Pressure on FTBs lifted as price growth steadies

The latest report from haart has revealed that house prices across England and Wales in March fell by 4.3% on the month, and are down 2.7% on the year. The average house price now sits at £222,884.

According to the figures, new Buyer demand for homes rose by 14.7% on the month, however, is still down annually by 26%. Additionally the number of properties coming onto the market has risen by 17.1% on the month, however is down by 11.4% on the year. This month there are 10 buyers chasing every property across England and Wales.

The market has become less efficient this month, as the number of transactions has decreased, however, the number of viewings has increased. Meaning that buyers are choosing to look at more properties before they buy.

The average purchase price for first-time buyers has dropped on the month by 4.8%, and 0.1% on the year. This comes as the number of first-time buyers entering the market has risen by a significant 18.3 on the month, however, is still down 29.6% on the year.

As average purchase prices drop, so does the the average amount first-time buyers are paying for their deposit had dropped 1.2% on the month, however have increased by 2.1% on the year.

The number of tenants entering the market has dropped this month, by 4.8% on the month, and 25.8% annually. Despite an increase in demand, rents have fallen by almost 1% on the month, as the average rent now sits at £1,292 across the UK. Demand in London has also increased by 11.9% on the month, however is down by 34% on the year. Rents have fallen by 1%, and the average rental price now sits at £1,796 across London.

The number of landlords registering to buy has risen this month, by 12.3% in England and wales, and by 17.1% in London, however, numbers are still down by 47.4% and 63.1% on the year respectively. The number of buy-to-let sales however fell by 4% in England and Wales, but rose by 17% in London. This comes as sale prices fell 4% across England and Wales and 3% in London. They are also down 11% on the year for England and Wales, but up 4.9% on the year in London.

Paul Smith, CEO of haart, comments: “The pressure on first-time buyers was eased this month, as record price rises began to stabilise across the country. This has led to a bounce of nearly 20% more first-time buyers registering interest in England and Wales and a massive 28% in London – a jump bigger than any we have seen in the last four years.

However despite this surge in activity in March, pulling together the money for both a deposit and stamp duty is still the biggest challenge for aspiring homeowners. This month Government data found that 60% of households occupied by millennials were rental properties, a complete reverse in the trend seen 20 years prior. Clearly there is still much work to be done.

All political parties should grasp the upcoming election as an opportunity to create a housing market that is fairer for all, encourage homeownership, as well as incentivise housebuilders to build family homes to free up sufficient stock. At the moment first-time buyers are seizing the opportunity to get on ladder wherever they can, because the Government has apparently run out of ideas.”

source http://blog.evolutionproperties.co.uk/2017/04/30/pressure-on-ftbs-lifted-as-price-growth-steadies/

Britain leaves behind £493m worth of valuables when moving home

According to the results of a new survey, a quarter of careless homeowners are leaving behind a small fortune in forgotten possessions when moving home.

A recent study of 2,000 homeowners revealed that 26% of movers have forgotten a beloved item when packing up their home, to the tune of £ £317.69 on average per household - totalling over £493 Million in forgotten items nationwide.

12% meanwhile have had something of significant sentimental value vanish or break during the moving process.

A spokesperson from eBay, who commissioned the research, said: “Moving home is a hassle, and squeezing your life into a stack of cardboard boxes can feel like a monumental task at times. With the refreshed Home Move hub, we hope to help Britain move a little better by providing a simple one-stop shop at your fingertips with a wide range of products and tips tailored for every type of move.”

The study also revealed that one in four homeowners take a ‘Caretaker’ approach when packing up their home, filling boxes and planning meticulously to make sure the move goes smoothly.

12% admitted to falling into the role of ‘Packing Procrastinator’, putting off the process for as long as possible.

20% of homeowners start planning their house move at least six months in advance, and a further fifth pack their first box a full month ahead of moving day.

An impulsive one in eight meanwhile procrastinates until the week of the move before kicking the process into gear.

When it comes to enlisting help with the move 49% would ask their partner to assist, and 27% choose mum first ahead of the quarter of homeowners who favour Dad.

Men are most likely to kick off ‘The Big Pack’ by boxing up the bedroom, while women pack up the spare room first.

Forty four per cent think the kitchen is the room that is most difficult to pack up from a practical perspective, which explains why 41 per cent choose to leave it until the last minute.

In the chaos of setting up in a new location Brits reach for the kettle first, with 45% unpacking the kitchenware before starting on the rest of the house.

Four in ten homemovers say that changing home makes them feel like they are moving into a new chapter in their lives, and while two thirds feel stressed on move day, one in two also feel excited for the adventure ahead.

The survey was commissioned by eBay in light of their refreshed Home Move hub; a dedicated on-site solution for movers with expert tips and tricks, packing essentials and storage solutions; which aims to help ease the stress of moving.

source http://blog.evolutionproperties.co.uk/2017/04/30/britain-leaves-behind-493m-worth-of-valuables-when-moving-home/

How much could your estate agent actually make for you?

New data released by EstateAgent4Me has shown that appointing the right estate agent can net those selling their home up to £36,000 above their original asking price.

According to the research, currently the UK’s best-performing agent is Roy Brooks of East Dulwich, achieving an average sale almost 6% above asking price over the past six months and netting clients £36,064 on average. Other successful agents have bagged their customers bonuses of over £20,000 compared to their original estimates, showing the value of thoroughly researching and appointing the right seller for your home.

At the other end of the spectrum, however, some agents are having to settle for prices which are dramatically lower than clients expected. Many estate agents who operate in prime Central London areas have had to agree sales at around 10% lower than their original asking price – meaning reductions, in some cases, of more than £700,000.

The findings were compiled using data from EstateAgent4Me, a unique online tool from HomeOwners Alliance which allows homesellers and buyers to check the vital statistics of estate agents in their area. By searching using their postcode, prospective sellers and buyers can investigate local agents’ success rates, sale speeds and how likely an agent is to achieve or exceed their asking prices.

The five best performing agents in the country (in terms of added value for clients) all hailed from London and the surrounding South East, where property prices have remained buoyant over recent months.

However, there are agents in all areas of the country which regularly exceed their asking prices and earn their clients thousands. In Bristol, top-rated agents netted homesellers over £12,000 more than their asking price, while in Birmingham the best performers raked in an extra £5,700.

