November Bulletin
Introduction of new Welsh tenancy agreements
A significant part of these proposals are the creation of two new types of rental contract in Wales.
One for 'social housing' and another for the 'private rented sector.
- A “secure contract” similar to the current secure tenancy issued by local authorities. This “secure contract” would be used by landlords providing “social housing” (local authorities and registered social landlords) creating a “single social tenancy”
- A “standard contract” modeled on the assured short hold tenancy that is used mainly in the private rented sector. An assured shorthold tenancy will result in a minimum notice period of two months.
Read further comment on the Renting Homes (Wales) Bill from BBCWales
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Tuesday, February 10, 2015
Political party's property election pledges
Our pre-#Election2015 matrix looks at housing promises from @Conservatives @labour @LibDems @UKIP & @TheGreenParty pic.twitter.com/A0NMZGQQa7
— Knight Frank (@knightfrank) February 10, 2015
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BTL mortgage rates hit new low
BTL mortgage rates are at their lowest ever level according to Moneyfacts data.
The average BTL mortgage rate now stands at just 3.82 %, down from 4.22 % a year ago, and compared to a 4.68 % rate back in February 2013, and 5.03 % in Feb 2012.
The average BTL variable rate has also dropped to low. This now stands at 3.63 %, compared to 4.17 % in Feb 2014, 4.43 % in Feb 2013, and 4.46 % in Feb 2012 three year’s ago.
Moneyfacts says the low rates are a result of a thriving BTL lending market.
The number of BTL products available have risen from 757 to 811.
BTL lenders are also becoming less cautious with their lending criteria with an increasing proportion of products available at higher Loan to Values. The number of 75% LTV or higher deals have increased from 2,662 to 2.943 over the past 12 months.
Search the whole BTL mortgage market free
Email:info@propertyhawkbtlmortgages.co.uk
Email:info@propertyhawkbtlmortgages.co.uk
Tel: 029 2069 5446
Your home may be repossessed if you do not keep up repayments on your mortgages.
The Financial Services Authority does not regulate some forms of mortgage.
Buy-to-let investors up 8%
The total number of buy-to-let investors has risen to a record 1.63m a rise of 8% over the year.
Net income to these residential investors reached £13.1 bn this is up 8% on the year previous from £12.1 bn. the capital growth recorded by residential property was more than 7% in 2014 and 16% for London property.
This compares to a miserly increase of 0.7% in the FTSE 100 over the same period.
Landlord insurance - professional rates - online quotes.
Net income to these residential investors reached £13.1 bn this is up 8% on the year previous from £12.1 bn. the capital growth recorded by residential property was more than 7% in 2014 and 16% for London property.
This compares to a miserly increase of 0.7% in the FTSE 100 over the same period.
Landlord insurance - professional rates - online quotes.
Monday, February 09, 2015
Landlord makes £300k mistake
Waltham Forest landlord, William Lao has described his five year battle with local authorities as 'a huge mistake' after been told to pay a total of £301,258 in legal costs and fines.
Lao, a landlord with a rental portfolio of sixteen properties around Leyton had added a number of unauthorised extensions and conversions of houses into flats without seeking any planning permission.
Lao, a landlord with a rental portfolio of sixteen properties around Leyton had added a number of unauthorised extensions and conversions of houses into flats without seeking any planning permission.
The landlord refused to respond to a series of Planning Enforcement Notices issued by the council and failed to return the properties back to their original state .
The sum of the costs were made up from £217,758 to repay in illegal earnings, £73,500 for seven Enforcement Notices that were ignored, £3,000 for breaches in Houses in Multiple Occupation regulations and £500 for a failure to disclose ownership.
The landlord now has six months to pay or will be sentenced to 30 months in jail.
All unauthorised building work will now be forcibly undone and demolished....
I agree Mr Lao, this was a rather 'huge mistake'.
Deregulation Bill set to shake up London holiday lets
The new Deregulation Bill is set to shake up London's holiday let market.
Currently, homeowners in the capital require planning permission to let out their property for less than three months under 1973 legislation bought in by the Greater London Council.
