What's happening this month?

Managing properties through the eviction ban extension

Over the course of the eviction ban for residential tenancies, the government have looked to balance support for tenants and landlords, helping those unable to meet their rent payments whilst recognising the strain this puts on landlords who may depend on the income.

As of June 1st, notice periods were reduced from six to four months for residential tenancies.

This is except for situations including anti-social behaviour, with a shorter notice period of two weeks.

Compared with homeowners, it's estimated that tenants are more than three times as likely to be behind with rent or bills, 6% and 19% respectively.*

With courts still prioritising hearings based on severity, it's important to look for a resolution to rent arrears or disagreements where able between parties.

As leading lettings agents, we facilitate communications between landlords and tenants to offer our expert services.

What about for commercial landlords?

Whilst the ban has lifted for residential agreements, the ban on evicting firms for unpaid commercial rent is to be extended for a further nine months.

Many businesses within the hospitality sector are yet to reopen and resume trading as normal, all the while accruing an estimated £5bn in rent debt.

If you need advice about the eviction ban, go to GOV.UK.

Want help managing your property? Talk to our team today.

*YouGov

Post-pandemic predictions for the property market

After 18 months of uncertainty, the UK property market has seen some incredible highs and lows, from the sector closing and reopening last spring, to the impact of the stamp duty holiday on residential transaction levels.

For those looking to buy or sell in 2021, here are the top projections on what will continue to shape activity levels in the coming months.

House prices at a record high

Initially propelled by the stamp duty holiday, house prices have risen by 10.2% in the year to March 2021, with vaccine optimism now fuelling high demand levels.*

With a tapered end this September, homeowners can still save £2,500 on the first £250,000 of a property due to the stamp duty holiday, meaning that sales will continue to push up prices this summer.

If you haven't had a recent valuation of your home, talk to us today to gauge its current value.

The long-awaited return of overseas property investors

Travel has been made all-but-impossible for most travellers.

However, with vaccine programs being rolled out in other countries as well as the UK, we should soon see the return of overseas buyers looking for their next investment opportunities.

This will be key to help the market fully recover from the events of 2020, particularly for the construction sector.

Country locations increase in popularity

Remote working became the norm for most of the country's workforce in 2020, which gave people the freedom to move further afield.

As outdoor space went up in our estimations, the need for a perfect commute distance became less important, leading to more buyer activity as homeowners and tenants found themselves restless with their current accommodation.

More space for remote workers

For those whose job will continue to operate remotely, a home office or designated workspace is essential.

Larger properties are in short supply, making it the ideal time for homeowners to sell up.

Commercial spaces transformed into residential properties

Commercial spaces are being left empty, as many people are now opting to work from home, where able.

This means that many offices have closed permanently, leading the owners to convert them back into residential properties.

Overall, this could have a massive impact on the market.

Do you want to know your options buying or selling this summer? We'd like to offer you a consultation, visit our website to learn more.

*ONS

What’s driving property prices?

Asking prices continue to climb, with several key reasons to explain why this is happening after the emergence of a global pandemic.

A record number of people are looking to move

If you cast your mind back to a pre-pandemic time, the property market was faced with extraordinary pent-up demand due to Brexit concerns, as buyers and sellers put their plans on hold.

Before this pent-up demand could be fully alleviated, COVID-19 made its way across the globe in spring 2020, shutting down the property market along with most other commercial sectors.

The government were quick to launch schemes and support to encourage a return of activity, with tremendous success last summer, mainly driven by the extended stamp duty holiday.

Following all of these delays, demand for homes continues to dominate market headlines.

Over 180,000 properties were listed on Rightmove in the last month, with homes selling above asking price doubled from previous figures.

Stamp duty savings

Ending on June 30th, the stamp duty holiday caused a market rush, which meant that asking prices rose at an incredible rate.

Having extended the initial savings period once already, the government introduced a tapered end to the SDLT holiday, taking us up to September 2021 with £2,500 available on the first £250,000 of a property.

Record low interest rates

With interest rates low, more people have been enticed to upsize to bigger, more expensive homes.

If you're looking to take advantage of better rates, we'd recommend speaking to a mortgage professional about your options.