Paula Higgins, Chief Executive of the HomeOwners Alliance, said: “We all know that choosing the right estate agent can have a big impact on the success of a home sale, but few would have predicted the financial difference it can make. An extra £36,000 may well be the difference between securing your dream home or having to make do with your second choice. Alternatively, it could pay your renovation bill once you’ve secured your move.

When listing your home on the market it may be tempting to instruct the agent which gives you the highest valuation. However, by using the EstateAgent4Me tool, sellers can find out which agents are prone to over-valuing properties and which are successful in achieving or exceeding their asking price.”

Felicity Blair of estate agents Roy Brooks said: "It's great when an independent body affirms that you are doing a good job, and this news from HOA is exceptionally rewarding. Thank you for providing a tool to help sellers identify agents that are most accurately determining values, as we believe this is key to a successful sale.

Launching a property at the right price brings the right people with the right budget through the door, and with luck, you can be in the enviable position of having more than one offer, choosing the buyer with the best buying position, occasionally, choosing from good quality offers in excess of the asking price.”

source http://blog.evolutionproperties.co.uk/2017/04/27/how-much-could-your-estate-agent-actually-make-for-you/

Do you trust estate agent reviews?

According to a national study commissioned by global ratings and customer insights company Feefo, 70% of 25-34 year old UK home buyers rely on reviews to inform their decision making when selecting an estate agent.

The figure indicates the need for estate agents to adjust to this trend if they are to attract new business from younger generations. However, trust in reviews remains a major issue, with only one in ten respondents (10%) stating that they completely trust the reviews they read.

Matt West, CMO, Feefo, said: “As the younger generations enter the property market, estate agents will be increasingly judged through online reviews. Yet trust in the reviews themselves is evidently very important to these savvy consumers. Estate agents should therefore consider ways to guarantee that legitimate and transparent reviews are readily available to potential customers.”

Trust is important for 28% of consumers when choosing an estate agent, with knowledge of the local market seen as the dominant factor by 42% of consumers when they have their properties valued. The value of trust is reflected strongly in the younger consumers’ preference of selecting an agent through its reviews, with 70% of 25-34-year-olds relying on reviews when selecting an agent.

The research also reveals that consumers have more positive attitudes towards estate agents than commonly supposed, with 88% of consumers saying they were satisfied with the service they received from the last agent they used. However, paperwork was identified as a grievance that the largest proportion of customers (46%) would love to see technology sort out for them. Next on the list was reference-checking (36%), followed by booking appointments (34%).
Iain Mckenzie, CEO, The Guild of Property Professionals, commented: “These results clearly show the positive work estate agents are doing to make sure customers are satisfied in the levels of service provided. It’s refreshing to see that whilst there are problems, customers are confident that technology can help resolve these issues in the near future.”

Emerging technologies such as virtual reality and artificial intelligence are anticipated by 32% of consumers to improve levels of service when engaging with estate agents. More than a quarter (26%) of the 16-to-24 age group had the greatest level of belief that technology will transform estate agency.

Low fees are considered the most important deciding factor by 35% of consumers choosing between online-only and traditional estate agents and quality of service is almost as decisive a factor for 34% of consumers.

The research, commissioned by Feefo and conducted by Censuswide, explores UK consumer attitudes towards estate agents and draws on the direct experiences of 1,152 individuals that have enlisted the services of estate agents.

source http://blog.evolutionproperties.co.uk/2017/04/27/do-you-trust-estate-agent-reviews/

Top tips for stress-free house moving

As if there isn't enough stress involved in buying and selling a property, once the purchase is agreed it's far from over.

Stacks Property Search, has some top tips to ensure your move goes as stress-free as possible:

1. If you're renting, you're in a strong position. Keep the rental property for an overlapping week (or as long as you need/can afford) to make the process deliciously smooth.

2. There's an idea that moving on a Friday is a good idea, but we think Tuesday is the best day, especially if you have young children. Take Monday, Tuesday and Wednesday off work, giving you Saturday, Sunday and Monday to get ready; move on Tuesday; then Wednesday to straighten things up while the children are at school. The weekend's not far away for a final push. The good news is that removal firms generally charge less for a Tuesday, Wednesday or Thursday move.

3. Spend several months pre-move having your children's friends to stay, so you can call in all sleepover favours over your moving period. Farm out children, pets, or any other member of your family who won't be a positive asset to the process.

4. Don't even think about packing the contents of your house yourself. Look at the removal costs as part of the big picture and get the pros to do as much as possible. (You will of course already have de-cluttered and dispensed with anything that, in the words of William Morris, 'you do not know to be useful or believe to be beautiful').

5. If you find you are moving a box that hasn't been opened since your last move – now is the time to get rid of it!

6. Use your pre-move time productively by obsessively labelling boxes with their contents AND which room the box should go into on arrival in its new home. Use as much colour coding, labelling, post-it noting and organisational brilliance as you can muster.

7. If you're downsizing, build in as much time as possible between exchange and completion to give you adequate opportunity to dispense with the possessions you will no longer have space for.

8. Not all removal companies are the same (or charge the same). Personal recommendation is generally best, but social media is extremely helpful for finding the best suppliers of this kind of service. Get quotes from, and meet, three companies before you make a final choice.

9. It's better to find a removal company that is local to your new home than to use one in your existing area. You should be able to advise them about local access and parking issues at your existing home, and they will have a good understanding of any problems in your new area.

10. If you're moving out of London, bear in mind that London removal companies charge like angry rhinos as soon as they see a postcode outside the M25. And if you're moving down the road, don't be tempted to do it yourself – it's no easier to move 300 metres than 300 miles, so grit your teeth and get over it!

11. Check and double check access. Several smaller vans are more flexible than one big one, but it will cost more. If you're relying on on-road parking space for the removal van, speak nicely to your new neighbours before putting some cones out.

12. Take a picture of the metres at your old home as you leave the premises, and the new ones as you cross the threshold. That way, arguments with utility companies are easy to resolve.

Finally, stay calm, and try to see the funny side if things don't go according to plan. The chances are you will be gaining anecdotal entertainment on which you will be able to dine out.”

source http://blog.evolutionproperties.co.uk/2017/04/22/top-tips-for-stress-free-house-moving/

1 in 4 admit they wouldn't own up to landlord about damage

A new survey commisioned by TheHouseShop.com, has revealed that while the majority of Brits are honest tenants, over 1 in 4 people wouldn’t tell their landlord if they did significant damage to their rental property.