Housing minister Brandon Lewis said -
“London is one of the world’s top holiday destinations. Draconian rules dating back 40 years prevent the capital’s homeowners from renting their properties to tourists.”
Currently, homeowners in the capital require planning permission to let out their property for less than three months under 1973 legislation bought in by the Greater London Council.
Eight London boroughs and a number of campaign groups have raised concerns. Some fear that blocks of residential flats will become more like hotels.
Ministers have answered concerns with a set of proposed restrictions as part of the new bill -
- Homeowners would only be able to rent out their property as a short-term let for up to 90 days a year.
- A facility for town halls to ask in “exceptional circumstances” for the Secretary of State to agree to localised exemptions where there is a strong case to do so.
- Properties must be liable for council tax thus excluding business premises.
- Councils will be given the power to exempt properties that breach regulations.
“London is one of the world’s top holiday destinations. Draconian rules dating back 40 years prevent the capital’s homeowners from renting their properties to tourists.”
It's all part of the Government's push for a more “sharing economy”.
Landlords take £26.7 billion from taxpayers
Campaign group Generation Rent have accused landlords of taking £26.7billion a year from the UK taxpayers purse.
The figure is an estimated total, based on the £9.3 billion paid out in housing benefit, £1.69 billion given as tax relief for “wear-and-tear”, £6.63 billion of mortgage interest payments offset against tax and £9.06 billion of annual average capital gains.
Generation Rent are calling for a landlord levy of 22% on any rental income, which they believe would raise a figure in the region of £9.3 billion that they propose to be used to build 90,000 new council houses.
Alex Hilton of Generation Rent said:
“While renters have borne the brunt of austerity, landlords have enjoyed their own little economy the size of Morocco’s supported by subsidies from the UK taxpayer that could be better used fixing the housing crisis.”
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Generation Rent are calling for a landlord levy of 22% on any rental income, which they believe would raise a figure in the region of £9.3 billion that they propose to be used to build 90,000 new council houses.
Alex Hilton of Generation Rent said:
“While renters have borne the brunt of austerity, landlords have enjoyed their own little economy the size of Morocco’s supported by subsidies from the UK taxpayer that could be better used fixing the housing crisis.”
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1.6 million landlords in the UK
According to HM Revenue & Customs records the number of buy-to-let investors in the UK increased by 120,000 during 2014.
There are now 1.6 million UK landlords... and counting.
There are now 1.6 million UK landlords... and counting.
Yougov poll increasing BTL pension investment
A new Yougov study conducted alongside investment advisers, Old Mutual Wealth shows the trend for pensioners looking to BTL property to aid their retirements.
They recorded 11 percent of those approaching retirement are looking to buy a BTL property, this compares to the 6 percent of pensioners who currently own buy to lets.
This coming April's annuity reforms are expected to see a rush of pensioners moving their pension funds into BTL property.
They recorded 11 percent of those approaching retirement are looking to buy a BTL property, this compares to the 6 percent of pensioners who currently own buy to lets.
This coming April's annuity reforms are expected to see a rush of pensioners moving their pension funds into BTL property.
Pensioner landlords could drive up house prices for first-time buyers http://t.co/BCAjA8CwPJ
— Telegraph Property (@TeleProperty) February 9, 2015
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Rent controls are not the answer
Any landlord outside this hallowed region will be asking - 'what rent increases?'
But regardless of the reality, politicians seek to make hay out the disatisfaction of South Eastern renters caught up in 'generation rent'.
The truth is, successive waves of politicians have not been able to crack the real problem - the fact that not enough houses are being built thanks to our restrictive planning rules.
Planning rules are good in that they protect the interest of existing property owners, but not so good if you can't afford to be part of the homeowner club.
Politicians have very carefully shied away from a straight up battle with the 'property owning classes', but Labour politicians in particular seem like they see votes in making a scape-goat out of the private rented sector and not face up to the real problem - that all politicians have been spineless to act in a more fundamental way through the relaxation of planning controls.
Have a look at this recent piece in Moneyweek for an examination of why rent controls may not solve the problems of the high costs of renting.
