Northfields

To Register Landlords or Not to Register, That is the Question

Following a government commissioned Rugg review new regulation has been proposed to govern the number of private landlords in England, who total over a million. Over 70 per cent of those landlords are private individuals or couples.

The review found that, although the vast majority offer a good service, some landlords suffered from a lack of professional 'perspective' and knowledge of current legislation.  However, less reassuringly, standards in our private rental sector are lower than in both social housing and owner occupation.

Due to the difficulty in identifying 'rogue' landlords, local authorities find it difficult to come to the aid of tenants in trouble.

The solution lies in a proposed register which would include the names and addresses of all landlords in the Private Rental Sector, and would most likely link them to their rental properties.

Under this scheme, landlords would be charged a yearly £50 fee.  The fee would grant the landlord a landlord registration number to be used in tenancy agreements, court proceedings including eviction, and housing benefit claims.The register would be overseen by an independent organisation, It would, claims the Government, benefit landlords as well as tenants.

A benefit to the landlord would be advanced notification of changes to legislation via the register's mailing list.  

While the Government argues that the register is as of benefit to both tenants and landlords, many professionals disagree, arguing that they are already heavily regulated.

The collection of rental property addresses has been seen by some as an invasion of privacy with no positive effects for either party.  Some opponents of the register even fear that it could lead to rogue landlords carrying on as before while driving honest landlords away.

Would you welcome a register for private landlords in England?

Are you a private landlord?  In our experience, not all private landlords are aware of all their legal responsibilities.  To avoid falling foul of the legal requirements, call Northfields, an estate agency that is both award winning and regulated by professional bodies so you are assured that your rental properties are being looked after properly - register or no register.  Call 0208 567 6660 for your free lettings valuation now or click hereto request your valuation online. 

Hot Property for Sale in Sydney Road, Ealing W13

One of our hottest properties for sale is situated in Sydney Road, W13.

Why is it so hot?

- the property is currently set up as two flats but would also suit being used a single family home

- conveniently situated near the amenities of West Ealing and Northfield Avenue

- the seller is motivated and ready to proceed

- no onward chain

- good sized garden to enjoy

- a semi-detached home with 2 reception rooms and 3 bedrooms

Guide price £400,000

Click here for more details, photos and floorplans of this property in Sydney Road. 

Want to be the first to see the rest of our top 10 hot property list from our most motivated sellers, call 0208 840 6666 to register now or click here to register online.

Mortgage Approvals on the Up

The major UK banks have reported rising mortgage approvals, according to the British Bankers' Association (BBA), reports the BBC.

In September, new mortgages were approved for 42,100, up from 40,100 in August of this year.  This figures takes into account only banks who are currently providing the majority of new UK mortgages.  The rise in mortgage approvals now stand at 77% higher than a year ago - a level not seen since the end of 2007.  In fact the The BBA said approvals had now been "rising steadily" for the past eight months.

Mortgages also made the news this week as the financial watchdog, the FSA announced that in the future getting a mortgage approval could be a 'retro' experience as they endorsed adopting stricter rules to govern mortgage approvals that harken back to the practises of the past.

No matter what occurs with the mortgage market, the housing market as a whole will depend on more properties coming to market.  With the Royal Institution of Chartered Surveyors (Rics) predicting that house prices are likely to keep on rising, the struggle for first time buyers to gather together a sufficient enough deposit will continue to be a problem.

So despite the bad news that the British economy continues to be in recession, the pick up in demand from buyers, compounded by the distinct lack of new properties coming onto the market suggests that house prices will continue to rise over the coming months.

If you would like to find out how much your property is worth in the current market, call Northfields on 0208 840 6666 to arrange your free valuation now or request your free valuation online by clicking here. 

 

Fall is the New spring in the Housing Market

Rightmove's House Price Index shows some interesting new developments in the housing market.

1)  The housing market has experienced the largest October rise for 6 years as balance of power continues swing towards new sellers, pushing average Autumn asking prices up by 2.8% (£6,188)

2) With only 95,000 properties newly offered to the market in October fresh stock is down 36% on 2007

3)  22,000 stamp duty exempt sellers looking to cash-in before buyer incentive ends in January

4) Property prices are now higher than a year ago with London at record high.  The majority of buyers are expecting more rises with only 1 in 10 buyers expecting falls.   

5)  Ealing is once again in the top 5 performing boroughs in London this October.  Ealing is consistently among the top performing boroughs in the capital, making it a wise investment in an uncertain market.

 
  
(Click on the chart for a better look at the figures.)

Miles Shipside, commercial director of Rightmove comments: Agents in the north as well as the south are reporting that quality properties are often selling within the week. Buyers are ready to pounce on new instructions and are willing to proceed as they believe prices have bottomed”.