According to the survey, while 15% of people would secretly hire a professional to repair the damage, more than 1 in 10 (11%) have enough faith in their DIY skills to attempt to repair the damage themselves – with the landlord none the wiser.

Question Asked:

Please imagine you live in a privately rented property… Which ONE, if any, of the following best describes what you would do if you caused significant damage to a fixture within the property?

NOTE: By “significant damage” we mean damage to permanent fixtures in the property (e.g. breaking a window, shower or bathroom fixture, etc.)

Fresh YouGov survey results from property marketplace, TheHouseShop.com, have shed light on how Brits handle themselves when they have inflicted significant damage to their rental properties. While a sizable 58% of respondents claimed they would report the damage to the landlord, more than 1 in 4 (27%) people said they would not tell their landlord.

Of the 27% who would not tell their landlord, broken down – 11% would attempt to repair the damage themselves, 15% would hire a professional for the repair work, and just 1% would try to hide the damage and hope it wouldn’t be discovered at the end of the tenancy.
Of the honest respondents who would own up to the damages – 24% would offer to pay the full repair bill, 7% would offer a contribution to the repair bill, and 27% would wait and see if they needed to pay anything.

When it comes to the gender divide, men were clearly more confident in their DIY skills, with 13% opting to repair the damage themselves, compared to 9% of women. Women, on the other hand, were more likely to tell the landlord and offer to pay the full repair bill, with 26% compared to 21% of men.

One Third of Private Renters Wouldn’t Report Damages

In total, one third of private renters said they would not tell their landlord about significant damage to a property – with 15% attempting a DIY fix (well above the 11% average for all respondents), 17% hiring a professional to repair the damage, and just 2% attempting to hide the damage.

In comparison, tenants renting from Local Authorities were less likely to try and avoid telling their landlord about damages, with 25% saying they would not report it compared to 33% of private renters and 36% of Housing Association tenants.

Nick Marr, Co-founder of property marketplace, TheHouseShop.com, comments on the results: “While the vast majority of tenants will not actively try to do damage to a property, accidents do happen, and even well-meaning and reliable tenants can end up inflicting significant damage during their tenancy.”

The best advice I could give to landlords would be to encourage an open and honest relationship with their tenants, so that tenants don’t feel scared or nervous about reporting any damages as soon as they happen. Having a direct relationship with your tenants, as opposed to using a third party agent or management service, can be a great way to build trust and avoid any nasty surprises further down the line.

However, it is important to remember that landlords should always conduct thorough checks and references on any potential tenants before they move into the property. That way you can hopefully avoid the nightmare tenant horror stories that so many landlords can recall in an instant.”

source http://blog.evolutionproperties.co.uk/2017/04/22/1-in-4-admit-they-wouldnt-own-up-to-landlord-about-damage/

What does the snap election mean for the housing market?

When you’re writing an article, it definitely pays to glance at the ‘Breaking News’ before putting pen to paper.

In this case, I now write this piece on the morning that Theresa May has called a ‘snap’ General Election for the 8th June – at present this is predicated on her getting a two-thirds majority in the House of Commons but it seems like the Labour Party will support her, and I can’t imagine there’ll be another political party in Westminster who won’t relish the prospect of an electoral battle over the course of the next five weeks.

Indeed, judging by the opinion polls, you might have thought it would be the Labour Party who would be least keen to put their fate in the hands of the British public, and one can only sense that Jeremy Corbyn et al think they can achieve a political earthquake the same as delivered by one Donald Trump last year. However, the Labour realists – particularly those with slim majorities – might be considering whether a General Election five weeks away is really going to be a good option for them.

Quite bizarrely, given their near destruction in 2015, it could be the Liberal Democrats who gain most from this early election call. Clearly, they will be doing all they can to focus this election on Brexit, and one suspects they are already figuring out how they can align themselves with the 48% who voted ‘Remain’ last year, plus those who might well have had a change of heart since last June’s EU referendum.

While there will be many Leave Conservative MPs who have convinced themselves that the country as a whole has accepted that result, I suspect they could be surprised at the support the Lib Dems might garner from taking this approach, especially if they do hold out the prospect of a second referendum, whether that might be on the ‘deal’ arranged with the EU, or indeed on actually leaving the EU in the first place.

So, what does all this mean for the housing market? Well, at a time when RICs published its latest monthly survey recently which bemoaned the low levels of property coming up for sale, then a General Election is probably not going to do any of us many favours. Those who have been around the market during such periods – and let’s not forget we’re only talking about two years ago for the last one – will know that political uncertainty can be a real brake on activity levels.

Which might make the housing market – over what is traditionally a relatively busy period – even more subdued. Certainly agents we talk to are not exactly dealing with a glut of properties on their books anyway – issues such as the high cost of stamp duty have had a serious impact, not just for those existing homeowners who feel they can’t afford to stump up this money and instead seek to spend that on their existing properties, but also of course for purchasers – especially landlords – who are having to factor in the sizeable extra stamp duty charge. Perhaps, understandably, transactions are not exactly flying across the completion threshold.

Add in the General Election and I suspect even more potential vendors and purchasers will be adopting a ‘wait and see’ attitude over the coming weeks. Even if the result looks inevitable from the polls – a Conservative Party win with an improved majority – we all know that the polls can get it spectacularly wrong and we are dealing with a much-changed political landscape where people might well change their voting preferences from those they made two years ago. Now of course this might work in Theresa May’s favour rather than against her, and the question of Jeremy Corbyn’s leadership, and his status as a potential PM, will undoubtedly be raised repeatedly but we might still see some noticeable shifts.

As mentioned the Lib Dems might pick up disgruntled Remain votes, and what of UKIP – given the result of the EU referendum and the perception that it is a one-issue party where the issue has been resolved, will we see its support fall away and, if so, who will be the beneficiaries of those votes?

The next five weeks are an intriguing prospective if you’re a fan of political discourse and General Elections themselves, however from our housing market perspective I suspect there will be many wishing that Theresa May had stuck to the fixed five-year term. What we can say is that housing is likely to play a major role in the Election – indeed in his first interview post-Election announcement Corbyn mentioned this – and that every manifesto will have something interesting to say on how the housing market can be ‘fixed’.

