Making a good first impression is key when presenting your home for sale. Potential buyers and renters are always extra vigilant when it comes to viewing properties, from the front gate to the back garden, meaning it’s even more important to present your home in the best light from the start. Continue reading 6 Simple Kerb Appeal Improvements for Homeowners in Fife (4 min read)
Tag: Fife Properties
Mortgage lenders predicting even more approvals in the run-up to Brexit
With mortgage approvals at record levels, the outlook for those looking to purchase a property is extremely positive and with even more approvals being predicted to be approved in the run-up to Brexit, now could be a perfect opportunity to gain that all-important mortgage.
According to data from UK Finance, the number of mortgage approvals in June rose to 42,653 which is an increase from May, and nearly at the same level as April’s two-year zenith of 42,792. With such consistently high levels of approvals being seen in the marketplace at the moment, even when compared to the same time last year, the sentiment in the market is clearly positive.
Commenting on the figures, Andrew Montlake, managing director of mortgage broker Coreco, said: “Passing the March 29 Brexit deadline was a symbolic moment for the UK property market.
“Sentiment among prospective buyers shifted very quickly from apprehension to a more positive mindset.
“The sharp strengthening in demand for house purchases during the second quarter reflects this shift in sentiment, and the broader Brexit pragmatism that took root.
“Looking forward, lenders are clearly more optimistic than some about the trajectory of demand in the third quarter.
“If demand for house purchases remains unchanged given the potentially turbulent months ahead, then that will be a considerable achievement.
“We are at a pivotal point in the Brexit endgame and a no-deal Brexit is now looking far more likely.
“As we enter uncharted waters, the impact of a no-deal Brexit on demand for property is anyone’s guess.”
House prices forecast to increase 1.2% over next three months
A new study from reallymoving.com has found that current market conditions are indicating a 1.2% increase in property prices over the next three months of summer, which bodes well for a strong summer. The average UK property price now stands at £237,110.
These figures are supported by analysis by the Halifax looking at house prices over the last quarter. The latest Halifax house price index showed that property values actually increased by 2.4% over the last quarter, with Russell Galley, Managing Director of Halifax, explaining that, “Generally the housing market is displaying a reasonable degree of resilience in the face of political and economic uncertainty. Recent figures show demand looking slightly more stable, with mortgage approvals ticking along just above the long-term average.”
With regional markets also showing resilience in the face of the potential instability that can be attributed to the ongoing Brexit uncertainty, property is set for another strong quarter. Eight of the twelve regions of the United Kingdom are set to see prices rise in the period to September 2019, with Northern Ireland and Wales all showing extremely positive growth.
Rob Houghton, CEO of reallymoving.com noted that: “The chance of us leaving the EU without a deal seems increasingly likely and people are realising that the window between now and the end of October may present their best opportunity to sell. The market has proved itself to be surprisingly stable over the last twelve months.”
Do higher temperatures affect house prices?
It is widely accepted that the warmer months in spring and summer bring with them spikes of activity in terms of the buying and selling of properties. A new piece of research has taken this one step further, however, and directly linked an increase in temperatures to increases in house prices.
The research conducted by a national estate agent firstly looked at seasonal differences in selling prices, and it comes as no surprise that the summer season posted the highest average selling price. In Winter 2018, the average selling price was £291,810 and this increased to £293,347 in spring time. Summer average sale prices increased once more to £301,321 and prices during the autumn period fell to £289,833.
With seasonal changes prevalent in terms of property pricing, it is the temperatures themselves which the research then looked into. The data shows a direct correlation between price decreases between January and February as the temperatures cool, and similar changes are recorded as both temperatures and prices consistently increase from February through to July.
When analysing the seasonality on a financial level, the research shows that selling prices increase by £2,150 for every single degree of temperature change. For every degree that the temperature increased, this represented an extra £1,461 in sold price; however, the drop-off in temperatures increased to £2,838 for every degree colder.
Fife Properties Group Office Owner, Jim Parker commented, “While it is often perceived that the summer time can produce higher prices, often this is due to the fact that sellers with higher-priced property come to market at this time of year and push this average figure up so we should not get hung up on seasonality. It is true that spring and summer tend to bring more people to the market, and it does go quicker because viewings can be undertaken quicker due to lighter nights. I always recommend it is worth getting the facts first before making any decisions on selling and that is what we are there for.”