Spring has traditionally been the season for market optimism, when demand fuelled by winter inactivity bolsters the market, but it seems from Rightmove's survey that the fall property market has been out performing the spring market this year. Rightmove reports:

"Following last autumn’s acute shortage of transactions, the market has seen gradual recovery throughout 2009. Mortgage approvals have grown year-on-year from circa 32,000 a month to 52,000, yet the supply of properties coming to market has not seen corresponding growth, resulting in upwards pressure on prices. This month sees national average asking prices at a higher level than a year ago, the first time Rightmove has recorded a year-on-year increase since June 2008. The 0.2% rise is led by a strong recovery in London, where property shortages and increased buyer demand see asking prices now the highest Rightmove has ever measured. They are 0.8% above their peak of November 2007 and 5.2% higher than this time last year. Lack of fresh stock is the driving factor behind this record high, with 16,808 properties coming to the market this month, failing to keep pace with the 19,890 coming off."

However, amongst all the positive elements of the Rightmove survey there is a certain amount of pessimism about the outlook of the property market in 2010.  That factors such as a the end of the stamp duty holiday and the rise in VAT in January as well as the usual hesitancy before and after an election may cause a dip in the currently buoyant market.

The Rightmove report adds: “Now could be a good time to sell, as the spring market could be curtailed by pre-election paralysis, with the post-election market dampened by the next Government having to implement its austerity package”.

What do you think will happen in 2010?

 

If the Rightmove reports finding prove to be correct then this autumn could indeed be the ‘window of opportunity for sellers’.  Don't miss out, call Northfields now to request a free valuation on your property on 0208 840 6666.

What would you do if we handed you £50 right now?

Seriously.  We'd love to give you £50.  And all you have to do is recommend a friend who is in need of our services.  And then we'll give your friend £50 too.

Just fill out this form:  Download It Pays Today, fill it out and return it to us.  It's that easy.

So what would you spend your £50 on? 

Terms and conditions apply.  Please Download It Pays Today for more information or call us on 0208 840 6666 to find out more.

Find a Property Rental Index Indicates a Recovery in London's Rental Market

Find a Property's monthly rental index reports that rents were steady in September, further highlighting the market stabilisation that began in the spring.

Although the levels of rental properties available to rent declined sharply in September (-6.2 per cent) – the largest monthly fall since the beginning of 2008, the numbers of properties available to rent remains 37 per cent higher than a year ago.

The autumn is usually a busy period for the rental market with students and first time job seekers taking many properties, particularly those at the lower end of the market.

The re-invigoration of the sales market has resulted in many "reluctant landlords" making the decision to put their previously rented properties up for sale which affected stock levels in the lettings market.

Meanwhile, limited availability of of buy-to-let finance continues to limit property investment.  Rental yields are at an average of 4.56 per cent, in line with the average of the past 4 months, but slightly lower than a year ago (4.78 per cent).  Rents sought by landlords rose in five regions and fell in six, with London being one of the regions where asking prices for rent rose.

The pick-up in rents in the capital may be an indication of recovery in London's rental market, though yields still dipped slightly as property values rose.

Do you have a property to let?  Call Northfields, your multi-award winning agent now for your free valuation on 0208 567 6660.

Any Quality Property on the Market is Likely to Result in Competitive Bidding

The BBC reported that the lack of people selling their homes is underpinning the rise in UK house prices.

The number of surveyors reporting rises in house prices rather than falls rose to its highest level in September since the onset of the credit crunch. The Royal Institution of Chartered Surveyors (Rics) found that house prices have been the most buoyant in the south of England, with London showing the biggest price rise, the survey by RICS showed.

Other property surveys show similar results with the Halifax reporting that UK house prices have risen by nearly 6% since April, adding £9,000 to the average price.  Similarly, the Nationwide says prices have now risen for five months in a row, and are back to where they were a year ago.

"A lack of supply is still underpinning the rise in house prices with new instructions to estate agents only edging up very gradually," said Rics spokesman Ian Perry.

The number of new buyers registering with estate agents rose in September compared with August despite the problems some first-time buyers are still experiencing in securing a mortgage. However, the numbers of new instructions from sellers fell during September. "This imbalance between demand and supply suggests that house prices will move higher in the near term," Ian Perry added.

Despite the relative lack of properties available to sell, there has still been a modest improvement in sales, which went up to 18 per surveyor over the past three months.

While the number of people searching for property has gone up, the number of properties available to those house hunters has decreased.  The result of this discrepancy in supply and demand means that any property of quality that is offered to the market at a reasonable price will now generate competitive bidding.

To take advantage of the current market, call Kylie Menz on 0208 840 6666 to request a free valuation of your property.  Or request your valuation online by clicking here.

Up and coming Area: Hanwell

Why is Hanwell up and coming?

Up-and-coming Hanwell is situated on the border of West Ealing and Northfields Estates is seeing increasing numbers of buyers and tenants looking in this area.  Hanwell offers house hunters several distinctive neighbourhood with many distinctive types of property available. For small or medium sized Victorian properties in Hanwell, focus your search on the Old Hanwell area. On the borders of West Ealing you will find several purpose built blocks. You'll find smaller slightly newer homes on the grid bordering Half Acre Road. Leafy Golden Manor to the north offers both the largest properties in Hanwell and some more modestly priced homes.