Unfortunately we are all likely to be treading water while we await the outcome of the Election and to see how the winning party might put its plan into action.

source http://blog.evolutionproperties.co.uk/2017/04/20/what-does-the-snap-election-mean-for-the-housing-market/

Landlords warned over bad mortgage brokers

Buy-to-let landlords may not be getting the best mortgage deal, or they could find themselves locked into mortgages with high standard variable rates, as a result of mortgage deals set up by bad brokers.

According to The Mortgage Broker Ltd,  some landlords are missing out on good mortgage deals because they are working with unprofessional brokers, who are lazy and only use lenders that they are familiar with, rather than searching for the best deal for the landlord.

In the worst case scenario, bad brokers can be outright fraudulent – lying about income, or other aspects relating to the applicant.

Darren Pescod, MD of The Mortgage Broker Ltd comments: “We have seen evidence of mortgage brokers securing mortgages for investment properties, which are then inhabited by family members.  Or they have arranged a mortgage for an investment property, that is either a multi-let, Airbnb or student accommodation, without informing the lender.

This is highly unprofessional. If a lender finds out, it could withdraw the mortgage and in a worst case scenario, the client could be slapped with mortgage fraud, which will severely affect their ability to borrow funds, or obtain mortgages in the future.

Some landlords don’t understand the severity of a little white lie to the lender, or understand the implications of not divulging their full intentions with the property, or their personal situation. Lenders are more geared up now to do post application checks and are on the lookout for scheme abuse and mortgage fraud.

If landlords are working with bad brokers they don’t need to feel trapped.  They can often make changes to their mortgage arrangements with the help of a reputable, experienced and professional broker.

There are some great buy-to-let mortgage deals around at the moment, such as lenders still willing to offer a mortgage at 125% of the pay rate, rather than the recent increase in rental calculations, made my most lenders.”

source http://blog.evolutionproperties.co.uk/2017/04/16/landlords-warned-over-bad-mortgage-brokers/

Is 'Generation Rent' content?

A new survey has revealed some surprising results that confound many of the assumptions about why tenants choose to rent.
With property prices at record levels, house prices in many parts of London are 10 times workers' salaries and in the most expensive boroughs, are 20 times workers' salaries.  
It is widely assumed that would-be home buyers will not be able to purchase a property of their own without relying on the so-called Bank of Mum and Dad.
Nearly 1,400 tenants or 33% of all the firm's current tenants responded as part of the largest survey Benham & Reeves Lettings has conducted in its 50 year history. The responses, which were overseen by professional researchers, covered a number of topics from housing costs to desirable amenities.
House prices in London are some of the most expensive in the world and continue to rise. Wage inflation has not kept up with property price growth, making it more difficult than ever to gain a hold on the housing ladder. With the UK population anticipated to grow by a further 10 million and an on-going house building shortage, more and more people are being forced into the private rental sector. The survey reveals, however, that not all are unwilling tenants and even those who are seeking to buy eventually are choosing to rent more luxurious properties knowing they are going to be living there for many years.

Reflecting London's diverse workforce, many of the respondents (17.54%) were expats living and working here. Few of these tenants intended to buy in London, presumably because they planned to eventually move back to their country of origin or another posting abroad. Only a small percentage said they did not meet the criteria for a mortgage (3.66%) or did not have a mortgage deposit (5.76%) while 17.8% of respondents were actively saving for a deposit.
Over half of the respondents could be classified as lifestyle tenants. Nearly a quarter of all tenants (23.82%) replied that they chose to rent because it suited their lifestyle or they didn't want a mortgage while nearly a third (31.41%) said they chose to rent because it allowed them to live in an area nicer than the one in which they could afford to buy. What is more, a third of respondents (33.77%) stated that they were only prepared to commit 20-30% of their monthly income towards housing. Another 11.78% said they would only commit a maximum of 20% of their income towards housing costs.
Marc von Grundherr, Benham & Reeves Lettings Director, had this to say: “I think that in labelling Millennials as Generation Rent, the older generations are prescribing their own values onto the younger one. Whereas Baby Boomers or Generation X craved the stability and financial security of home ownership, today's young professionals see things differently.
Many dream of living and working abroad and don't want the burden of a home. Others would rather have extra spending power rather than sacrifice for a deposit. What is very clear from this survey is that a significant number of tenants are in rented accommodation not because they can't afford to buy, but because they are choosing to rent.”

source http://blog.evolutionproperties.co.uk/2017/04/14/is-generation-rent-content/

Top tips to protect garden valuables this Easter

With two Bank Holiday days back-to-back and the prospect of lots of sunshine, UK homeowners can understandably want to spend a bit of time in their gardens, making use of their patio furniture, barbecues and garden play equipment.
But before they do, Halifax Home Insurance is advising people to be aware of the risks to outdoor valuables, and avoid becoming an easy target for the common garden thief.
Last year the average cost of a claim for an unforced burglary was just over £1,130.00. Many of these incidents would have involved items left unattended in gardens and outside homes, as well as within easy reach through open windows and doors. Claims tend to rise along with the temperature, peaking in June last year. According to Halifax Home Insurance claims data, 2016 saw a 12% increase in unforced burglary during the summer months* compared with the winter ones.
David Rochester, Head of Underwriting for Halifax Home Insurance, said: “Most unforced burglary and outdoor theft is opportunistic, and thieves are looking for the path of least resistance, so there are a few simple steps homeowners can take to protect their gardens and outdoor property which can go a long way towards stamping out light-fingered garden pests.
With the Easter weekend here, many people will be looking to take advantage of deals on garden furniture, barbeques and shrubs, so it’s the ideal time to make sure that they’re not an easy target for garden crime.”