Looking to sell? Book a valuation today.

New build homes at a 21-year high

Over 49,470 new build properties were completed in the first three months of 2021 – the highest figure recorded in 21 years.*

Why are so many new homes being built?

In 2020, building projects came to a sharp halt with the closure of construction sites as well as the country's housing market.

As measures began to be introduced to provide COVID-secure premises, work was once again able to resume in 2021, leading to a sharp increase in the number of house building plans in light of pent-up demand.

Who does this affect?

The pandemic has led to a year-long market boom, with prices skyrocketing and high buyer enquiry levels putting pressure on the market to deliver a greater supply of available homes.

With many of us weighing up our priorities, light and space have become more important, causing waves of home movers to uproot themselves in the search of more fitting properties.

Given this trend, it's no surprise that 81% of new builds in the first quarter were houses rather than flats, as larger family homes have become the most sought-after property type of 2021.

Why is this great news for the industry?

Typically, between 240,000 and 340,000 new homes are needed every year to keep up with demand.

The pandemic has meant production of these houses has had to slow down, meaning that the 21-year high is welcome news to developers and buyers alike.

Another key development within the sector is the conversion of commercial spaces into stylish, residential properties, as more companies establish hybrid or remote ways of working.

If you’re looking to buy a new build property, contact us today to see our selection of homes on offer.

*Ministry of Housing, Communities and Local Government

What’s next for the property market?

Having contributed to record-breaking sales numbers over the last year, we consider what's next for the property market following the approaching end of the stamp duty holiday.

For first-time buyers

Introduced by the government this spring, the 95% mortgage guarantee scheme has encouraged lenders to offer lower deposit options, paving the way for the return of first-time buyers wanting greater flexibility and freedom becoming homeowners.

This scheme is set to close to new applicants in December 2022, with the government’s total investment expected to reach over £20 billion.

Flexible mortgage schemes

In support of the government's help-to-buy option for first time buyers, we are seeing banks and developers coming together to create other schemes that could essentially replace the government’s help-to-buy scheme when it comes to an end.

An example would be the Deposit Unlock Scheme, which provides buyers with a package that allows them to buy new build homes up to a value of £330,000, with a 5% deposit and 3.5% mortgage rate – fixed for two years.*

High street banks are also beginning to offer 5% mortgages, which offers to lend buyers an extra 10% of a traditional 15% deposit, requiring buyers to only front up 5% themselves.

Looking ahead

Existing and new incentives will boost a drive in the first-time buyer market and are likely to have a similar impact as the SDLT holiday.

Other new schemes could involve cuts to SDLT rates, particularly with second home purchases in order to get this section of the market moving again.

Are you looking to buy this year? Get in touch with us today.

*Newcastle Building Society

Why does market activity peak in August?

For the past 12 years, reports show that August has been one of the most popular months for home moving, with a third of movers choosing to buy or sell between June and August.*

Whilst typically homeowners would expect to fare best by listing earlier in the season, the same won't be said for 2021.

Fewer Brits are predicted to travel due to restrictions, meaning there's plenty of time to spend house hunting instead, as well as save towards deposits and moving costs over paying for flights and accommodation.

What’s the most popular day to move?

One in four pick Fridays for their moving day, giving themselves all weekend to unpack and settle in, with activity likely to peak ahead of the Bank Holiday weekend.**

With the stamp duty holiday ending 30th September, this could mean delays for buyers and sellers who aren't prepared in advance, particularly for those relying on moving companies for the big day.

19% of those who bought up to 2018 experienced delays due to the sellers vacating their homes late or not having funds clear in time, so it's important to communicate with other parties in your chain to establish any potential problems before they materialise.**

Why move this summer?

A summer move gives you the best conditions to market your property and have the best weather for the move in period.

If you'd like advice on why you should choose now to list your home or make your next move, we can help.

For advice on buying or selling, contact us today.

*Property Reporter

**Homeowners Alliance

Could you benefit from repaying your mortgage early?

The average homeowner will be 57 before they’re able to fully repay their mortgage, so paying off the debt early is a desirable financial goal.*

What is there to consider if you want to pay off your mortgage early?