Fife Properties currently offer a FREE initial consultation service which not only provides an idea of the current value of your property but gives extremely useful advice on maximising the value when selling. To book click the link: https://www.fifeproperties.co.uk/property-valuation/
New regulations proposed for Estate Agents set to transform the industry
The government has published far-reaching proposals which, if put into place, will truly transform the practice of estate agency into a more regulated and rigorous profession. The proposals should give confidence to buyers and sellers, and for agents themselves, there is the opportunity to be recognised for their expertise.
The report from the Ministry for Housing, Communities and Local Government (MHCLG) is based upon recommendations from the Regulation of Property Agents (RoPA) working group – established a year ago by the ministry. In it, the report focuses heavily on the regulation of the industry, training of those that work in the industry and the process of licensing in order to keep on raising professional standards in such a key industry.
Mark Hayward, the Chief Executive of the National Association of Estate Agents, welcomed the news from the RoPA:
“This is a significant moment for those in the property industry and a huge leap forward in stamping out bad practice. We have long called for Government intervention to ensure everyone in the industry is licensed, adheres to a strict code of practice and holds at least a Level 3 qualification (A-level). Following the extensive considerations by the working group, it is now for the Government to create the structures for a properly regulated industry, whose professional knowledge and skills are trusted and respected by all.”
Key Recommendations:
• All agencies operating a residential property business should be licensed
• All customer-facing staff employed within such residential agencies should be licensed and agree to adhere to a Code of Practice
• For specific activities, mandated by the government, a Level 3 or above qualification will be necessary
• A regulator will be appointed to oversee compliance
Whilst recommendations from a working group may not seem immediately relevant, the report which has been produced will form the basis of fresh government legislation on the subject, with the working party’s Chairman, Lord Best, stating that some of the key proposals will be realised in the next two years.
Which type of property brings in the best rental yield
With rents increasing by 1.3% on an annual basis in May, it is clear that there is plenty of room for solid returns in the lettings market. If you are thinking of investing in a rental property, or you are a portfolio landlord looking to increase your selection of properties, then a key factor will be the potential yield that the property could return. Read on to look at our breakdown of properties and potential rental yields, and if you need any further advice then please feel free to contact us.
In terms of rental yields, Houses of Multiple Occupancy (or HMOs) are becoming ever more popular as investment properties and are widely viewed as the future of the rental market. HMOs were in previous years solely a staple of the student lettings market; however, this is now changing, and young professionals are now part of a growing tenant population favouring this rental configuration. For landlords, the mathematics is simple; multiple tenancies operating independently in one property increases rental yield significantly and means that void periods are far less of a problem.
According to the National Landlords Association, average rental yields sit at 6.9% for HMOs, some 1.3% higher than other properties. However, there are other considerations if you are thinking of buying a property with a view to let it out to multiple independent occupants; bedroom sizes must be at least 6.51 square metres and some HMOs will require a license, obtainable from the local council.
Properties in city centres are proving to be extremely popular and demand is rife for centrally located homes on the rental market. With that in mind, purchasing a flat or apartment could prove to be a shrewd move if you are looking to maximise your rental yield potential; with competition amongst renters keeping the prices of well-located properties high and avoiding those dreaded void periods of non-occupancy.
Houses with two bedrooms or more are by far and away the most popular choice amongst renters, whether they are detached, semi-detached or terraced. With the average age of the first-time buyer now at 30, more and more families are renting up until this point, so multiple bedrooms are a must. Appealing to this family and young professional market will help you to achieve your desired rental values and could potentially secure you longer tenancies with tenants willing to sign up to three-year contracts.
Fundamentally, there is no one single property which is guaranteed to give you a specific rental yield. Investing in property remains one of the most stable investment classes, and despite periods of ups and downs, in the long term it is difficult to find a more lucrative venture.
Fife Properties Lettings Director, Richard Cook commented: “One size does not fit all but we do find that 2 bedroom + semi detached/detached or terraced houses an extremely popular among tenants. Equally they give landlords a good return and provide a better exit strategy to flats if you need to sell later on”
Fife Properties currently offer a FREE initial consultation service which not only provides an idea of the rental value of your property but gives extremely useful advice on maximising the returns. To book click the link: https://www.fifeproperties.co.uk/property-valuation/
Nearly half of over-55s would downsize to fund jet-setting lifestyle
With more people living longer and ageing with much better health than ever before, those aged 55 and over are playing a key part in the national economy. Recent research from SunLife has surveyed this age group and found that nearly half would sell up in order to fund a more jet-set lifestyle.