Top tips to keep your garden secure this Easter
Lock up: Always ensure garden sheds, gates, garages and outbuildings remain bolted with a secure lock and make sure there are no gaps in fences or bushes for opportunistic thieves to slip through
Please weight: Put bricks or stones in the bottom of patio tubs to make them more difficult for would-be thieves to carry off
Tag it: Mark valuable items, such as patio furniture and ornaments, with your postcode, and keep photos of your garden valuables in case anything is stolen or vandalized
Border control: If you can’t block access to you garden by locking a gate, high walls, spiky fences and prickly bushes can make it more difficult to access the garden
Long distance gravel: Filling your driveways or front paths with pebbles or gravel can help you to hear someone approaching your property
Hide and don’t seek: Avoid leaving tools, lawnmowers and bicycles in plain view in the garden – always lock them away out of sight. Remember tools and ladders can be used to break in too
Join forces: Look into joining your local Neighbourhood Watch scheme in order to help protect you and your neighbour’s properties

source http://blog.evolutionproperties.co.uk/2017/04/14/top-tips-to-protect-garden-valuables-this-easter/

Happy Easter

From all of the team at Evolution!!!

source http://blog.evolutionproperties.co.uk/2017/04/13/happy-easter/

Asking prices have a spring in their step

The latest report from Home.co.uk has revealed that spring optimism has served to rally home prices strongly this month.

Consequently, year- on-year growth has also increased slightly (a countertrend uptick) but, with the latest inflation figures showing 3.5% (RPI ex. housing), UK home prices are really going nowhere overall.

Despite significant year-on-year growth in several regions, 2017 looks set to be a year of stagflation for UK property. Vendor confidence is benefitting from a spring boost in many regions and this effect is most apparent in the South East and South West.

Whilst the London market remains subdued, it is the more outlying regions that are supporting the national housing market figures.

Prices in the East of England and the East Midlands have risen most during the last 12 months (9.4% and 5.6% respectively). However, unlike the East Midlands, supply is rising rapidly in the East of England and this will serve to attenuate price rises over the coming months.

According to Home.co.uk, thus far 2017 bodes well for the Midlands. Price growth is over and above the level of inflation but the rate appears sustainable as supply is not increasing. Moreover, rental yields, which fundamentally underpin house prices, are better there than in overbought London and the South East, and this will encourage continued investment.

Overall, price rises are much more subdued this year than last. In April 2016 the annualised rate of increase of home prices was 7.5%; today the same measure is just 3.0%.

source http://blog.evolutionproperties.co.uk/2017/04/13/asking-prices-have-a-spring-in-their-step/

Borrowing becomes cheaper than ever as lender slashes five-year mortgage deal to below 1.3%

In a move which has elicited genuine gasps in the mortgage world, a lender has slashed rates on a five-year fixed mortgage to just 1.29% – the same as for its two-year fixes.

Atom Bank only launched into the mortgage market in December, and its latest offer went live yesterday.

The digital-only lender is offering five-year rates starting at 1.29% on a 60% loan-to-value mortgage, with the rate fixed for five years. The rate goes up to 1.99% on a 90% mortgage, again fixed for five years.

Would-be borrowers may have to act fast as the offer is available for a limited time, and only through brokers.

Atom director of retail mortgages Maria Harris said: “This move is entirely unprecedented.”

Andrew Montlake, a leading figure in the mortgage industry, said: “Talk of disruption in the mortgage industry has taken many forms, with digital banks such as Atom being at the forefront of this.

“However, this latest move, offering five-year fixed rate products at two-year fixed prices, has really turned the mortgage market on its head.”

Montlake, director of Coreco mortgage brokers, said the deal could be a game changer.

He said: “Customers could really benefit from this new breed of lender.”

There are lower-priced products on the market – Yorkshire Building Society has a 0.99% rate, but this is fixed for only two years.

Atom’s new five-year deal significantly undercuts the opposition: the next cheapest five-year deal is offered by Leeds Building Society with a rate of 2.55%.

While there are early redemption charges with Atom’s new five-year deal, borrowers can overpay by 20% each year without being charged, and the mortgage is portable.

source http://blog.evolutionproperties.co.uk/2017/04/13/borrowing-becomes-cheaper-than-ever-as-lender-slashes-five-year-mortgage-deal-to-below-1-3/

Britain's most popular homes for sale: From a mansion with a bowling alley, to a luxury £4m house in footballer territory

 

• All of the properties have a significant square footage to their name
• Buyers can snap up the fourth house on the list - an art-deco style five bedroom property - for £350,000
• By contrast, the fifth property on the list is a £4million dream mansion in Altrincham, a location popular with some of football's biggest earners

Britain's house-hunters crave space and luxury, the most popular properties for sale suggest.

All of the 10 most viewed homes on property website Zoopla last month are detached homes with at least five bedrooms.

These hottest properties for window shopping, include an eight-bedroom mansion in leafy Berkshire, which boasts its own library, tennis court and a bowling alley.

All of Britain's most popular homes last month were luxury houses with at least five bedrooms - and many come with swimming pools. This one belongs to a property in Kingswood, Surrey, on sale for £2,750,000 and at number six in the hot list

But while all the properties have a significant square footage to their name, the price tags vary significantly.

Buyers can snap up the fourth house on the list - an art-deco style five-bedroom property, in Castleford, West Yorkshire - for £350,000.

But those searching for their dream mansion in Altrincham, Cheshire, - a location popular with footballers - will need £4million for the fifth most popular home on the list.

And, surprisingly, the most viewed home only costs £425,000.

Here we reveal Zoopla's top ten viewed homes on its website last month.

1. Five-bedroom house in Fife, Scotland

The most popular property for sale in the country is this five-bedroom home in Burntisland in Fife, Scotland, which is listed with McEwan Fraser Legal estate agents.

No expense has been spared on the interior, and one might expect that the property would have an equally impressive price tag.

However, you won't need millions as it can be yours for £425,000.

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There is a wall of glass at the rear of the five-bedroom property, which has an asking price of £425,000

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The bright mezzanine area is the central focal point of the property, which spreads across 3,200 sq ft

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The mezzanine level has hardwood flooring throughout and a balcony overlooking the kitchen

2. Eight-bedroom house in Crowthorne, Berkshire

For those seeking their own bowling alley, along with eight bedrooms and an indoor swimming pool, this eight bedroom mansion holds the key.

The property is in leafy Berkshire and also boasts a cinema, games room and a tennis court. The sale is being handled by Hamptons International and the property is listed as price on application - expect it to be expensive.

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The luxury mansion sits in 2.5 acres of land on one of the most prestigious roads in leafy Berkshire

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Fancy your own bowling alley? Dreams can can come true at this extensive Berkshire mansion

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Entertainment facilities include a cinema room along with a separate games area and a library

3. Six-bedroom house in Portsmouth, Hampshire

Almost 7,000 sq ft of space is available at this six-bedroom house in Portsmouth, Hampshire.