If you are thinking of repaying your mortgage, do your sums.

When will you finish repaying your mortgage and what will your financial situation be like then? It's important to consider your options and review them frequently.

Here are a few options to help you pay off your mortgage sooner:

1) Overpay whilst you can

Ensure you have enough money to keep you going for at least three months before paying off your mortgage, as this is a good way to judge if now is the right time to get rid of that debt.

Most mortgages won’t charge you for overpaying, however, it’s always worth checking.

2) Consider remortgaging

Interest rates are at record low levels and there is more product choice for buyers than ever before. If there is a better deal on offer, it might be a good idea to remortgage whilst you can.

Remortgaging can help you reduce the size of your loan and avoid less favourable mortgage rates that will extend your mortgage term.

3) Reduce your mortgage term

Sticking with your current mortgage plan could leave you overpaying if your financial position has changed since you first applied for your mortgage.

If you can now afford higher repayments, you should consider reducing your term. By doing this and increasing your monthly payments, it’s a guaranteed way to pay off your mortgage sooner.

If you’re looking for expert advice regarding buying and selling, contact us today.

*Hargreaves Lansdown

How to keep your boiler running for longer

A broken boiler is the last thing you want as the weather starts to get colder this autumn.

If you’re facing boiler issues, this helpful guide is here to get you back on track with five of the most common issues and the best ways to fix them.

1. Kettling

Is your boiler making a strange bubbling noise? If the answer is yes, then you most likely have a build up of sludge, and should you live in an area with hard water, this can be a common problem that happens again and again.

Hard water has a high mineral content, which has a tendency to cause build-up in heating systems and waterpipes.

2. Leaking and dripping

Having buckets full of water that have been dripping out of your boiler for weeks is not ideal.

A broken internal component is the most likely cause behind a leaky boiler and can be caused by the pressure becoming too high.

3. No hot water

The last thing you want is a cold shower whilst you wait for your boiler to be fixed, so make sure you check your thermostat.

If your boiler pressure is normal and the thermostat is set correctly, then there could be an issue with an internal component in your boiler. Get an engineer to check this for you.

4. Low boiler pressure

Low boiler pressure can result in a number of problems, affecting the efficiency and effectiveness of your heating system.

This can make it difficult to keep your home warm as well as increasing your energy bills.

The best thing to do is check the gauge meter.

If the needle is below one, then you have low boiler pressure, which can be caused by a water leak. If there are no leaks to be found, then you may need to get your boiler re-pressured.

The manufacturers website will give you details of how to re-pressure your boiler.

5. The pilot light has gone out

The pilot light is the flame that lights gas provided by a main burner. The flame should remain permanently lit, as it is supplied by a gas pipe.

If a pilot light goes out, gas will still be released from the pipe, and this could be potentially dangerous. There should be a sensor in the pilot light tube that cuts the gas as soon as the flame goes out.

Check the boiler itself to see if there are any specific instructions as to how to turn on your pilot light.

As leading lettings agents in your area, we offer a range of services to support our landlords and tenants. Contact us today about our fully-managed package.

Selling during the back to school season

One-third of homeowners choose to buy or sell in early autumn, making now the best time to put your house on the market.

With children returning to school, could a move be on the cards for you?

If you are selling this September, here are some of our top tips...

1) Have a clear-out

The back to school season can be a busy time, with one in four also choosing to switch jobs and careers during this month compared to the rest of the year.*

So, having a simple declutter of your belongings and items can create a blank slate for people coming to view your home.

2) Maximise your storage

Maximising your storage space is an easy way to keep your home tidy at a low cost, which may then mean you're required to do less work in between any viewings that take place.

3) Plan for viewings

Don’t let viewings catch you off guard! Have a checklist of everything you need to do before a potential buyer comes to view your home.

Having a set plan of action will help you keep a clear head and get things done amid the back-to-school chaos.

4) Improve your home's kerb appeal

Two-thirds of buyers stated that kerb appeal was a significant influencer in their property purchase.**

Some top tips for improving your home's aesthetics are hiding bins, cleaning your windows and decorating your front door.

Are you ready to move this September?