Saturday, February 07, 2015
Liverpool investment with 10% yield
Freehold
Landlords looking to beefing up their property portfolio could have a gander at this investment in Liverpool. Four blocks of apartments - all purpose built. Check out the details below:Description
- Four detached purpose built blocks
- 36 self contained flats (3 x one bedroom and 33 x two bedroom)
- Fully let
- Rent passing – £190,320 per annum
- 10.02% Gross Initial Yield
- Recently refurbished (2013)
- 25 un-allocated car parking spaces
- Situated next to Whiston Hospital
- For further information please see the property website
Tenancy
All apartments are let on Assured Shorthold Tenancy Agreements.Price
Offers in excess of £1,900,000Contact details
Anthony Hart+44 (0)113 236 6677+44 (0)7825 516986 anthony.hart@allsop.co.uk
Vicky Bingham
+44 (0)113 236 6682 vicky.bingham@allsop.co.uk
Anthony Dixon
+44 (0)20 7344 2625 anthony.dixon@allsop.co.uk
Thursday, February 05, 2015
Amended bill to stop revenge evictions
Amendments to the Deregulation Bill will limit the use of Section 21 Notices.
If this new version of the Deregulation Bill is passed it would stop landlords from serving a no-fault ‘section 21’ eviction notice for 6 months following the issue of a local authority improvement notice, and provide the victims of revenge eviction a right of appeal.
Although Sarah Teather's Tenancy Reform Bill failed to be carried last year, new clauses added to the Deregulation Bill will bring greater protections for tenants against 'revenge evictions'.
Under the new clauses landlords would also be prevented from serving a valid section 21 notice before they have provided tenants the key information outlining their rights and responsibilities.
The amendments are to be debated in Parliament on 11th February.
Liberal Democrat Communities Minister Stephen Williams who has pushed forward with these amendments commented -
“We’re determined to create a bigger, better private rented sector – a key part of that is to tackle the minority of rogue landlords that blight the lives of their tenants.
“That’s why I’m proposing changes to the law that would outlaw so-called ‘revenge evictions’, so tenants don’t face the prospect of losing their home simply for asking that repairs be made.”
“That’s why I’m proposing changes to the law that would outlaw so-called ‘revenge evictions’, so tenants don’t face the prospect of losing their home simply for asking that repairs be made.”
Halifax's HPI records a January jump
The Halifax House Price Index has recorded a surprise jump for January.
The bank's data showed a 2.0% rise between December and January.
“This bounce-back in house price growth in January coincides with reports of the first rise in mortgage approvals for six months in December. These improvements may indicate that the recent declines in mortgage rates, the reform of stamp duty and the first increases in real earnings for several years are providing a modest boost to the market. It is, however, too early to draw any firm conclusions."
Halifax's housing economist, Martin Ellis, noted:
“This bounce-back in house price growth in January coincides with reports of the first rise in mortgage approvals for six months in December. These improvements may indicate that the recent declines in mortgage rates, the reform of stamp duty and the first increases in real earnings for several years are providing a modest boost to the market. It is, however, too early to draw any firm conclusions."
"Housing demand should continue to be supported by an expanding economy, continuing low mortgage rates and a boost to households’ spending power resulting from lower consumer price inflation and reduced fuel bills. Nonetheless, we expect the overall downward trend in house price growth seen since last summer to continue over the coming months. Nationally, house prices are predicted to increase in a range of 3 to 5% in 2015 compared with 8% last year."
Download the Halifax January 2015 House Price Index
Read the Financial Times comment on Halifax Jan 2015 HPI
Download the Halifax January 2015 House Price Index
Read the Financial Times comment on Halifax Jan 2015 HPI
Wednesday, February 04, 2015
Labour's housing election promises
Here are Labour's housing promises in short and sweet, bullet pointed clarity -
Labour will:
✓ Ban rip-off letting agents fees on tenants
✓ Introduce three-year stable tenancies that limit rent rises
#GenerationRent
— The Labour Party (@UKLabour) February 3, 2015
Labour will:
✓ Get more homes built: 200,000 a year by 2020
✓ Help more people onto the property ladder
✓ Give renters a fairer deal
— The Labour Party (@UKLabour) February 3, 2015
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RLA argue against rent controls
The Residential Landlord Association believe 3 out 5 landlords would leave the industry if rent controls were implemented on the Private Rented Sector.