It sits in 0.7 acres of land and enjoys extensive views towards the South Downs, the Solent, and the Isle of Wight. It has an asking price of £1.6million and is being sold via Fine & Country estate agents.

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The luxury property is approached via remote controlled double gates and has a large driveway with room for turning

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Make a grand entrance! The impressive gallery hallway leads into separate wings of the property

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Fitting a large snooker table into one of the rooms isn't an issue for this majestic home on the South Coast

4. Five-bedroom house in Castleford, West Yorkshire

For those with a smaller budget, this  art-deco five-bedroom house in Castleford, West Yorkshire, is available for £350,000.

It also has a sun room and terrace, a dressing room and a garden. It is available via Park Row Properties.

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If you're looking for a five-bedroom property costing £350,000, this West Yorkshire home may fit the bill

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The property's inner hallway includes a feature fireplace with a decorative mirrored surround

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The split-level bathroom includes mosaic tiled flooring and walls, along with a black sunken bath

5. Six-bedroom house in Altrincham, Cheshire

The fifth most viewed property last month was this six-bedroom detached house in Altrincham, Cheshire - an area that is popular with footballers.

The £4million property has been extended and upgraded to include an impressive leisure complex that includes a swimming pool, Jacuzzi, showing area and a sauna. It is listed for sale via Express.

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Has a footballer lived here? This six-bedroom house is in Altrincham, Cheshire - an area favoured by the sportsmen

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The extensive leisure complex includes a large indoor swimming pool and a Jacuzzi

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Perfect for hardworking sports fanatics: There is also a steam room and a sauna - perfect for some relaxation

6. Six-bedroom house in Kingswood, Surrey

This six-bedroom detached home in Kingswood, in Surrey, includes a commercial grade leisure area with a 39 ft swimming pool and a separate gym.

The house extends across 8,700 sq ft of space and is on the market for sale for £2,750.000 via Kennedys estate agents.

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The property is in the Surrey village of Kingswood and spreads across almost 9,000 sq ft

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The impressive leisure facilities include a 39 ft swimming pool and a separate gym

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The separate cinema room has a large screen and comfortable seating to entertain friends and family

7. Five-bedroom house in Warsash, Southampton

This five-bedroom home in Warsash, Southampton, is on the market for sale for £1.8million via White & Guard estate agents.

It includes high-tech elements throughout, such as Gaggenau and Miele appliances in the kitchen and underfloor heating on the ground floor.

And the top floor features an astro-turfed playroom that looks like the stuff of a football-mad youngster's dreams.

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The five-bedroom detached house has an electric gate entry system and a double garage

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The spacious kitchen extends to 36 ft in width and provides access to the utility room and larder cupboard

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On the second floor of the property, there is a large playroom measuring 39 ft by almost 38 ft, which includes as astro-turfed area used an mini football pitch

8. Five-bedroom house in Ringwood, Hampshire

This chalet style house in Ringwood has five bedrooms, including a mast suite with a walk-in dressing room and ensuite. It is on the market for £1,150,000 via Purplebricks.

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The property is on a private cul-de-sac, only 15 minutes walk into Ringwood town centre

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The kitchen includes a dining area as well as a separate - and more informal - breakfast bar

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The welcoming landscaped gardens include a decked area, wooden cabin and woodland

9. Six-bedroom house in Cobham, Surrey

The penultimate house in the top 10 list of most viewed properties for sale in Britain is this Cobham family home.

It has six bedrooms and is on the market for £2,390,000 via John D Wood estate agents.

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The six-bedroom property in Surrey is approached via electric gates and has a paved driveway

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The spacious kitchen has two separate seating areas and doors opening out onto the garden

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Drink anyone? The top floor includes a bedroom that is currently being used as an additional social area

10. Six-bedroom house in Upper Padley, Derbyshire

The final property for sale in the list of most viewed homes last month is this six-bedroom home in Upper Padley, Derbyshire.

It is surrounded by National Trust land and is on the market for sale for £2,595,000 via Blenheim Park Estates.

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The luxury home in Derbyshire is surrounded by National Trust land, which offers spectacular walks from the doorstep

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Fancy a drink? An impressive wine room sits off the kitchen and is entered via a large glass door

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source http://blog.evolutionproperties.co.uk/2017/04/09/britains-most-popular-homes-for-sale-from-a-mansion-with-a-bowling-alley-to-a-luxury-4m-house-in-footballer-territory/

Thousands admit to not getting permission for building work

According to a new study released by Co-op Insurance, 57% of UK homeowners say they’ve had extensive work done on their properties and of these, almost a fifth are unsure if they got the correct permissions when doing so.

Of the UK homeowners unsure if they got the correct consent for their building work which included extensions, conservatories, loft conversions and garages:

• 19% said they didn’t know they needed to
• 14% said it didn’t cross their minds
•   9% said they didn’t bother as they thought it would cost them money

Furthermore, with recent Council of Mortgage Lenders (CML) data revealing that home buying activity declined in January, it’s evident that homeowners are staying put and investing in expansion of their properties rather than moving out.

However, the Insurance provider’s study reveals a growing trend of homeowners conducting building work without relevant authorisations. Two fifths (43%) are planning on future building work and of these, a fifth (18%) would risk not getting relevant consent.

When delving into the reasons UK homeowners would opt out of getting the relevant permissions for their humble abodes:

• 29% say it’s because they know they’ll get away with it
• 25% would go ahead without permissions as doing so would slow the work down
• 27% said it would increase their costs overall
• 19% don’t see the importance of getting permissions

The study also highlights that women are more likely than men to get the relevant consent for their buildings work with just 7% of women opting out of getting consent verses 9% of men.  Furthermore, a fifth (20%) of UK homeowners said they opted against letting their insurers know about the work they were having done and a further tenth (13%) can’t say for sure either way.

Caroline Hunter, Head of Home Insurance for Co-op Insurance commented: “It’s really important that homeowners get the correct permissions and let their insurers know when extensive building work such as conservatories, extensions and loft conversions are taking place. That way, if anything was to go wrong with the property, either whilst the building work is ongoing or once it’s completed, it will be covered by their insurer.”

HAVE YOU?

source http://blog.evolutionproperties.co.uk/2017/04/08/thousands-admit-to-not-getting-permission-for-building-work/

Annual house price growth halved over last 12 months

According to the latest figure from Halifax, the annual rate of house price growth has more than halved over the past 12 months to 3.8% - the lowest annual rate since May 2013.