One of the reasons that property values in Hanwell are expected to rise is that Hanwell will be one of the stations on the new Crossrail system.  The construction of Crossrail is planned to be complete in 2017 with train services introduced over the 12 months following.  This exciting new link to central London will make Hanwell an increasingly desirable area.

Community Feel

Walkers and cyclists enjoy the pathways of the Grand Union Canal, which extend through English Heritage's six locks area and past Hanwell Viaduct, a Brunel designed bridge. Owning a property in Hanwell gives you easy access to several large green areas including the Bunny Park which is so popular with families as well as a local golf course. Hanwell's lively shopping area is dominated by a stunning Art Deco clock tower. Schools recommended by local families include Oaklands Primary school and Drayton Manor High School.

Transport

Hanwell sits to the north and south of the Uxbridge Road between Ealing and Southall giving quick access to London.  The area is convenient for the M4 and M40. Heathrow is a convenient 15 miles away.  Hanwell railway station (Zone 4) is two stops from Ealing Broadway (National Rail, and District and Central Lines, Zone 3) providing links to central London.  Once the Crossrail link from Ealing Broadway to central and east London is completed, it will become an increasingly popular area for commuters

Have a property is this area that you want to sell or let?  Call our Northfields office on 0208 840 6666 to take advantage of our extensive experience and success in W7.

Thinking about moving to Hanwell?  Check out our properties for let in W7 here and our properties for sale in Hanwell here.

Ask the Agent: What is a property chain?

You may see statements on property particulars like "no chain" or "no onward chain", what does that mean? 

What is a chain in relation to property?

A property chain is a line of buyers and sellers who are all simultaneously involved in linked property transactions. For example, Mr & Mrs Jones are first time buyers who buy a flat from Mr Smith.  Mr Smith then goes on to buy a two bedroom cottage from the Walker family.  The Walker Family then go on to buy a larger family home from Mrs Little who wants to downsize and so buys a smaller house from Mr Singh.  Let's imagine that for whatever reason the Walker family can't get a mortgage, the entire chain is affected or 'breaks' and all the transactions are either held up or in the worst case scenario fail completely.

Do broken chains happen often?

Unfortunately, yes. Broken chains have become more commonplace since the onset of the credit crunch as the mortgage lending criteria has tightened and down-valuing by surveyors is common.

What could break a chain?

If finance is not available, the chain will break… for instance if someone is refused a mortgage. If the property is down-valued, the buyer will not be offered the full amount in their mortgage to purchase the home at the agreed sale price and may be unable to raise the funds for the difference.  Also, the buyer may just withdraw their offer or the vendor may decide not to sell after all. Furthermore, the results of the property survey can turn a good deal sour if previously unknown problems with the property become apparent and the buyer decides to withdraw from the sale rather than re-negotiate.

How could I avoid getting caught in a chain?

You could avoid chains from the start by finding out the status of the people you are dealing with. Is the property being sold with no chain?  Are others in the chain cash buyers, negating the possibility that loss of finance could break the chain.  You should also make sure that you have all your finance in place. You should have your mortgage offer in place before you start making offers, but in reality this can be difficult.

As a seller you should make your home as attractive as possible, and be aware of when to lower the asking price. A good estate agent will keep you advised as to when lowering your price is necessary.  Keeping communication flowing between all parties lessens the chances of a chain collapsing.  Choosing an estate agent with a dedicated sales progressor, like Northfields has, will ensure that you have someone monitoring the chain on your behalf on a regular basis and to help you deal with any problems should they arise.

How could I protect myself if a chain did break?

When a chain breaks it can be frustrating and time consuming, but you can limit the financial damage in a few ways.  You will still have to pay for the costs of a survey should the deal be scuppered so make sure you have a little extra money set aside for this eventuality.  Choose to sell your property through a no sale, no fee estate agent, like Northfields, so you don't lose money on estate agent's fees.  Likewise, instruct a conveyancing solicitor who works on a no sale, no fee basis so that you don't lose legal costs.

Call Northfields now on 0208 840 6666 and we can recommend a no sale, no fee solicitor to give you peace of mind should the worst happen and your chain breaks.

Ask the agent: Is there any going back after exchange of contracts?

Once you have exchanged contracts there is no going back - both buyer and seller are committed to the deal. The buyer is obliged to buy the property and the seller is obliged to sell.

There are many benefits to exchanging contracts promptly.  From the sellers' perspective, the sooner you exchange contracts the sooner you will get the certainty of knowing the sale cannot fall through without suffering financial penalty. If as a vendor you are going on to buy another property it puts you in a better position as buyers and more appealing to other sellers as at least your part of the chain will be assured of going through to completion.

As a buyer, you are assured that the property is definitely yours.  Even if the completion date is set to be some time after exchange of contracts you will be certain that you can't lose the property.

There is no statutory amount of time between the exchange of contracts and completion. The date is agreed upon between all the parties involved; buyers, sellers, and their respective solicitors.  Keep in mind that the date chosen may also be affected by other buyers and sellers if the property being sold is part of a property chain.