Contact our property professionals today for helpful advice and guidance.

*Job search website, Monster

**Homeowners Alliance

Surge in sellers renting ahead of their next move

With the sales market continuing to boom, many homeowners have secured a high price for their home in 2021, choosing to put themselves in a stronger position by renting during this stop gap period.

If you’re living in a rented property, you are normally able to move quicker due to not being part of a chain.

Rather than feeling pressured to act fast, this means that you're able to negotiate for the property and price you want.

It's also an incredibly sought-after position to be in when a vendor chooses who to sell to, as without a chain, the sale will be more likely to complete instead of falling-through.

The number of sellers looking for rental homes has contributed greatly to the dwindling stock of rental properties and consequently increasing rents. As a result, there were nearly half the number of properties on the rental market in July than this time last year, with the numbers continuing to drop.*

This is encouraging for landlords, as their properties are in demand with void periods falling rapidly.

But it’s not just homeowners looking to rent.

Due to the pandemic, many tenants no longer have to be tied down to one location.

With working from home now the new norm, a short commute is no longer desirable and moving away is more feasible. This year, 49% of tenants moved just because they wanted to live somewhere different, as opposed to moving from necessity.**

Are you looking to sell your home or put your property up for rent? Our dedicated team offer free, accurate and no-obligation valuations for both the sales and lettings market.

Find out how much your property is worth today and book your market appraisal.

*This is Money

*Estate Agent Today

What does the supply-demand imbalance mean for you?

Vendors have benefited from the supply-demand imbalance seen across the market in 2021, with 40% of properties selling above their original asking price, making conditions optimal for selling.*

What makes conditions optimal this autumn?

1) Low stock

Due to the pandemic, many people were put off selling their homes whilst the construction of new build properties came to a halt, causing a dip in housing stock.

This means that the homes currently on the market are being snapped up faster, with serious buyers putting offers in much sooner than they otherwise might have done.

2) Increased demand

With UK restrictions easing, buyers are now competing for properties, with 36% of homes attracting offers from three or more buyers.*

Many who originally put off moving due to the pandemic are now looking to relocate, causing a huge increase in demand and sparking bidding wars between buyers.

3) Mortgage rates

With the number of available UK mortgages on the rise, lenders are competing to attract more customers with low-interest rates and low-deposit mortgages, giving buyers more choice than ever when it comes to choosing the correct financial option for them.

Need a helping hand selling your home? Get in touch with our team today.

*Property Reporter and Which?

Will working from home be your new norm?

Last year, the number of adults who worked from home inevitably increased to 37% over lockdown.*

Despite many people agreeing that working from home makes them feel isolated, 85% of homeworking adults now favour a "hybrid" approach of both home and office working for the future.*

Whilst job adverts that included home working have increased dramatically to three times the amount seen last year.*

Are you currently working from home?

Here are our top tips on how you can create a healthy working environment.

1. Keep moving

When we work from home, we tend to be a lot less active than in an office environment.

Exercise is the key to staying in good health, so a lunchtime walk has many benefits and will keep you productive for the rest of the day.

2. Look after your eyes

Looking at a computer screen for hours can be taxing on your eyes.

Aim to follow the '20/20/20 rule'. That means that every 20 minutes, look 20 feet away for 20 seconds, this should help your eyes recover from the strain.

3. Create boundaries

It can be tempting to work longer hours from home but remember to have boundaries between work and home life.

Having a home office can be beneficial as a designated workspace that you can leave at the end of the day.

If you don’t have a home office, why not consider picking a space in your home that will be your professional sanctuary.

4. Put a plant on your desk

Plants can play a major role in creating a more peaceful, yet engaging workspace.

5. Natural light is important

Natural light is good for your eyes and mind.

If your home office doesn’t have any windows, make sure you have plenty of lamps producing light.

6. Invest in a decent coffee machine!

Standing up and giving yourself breaks from your computer screen is important.

Getting a coffee can be a well-earned break from work and give you some extra energy to get through the day.

With career changes higher in September than any other month of the year, are you looking to relocate? Contact us today to see our latest listings in your area.**

*National Office for Statistics

**Job search website, Monster