Annual house price growth is below February’s 5.1% and less than half the 10.0% peak reached in March 2016.

House prices were unchanged between February and March for the second consecutive month, and rose just 0.1% in the three months to march - the lowest quarterly rate of change since October 2016.

Research released yesterday from Cebr predicts that average house price growth will slow to 4.4% in 2017, below the rate of 7.4% seen in 2016 and the slowest rate since 2013.

Martin Ellis, Halifax housing economist, responded to the figures: “House prices in the three months to March were 0.1% higher than in the previous quarter; the lowest quarterly rate of change since October 2016. The annual rate of growth fell further; to 3.8% from February’s 5.1%, the lowest rate since May 2013.

The annual rate of house price growth has more than halved over the past 12 months. A lengthy period of rapid house price growth has made it increasingly difficult for many to purchase a home as income growth has failed to keep up, which appears to have curbed housing demand.

Nonetheless, the supply of both new homes and existing properties available for sale remains low.  This, together with historically very low mortgage rates, is likely to support house price levels over the coming months.”

Russell Quirk, eMoov CEO, said: "The market had shown positive signs out of the blocks for 2017 but it would seem these green shoots of upward property price growth have stalled in the early springtime frost of Article 50. It is also important to note that some natural adjustment in price levels is no surprise given the rapid level of growth seen over the last year, driven for the large part, by a lack of housing stock to meet buyer demand.

The triggering of Article 50 may lead to some further uncertainty in the market as once again UK buyers let the dust settle before committing to a property sale. But this should soon subside and it is likely that the initial upward trend in property price growth seen at the start of the year will continue to blossom over the coming months."

Mark Harris, chief executive of mortgage broker SPF Private Clients, had this to say: "Mortgage rates continue to stay low and competitive, which is helping support property prices to an extent. Even though Swap rates have risen on the back of higher inflation, lenders seem willing to absorb some of the higher costs of funding, at least for now, in order to compete for business. This is good news for borrowers and those remortgaging as we head into what is usually the busiest time of the year for the housing market."

Jeremy Leaf, north London estate agent and former RICS residential chairman, commented: "Although this survey follows the pattern of other recent reports into the health of the housing market, it underlines the issue that house prices should still be rising more rapidly bearing in mind the low volume of transactions and shortage of stock. In other words, it is not very good news.

However, what we have found on the ground is that there is more of a general acceptance that prices are flattening and if people want to move, then Easter is the time to get on with it and be more realistic about making and accepting offers."

Tarlochan Garcha, CEO at peer-to-peer property lender, Kuflink, commented: “With supply embedded at rock bottom, prices are being supported by the lack of choice and this is keeping the quarterly and annual rates of price growth moderately steady.

It is far from a seller’s market, with astute buyers winning big discounts.

The result is greater levels of month-to-month volatility and a sense of caution returning to the market, as rising consumer inflation threatens to drive up the cost of living faster than average wage rises.

The days of double-digit price rises have vanished, and while the market fundamentals are robust, price growth will be modest at best.

Now Article 50 has been triggered, the Spring season will be crucial in setting the tone for the year, as we enter peak buying season. For now, there's every reason to feel cautiously optimistic about 2017."

source http://blog.evolutionproperties.co.uk/2017/04/08/annual-house-price-growth-halved-over-last-12-months/

Landlords brace themselves as tax relief changes begin

According to the latest report from Paragon Mortgages, more landlords are begining to understand of the implications of the Government’s changes to tax relief on finance costs.

The Government’s reduction in buy-to-let mortgage interest tax relief, announced in 2015, is being phased in from this month and 78% of landlords surveyed reported an understanding of the personal implications of the changes, up from 71% in Q4 2016.

This increase in understanding is paired with a smaller percentage of landlords saying they do not understand the implications (7% from 11%) or they require more information (13% from 18%), and is a further indication that landlords are preparing for the impact of the changes.

Reassuringly, landlord optimism was stable in Q1 2017, with the overall average rating of prospects for the PRS over the next 12 months now at 6.7. This maintains a modest upward trend since Q1 2016 and suggests confidence is returning amongst landlords following a turbulent 18 months, as they gain greater understanding of the pressures they are likely to face and developing strategies to mitigate at least some of the impact.

John Heron, Managing Director, Paragon Mortgages, said: “It’s encouraging to see that the PRS has not been negatively impacted to the degree that had been widely predicted, despite some turbulence over the last couple of years. This increase in understanding combined with effective financial planning may be the key drivers behind a steadier picture in terms of overall optimism amongst landlords.

However, we remain cautious, as landlords will not be fully impacted for some years yet and, whilst we have been able to track a modest recovery in confidence since 2015, the sector is still some way off its peak; the PRS is finely balanced and will remain so for some time.”

source http://blog.evolutionproperties.co.uk/2017/04/08/landlords-brace-themselves-as-tax-relief-changes-begin/

When is your home not really your home?

A shocking new report from HomeOwners Alliance has shed light on the true scale, practices and widespread consumer misunderstanding of the leasehold property market.

If you spend hundreds of thousands of pounds on a flat or a house, it is reasonable to expect that your home would then be yours to own forever. But for millions of ‘homeowners’ across the country this is not the case, because of the fact that they are leaseholders. In the eyes of the law, leaseholders do not own their properties, but merely have a contract that gives them access to it for the remainder of time left on the lease.

Homes Held Hostage shows how 1.577 million British ‘owner-occupiers’ do not truly own their own home in the eyes of the law, and how this is exacerbating the country’s home ownership crisis. Were these numbers to be included in official government figures, the true rate of home ownership in the UK (which is already declining) would plunge to just 58.9%, a figure comparable with the early 1980s.

The research has also identified widespread confusion among consumers over the leasehold system, along with an alarmingly high number of properties which imminently require lease extensions. Only 58% of leaseholders questioned said they knew the length of their current lease, and of those that did, almost a quarter (24%) said that it was under 80 years (typically seen by agents and mortgage lenders as the point at which the lease begins to adversely affect a property’s value and ‘mortgageability’). Analysis of these figures suggests that over £4 billion will need to be paid to freeholders by leaseholders to extend these leases over the coming years.