Recent data from the Office of National Statistics has shown that the proportion of those aged 65 and over will rise by 5% over the next thirty years, with greater economic contributions coming from this group as the years progress. For those currently 55 and over, SunLife questioned 1,000 homeowners with a big choice; if they had the option between staying in their family home but never holidaying away from the UK again, or downsizing and then using the cash for foreign holidays which would they choose?
Interestingly, nearly 50% said that they would downsize (44%) in order to enjoy a jet-set lifestyle in their later years – what this does suggest, however, is that 56% would not be prepared to sell their family home. The research has shown that as we get older, the more attached we become to our properties; with those in the 65-80 group voting overwhelmingly to keep their property at the expense of not holidaying again.
Of course, as we get older the inclination to travel could decline as we may be less mobile or find the appeal of travelling for long periods less attractive than in our younger years, which could explain the growing desire to stay-put as we age.
Fife Properties Group Office Owner, Jim Parker commented: “Years ago this was never a factor but more and more people are realising that it’s more beneficial to release equity now by downsizing so they can either enjoy a better quality of life at a more affordable level and also passing some money on to their children to help them get started or pay off their mortgage. One other factor that seems to be appearing is the realisation that life savings could end up being taken by the government to pay for long term care if it’s needed.”
Fife Properties currently offer a FREE initial consultation service which not only provides an idea of the current value of your property but gives extremely useful advice on maximising the value when selling. To book click the link: https://www.fifeproperties.co.uk/property-valuation/
Buy to Let remains a solid property investment opportunity
Since 2016, there have been several changes to the property market across the United Kingdom – predominantly to the lettings sector. Despite these alterations to taxation, stamp duty and bureaucracy around rental properties, most buy-to-let investors are still finding the market to be lucrative, with stable returns.
With a number of landlords departing the market when initial government changes took place in 2016, competition in the marketplace is greatly reduced and the professionalism of the sector has blossomed.
Chris Baguley, Commercial Director at buy-to-let lender Together, said: “As casual owners exit the sector, buy-to-let is becoming ever more professionalised, as individuals and companies adopt a more rigorous approach to acquiring the right properties in the right areas, and getting them ready to rent within a limited time frame on a tight budget. Perhaps most notably in the housing sector, the balance of today, there is therefore notably less competition than there was before.
“Even if we don’t see the capital growth which has been evident over the past two decades, the income available from property investment can still be attractive compared to other asset classes.”
With rental incomes increasing – the Office of National Statistics announced this month that private rents rose 1.3% on an annual basis in May, increasing once more from April – the opportunities for buy-to-let investors are evident. Additionally, financing your properties has become easier with specific buy-to-let mortgages now offered by a plethora of lenders, who are fiercely competing with one another to keep their market share, providing investors with an opportunity to obtain extremely attractive rates.
A recent survey of more than 5,000 investors found that almost three-quarters of those surveyed considered buy-to-let to be the best, least volatile long-term investment. Indeed, some 83% of buy-to-let investors who were questioned stated that it was either unlikely or very unlikely that they would sell their property over the next year, with almost 60% going on to state that they had no intentions of selling for the next five years.
Fife Properties Group Office Owner, Jim Parker commented: “The term Safe as Houses still applies today. The returns from investment property are still as attractive as it was several years ago for the reasons stated above. However, getting the right property, whether to go sole trader or ltd company, the taxation implications regarding income tax and capital gains later are all extremely important to get right in the beginning. I’ve been involved in this as an active investor and landlord for over 26 years and learning by someone else’s experience is always the best way to go. It’s not the first time I’ve helped first time landlords get started and I still offer this service today.”
Fife Properties currently offer a FREE initial consultation service which not only provides an idea of the rental value of your property but gives extremely useful advice on getting started. To book an appointment click the link: https://www.fifeproperties.co.uk/property-valuation/
Buyer and seller activity increases as Brexit’s effects wane
In what appears to be a reaction to the most recent Brexit delay, the housing market is experiencing a pronounced period of activity, according to figures provided by NAEA Propertymark.