The RLA Chairman, Alan Ward, warned
The RLA Chairman defended the performance of the Private Rented Sector by referencing the most recent English Housing Survey.
The RLA Chairman, Alan Ward, warned
“At a time when tenants need more choice over where they live, state-controlled rents would choke off supply, increase rents and reduce quality. It would be history repeating itself.”
The survey's data showed up the contrast in performance, with the supposedly rent controlled social rented sector, recording a 25% increase in average rent between 2008/09 and 2012/13, whereas Private Rented Sector rents over the same period rose by just 6.5%.
“Rather than coming up with ideologically-driven ideas, proponents of rent controls need to address the root issues, namely the need to boost the supply of homes to rent.” concluded Mr Ward.
A Labour win will hit landlords
A Labour win could hit landlords, tenants and homeowners #GE2015 http://t.co/oZ2trYcATd pic.twitter.com/YAz4cDf78f
— Telegraph Property (@TeleProperty) February 4, 2015Take advantage of our discounted landlord insurance rates
Tips on avoiding rental voids
Luckily for landlords rental voids are near a historic low.
Classic tips on avoiding a rental void are:
1. Don't be greedy on the rent. Don't hold out on unrealistic rental demand. This is a classic mistake made many newbie landlords. The reality is that they will never get back the lost rent of a void.
2. Keep pushing the market - make sure you keep pushing your letting agent and look for other ways to market your property outside the big property portals for fee
3. Always make sure your rental property looks it's best before marketing it for letting. Tenants are easily put off and in an increasingly competitive market they won't come back
4. If the rental property starts to stick on the market consider using rental incentive like free sky
Having said all this NEVER EVER let to tenants who you are unsure about without the back up of rental guarantor. If the tenancy goes wrong a small rental void will pale into insignificance compared to the massive costs of getting possession of your rental property and the costs of getting your rental investment back on track.
Rent guarantee insurance - specialist brokers - internet rates
Tuesday, February 03, 2015
Knight Frank PRS Index for Q4 2014
UK Private Rented Sector Index shows marginal hardening in yields http://t.co/wgWsRpKocH by @ggilmorekf #Property pic.twitter.com/7UXCzznKoW
— Knight Frank (@knightfrank) February 3, 2015
Take advantage of our discounted landlord insurance rates
Most popular BTL mortgages this week
| Max LTV | Initial Rate | Term | Completion fee | Booking fee | Incentives | Lender |
| 85% | 4.99% Fixed | 2 Years | 3% | £130.00 | No | Kent Reliance Semi Exclusive |
| 85% | 5.49% Discount | 2 Years | 3% | £130.00 | No | Kent Reliance Multi Let & Ltd Co. Semi Exclusive |
| 80% | 5.39% Variable | 0 Years | 2% | £0.00 | No | Saffron Light Refurbishment |
| 80% | 3.79% Fixed | 2017-04-30 | £2495 | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 4.25% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 80% | 3.5% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.75% Discount | 2 Years | 0% | £0.00 | No | Hanley Economic Exclusive |
| 75% | 2.5% Discount | 2 Years | £1995 | £250.00 | One free Valuation on properties valued up to £1,000,000 | Hinckley & Rugby Exclusive |
| 75% | 5.39% Variable | 0 Years | 2.5% | £0.00 | No | Saffron Light Refurbishment |
| 75% | 2.25% Fixed | 2017-04-30 | 2.5% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 75% | 3.5% Fixed | 2017-04-30 | 0% | £150.00 | Free valuation | Mortgage Trust Exclusive |
| 60% | 2.45% Discount | 2 Years | £1950 | £250.00 | One free Valuation on properties valued up to £1,000,000 | Hinckley & Rugby Exclusive |
IMPORTANT! Due to current market
conditions, lenders are withdrawing and replacing products with little
or no notice. Please check our website regularly to see the most
up-to-date products available.
Tel: 029 2069 5446
Your home may be repossessed if you do not keep up repayments on your mortgages.
The Financial Services Authority does not regulate some forms of mortgage.