Further investigatory research by the HomeOwners Alliance showed that less than half of adverts on popular property websites were clear as to the correct tenure of a property. Only 49% of flat listings specified whether the property was a share of freehold or a leasehold property. Furthermore, only a quarter of the listings (24%) were specific about the length of time left on the lease; a piece of information vital for the potential purchaser to be able to make an accurate assessment of value.

Paula Higgins, Chief Executive of the HomeOwners Alliance, had this to say: “Leasehold ownership can be traced back to the Domesday Book and it is a practice that should relegated to history. Unscrupulous and avaricious actors within the property industry are using sharp leasehold practices to line their own pockets and fleece householders. Developers and estate management companies rely on leasehold to bamboozle consumers, charge exorbitant administration fees, ever increasing ground rents and render properties unsellable.

The situation is exacerbated by the fact that many estate agents are themselves are ignorant about leasehold and fail to inform and educate their customers properly. The Government needs to take urgent legislative action to protect people from these practices, help people who are already trapped and avert a full-blown crisis. Our report highlights the problems and makes a series of simple and sensible recommendations that could be introduced.”

The HomeOwners Alliance’s report makes ten recommendations as to how policymakers can legislate to prevent the abuse of leasehold and ameliorate the situation for those already stuck in a leasehold trap.

1.    Commit to scaling back leasehold
2.    Review of the whole leasehold system
3.    Outlaw the creation of new leasehold houses
4.    Outlaw the doubling of ground rents
5.    Mandatory commonhold tenure for all newly-built blocks of flats or apartments
6.    All lease extensions to be 250 years minimum with a peppercorn rent
7.    Standardised leasehold contracts
8.    Make it faster and fairer to buy and sell leasehold properties
9.    Provide accurate and timely information to purchasers
10.    Extend the rights afforded to private leaseholders to other groups

The full report and details of these recommendations is available here, along with advice and guidance for people experiencing issues with their leasehold property.

source http://blog.evolutionproperties.co.uk/2017/04/06/when-is-your-home-not-really-your-home/

Landlords ‘heading for the exit’ as mortgage interest relief restrictions begin

Tenants are set to face anything from a lack of access to rental properties to increasing rents from today as mortgage interest relief gets rolled back from today, surveys suggest.

The EYE inbox has been full of commentary and data almost since the end of mortgage interest relief was announced by then Chancellor George Osborne in 2015, with some still hoping for the changes to be scrapped as recently as last month’s Budget.

The changes become a reality with the new tax year starting today.

Campaigners at the Axe the Tenant Tax campaign have been running an awareness week in recent days highlighting the unfairness of the changes, and are still holding out hope for a U-turn, citing Chancellor Philip Hammond’s recent reversal of his national insurance policy as evidence of the ability for the Government to backtrack.

They highlight research from the RICS that predicts rents are set to rise by 25% over the next five years as landlords decrease their portfolios, leaving tenants to compete over a smaller pool of properties.

Steve Bolton, founder of buy-to-let investment firm Platinum Property Partners and a co-leader of the campaign, said: “In implementing these changes, the Government is breaking an age-old taxation practice and is forcing landlords to pay tax on part of their costs – despite no other type of business having to follow such rules.

“The tax changes are based on a fundamental flaw – that driving landlords out of the housing market will improve first-time buyer levels. This simply isn’t true. Landlords and first-time buyers do not buy the same types of properties, and shrinking rental supply won’t suddenly help first-time buyers to save for a deposit.

“In fact, it will do the very opposite as rents become more expensive. The sooner the Government realises this and reverses the changes, the better.”

According to AXA, a fifth of landlords are planning to sell their rental properties as a result of the changes.

A poll of 382 private residential landlords by the insurer found that 21% plan to sell all their rental properties, 10% will reduce their portfolio, and 7% will switch to commercial property ownership, which they perceive as a safer option.

A further 8% said they will transfer ownership of their rental property to their spouse or other family member who is in a lower tax bracket as a way of avoiding extra tax.

The mortgage interest relief restrictions are the latest in a series of clampdowns on the buy-to-let sector. Landlords are already reeling from the extra Stamp Duty charges and the scrapping of the wear and tear allowance.

It is perhaps no surprise then that two thirds of landlords surveyed said they feel stigmatised for running a rental business.

The AXA poll found that the average UK landlord makes £343 rental profit each month, with levels varying from £297 in the west Midlands to £713 in London.

Gordon Rutherford, head of marketing for AXA Insurance, said: “Landlords have been subject to one piece of new legislation after another in recent years, much of it very complex indeed.

“We see a real confusion as to what the new tax changes will mean, with Government and landlords giving very different estimates of the impact.

“We need to remember that few landlords are professional property tycoons – two thirds in the UK are ‘accidental’ landlords.

“They tend to own just one rental property that they’ve inherited or are finding hard to sell, and they make a modest income once time and expenses are out.

“They do feel increasingly apprehensive, as we can see from the numbers thinking of withdrawing their properties from the rental market in the coming years.”

Rather than leave, other landlords are planning to raise rents to mitigate the changes.

A poll of members by the Residential Landlords Association (RLA) found that two-thirds feel they will need to increase rents to cope with the new tax burden. Just over half (58%) also said they plan to cut back on investment in property.

Alan Ward, chairman of the RLA, said: “Today’s tax increases contradict everything the Government has said about needing a larger rented sector to give tenants more choice and more affordable housing.

“It is tenants who will be hit hardest by these punitive tax increases. Aside from likely paying more in rent, in many places they will face a growing shortage of affordable places to rent.

“We call on ministers to undertake a major review of the impact of this policy, and if all the predictions about its impact are right, to abolish the changes in the Autumn Budget.”

Others have warned of a lack of awareness of the new tax rules, which seems pretty unbelievable given the number of press releases we have received on a daily basis.

John Eastgate, sales and marketing director of OneSavings Bank, said: “Since the changes were announced in the 2015 Budget, we’ve already seen many landlords take action to mitigate the impact of the tax changes by becoming limited companies, or transferring ownership of properties to a spouse or partner in a lower tax band.

“Worryingly, one in six landlords do not understand the financial implications of the changes and will be in for a nasty shock when they find that they can no longer deduct all finance costs from rental income at the end of the 2017/18 tax year.”

source http://blog.evolutionproperties.co.uk/2017/04/06/landlords-heading-for-the-exit-as-mortgage-interest-relief-restrictions-begin/