Property demand from prospective buyers was at an eight month high during May, with the number of registered property hunters increasing by an average of 16% during the month from 265 to 307. This represents the highest level of registrations since September of last year, another significant statistic in a period where increased levels of public activity are being seen across the market.
The supply of available housing has also seen an increase in line with this increased activity, with an average increase from 35 properties per member branch on offer in April to 41 in May. This also represents a year-on-year increase of four properties from the same month last year. Average sales per branch also saw a brief increase, from 8 in April to 9 in May.
So, what’s caused the increased activity? Seasonal demand appears to have played a part, alongside the aforementioned Brexit delay which won’t see Britain exit the European Union before October 31st at the earliest. With that in mind, buyers and sellers appear keen to progress with their plans and transactions during this period of relative political calm.
“It is encouraging to see the housing market bouncing back, with supply and demand rising to the highest levels seen since last year,” noted Mark Hayward, Propertmark’s chief executive.
“It’s evident that buyers and sellers are no longer waiting for the outcome of Brexit and want to get things moving, particularly as many sellers are realising that it’s a buyers’ market in certain areas of the country.”
Fife Properties Group Office Owner, Jim Parker commented, “Buyers and sellers have concluded that all the things that could affect the housing market from Brexit have now been factored in and some are not convinced we will be leaving in October. So, it’s business as usual because they cannot wait. We are seeing unprecedented levels of seller and buyer activity compared to previous years with many properties selling quickly but more importantly over the home report value “
Fife Properties currently offer a FREE initial consultation service which not only provides an idea of the current value of your property but gives extremely useful advice on maximising the value when selling. To book click the link: https://www.fifeproperties.co.uk/property-valuation/
How to sell your property quickly in Summer
With plenty of buyers motivated to move before the winter months set in, summer can be the perfect time to sell your property. If you’re selling, or considering selling, then read some of our pointers to help you sell quickly this summer…
Kerb appeal
As is always the case with selling properties, a first impression can make or break a sale with a poorly presented property often putting off buyers before they have even set foot in the home. In the summer this is especially important as buyers will often drive or walk past a property before they decide to book a viewing. With the summer sun shining a light on any less-than-perfect parts of the exterior of your property, you should ensure that flowers are planted, weeds are pruned and lawns are mowed. Extra attention to details, such as ensuring that the front door has been cleaned and the windows are streak-free will pay dividends in your selling process.
Accessories
A neutral interior will appeal to a mass market and increase the scope of your property in terms of potential buyers, but if you are looking to make the most of the summer then don’t be afraid of colour. Using accessories to add pops of colour around your home that reflect the brighter summer season – such as burnt orange and lemon – will make your property stand out from the crowd in those all-important photographs.
Lights
When we think of summer, we all first think of sunshine and brighter evenings – so make the most of this light when presenting your home for sale. Get rid of heavy curtains and dark blinds, which can make a room feel smaller and prevent the light from entering a room. Buyers want to feel that rooms are bright and spacious, so if possible, have windows and doors open throughout the house to create a light, airy feeling (as well as bringing in those fresh summer scents).
Set dress
Set dressing refers to the arranging of a room or space in order to paint a picture of the kind of lifestyle which could be enjoyed in your property. Never is it more important to set dress your garden than throughout the summer months, with potential buyers wanting to know that they will be able to enjoy the outdoor space which your home provides. Tempt potential buyers by showing off your outdoor spaces with garden furniture, fire pits and barbecues.
Viewing times
During the summer months, many people like to start work early and leave early in order to benefit from the longer evenings; make sure that you can accommodate as many viewings as possible by being flexible with your viewing times. Allowing people to view your home early in the morning, as well as in the afternoon will help bring more people through the door as well as showing off your property in a favourable light.
Fife Properties Managing Director, Jim Parker commented: “Summer is certainly a lot faster when selling as people can now view in the evening because of the lighter nights. All these tips can add real value to your property and often get more than the home report value as people can see themselves moving in easily with not much to do. Now is the time to sell while the going is good”
Fife Properties currently offer a FREE initial consultation service which not only provides an idea of the current value of your property but gives extremely useful advice on maximising the value when selling. To book click the link: https://www.fifeproperties.co.uk/property-valuation/
