Finn's Newsletter: Winter 2021, Issue No.1

The increased demand for rural and coastal properties explained

Since the initial lockdown in March, the demand for rural properties has increased massively due to changing property priorities and working habits.

Rightmove’s yearly review for 2020 shows that both coastal and rural areas were favoured by buyers as many moved away from central locations.

The top 10 best selling areas in the UK last year were dominated by idyllic locations, such as Devon, Surrey and Somerset.

Similarly, properties with larger living areas, dining rooms and gardens all seemed to be the most popular on the market.

With many expecting to be working from home for a while, or even swapping to remote working on a permanent basis, the significance of a central location is no longer as prevalent for buyers and tenants.

According to Rightmove, out of the top ten best selling areas of 2020, seven of those had a population of 10,000 or less, showing that life away from the hustle and bustle of the city was preferred by many during the pandemic.

Specific areas that have seen impressive growth since the outbreak are Wiltshire, Hampshire, Stockbridge, Suffolk and Hertfordshire.

Amongst these, Hertfordshire was the most popular with a 75% increase in sales year-on-year, and no evidence of this slowing down.

Similarly, suburban areas in the north west have seen the biggest price growth this year, with prices rising from £184,299 to £213,706 on average.*

Rightmove’s director of property data, Tim Bannister, said: “this year we’ve seen an uplift in the number of home-movers escaping to the country and we think this trend will continue for now as people show their willingness to make significant life changes.

“The data highlights just how influential the unexpected events of this year have been in shaping the nation’s housing priorities, with many buyers determined to swap city streets for rural and coastal retreats.”

If you’re looking to prioritise green space in your next property we can help.

*Property Industry Eye

Positive property market developments from 2020

Looking back on 2020, it’s easy to focus on the negatives. However, the impact last year had on the property market was definitely overall positive.

What is in store for the sector this year?

Government schemes

2020’s COVID crisis gave rise to the stamp duty and mortgage holiday to support property homeowners and landlords through their financial hardship.

The stamp duty holiday began on July 8th and will remain in place until March 31st this year, giving buyers and investors the opportunity to see savings of up to £15,000.

Due to the scheme, house sales rose by a huge 21.3% in September.*

Whilst it's been reported that an impressive 140,000 more people are waiting to complete on their house purchase since this time last year.**

Similarly, the mortgage holiday was initially introduced in March 2020 and has been extended various times with a current end date of July 2021.

This scheme was announced to help households who had been financially impacted by the pandemic and can be taken for up to six months.

For more information, please speak to your lender directly on whether a payment holiday is the right solution for you.

House price surges

With property priorities changing to favour gardens, large living spaces, rural locations, home offices and dining rooms, prices for these properties has increased massively.

Similarly, with the aid of the stamp duty holiday, many buyers have been able to push themselves financially and purchase a larger property than they first thought possible.

With so many positive elements to take away from 2020, and a bright future for the property market ahead, now is a great time to evaluate your options.

If you’re thinking of buying, selling or letting this year, contact us.

*GOV.UK
**Property Wire

How landlords can cut down on emergency callout costs

Emergency property issues are costing landlords billions every year, according to research from Direct Line.

The average cost of a callout in the UK comes to around £765, with landlords having to fork out approximately £2,141 over the whole year.

It’s an unfortunate part of being a landlord, as these emergencies are usually unforeseen and time-consuming or costly to fix.

The most common issue for landlords to fix is plumbing, closely followed by gas or heating.

Thankfully, on average, plumbers have the best arrival time out of all contractors, with a typical response time of 13 hours from first contact.

Whilst gas and heating engineers take twice as long to respond at 21 hours.

As a landlord, it is a legal responsibility as well as a moral obligation to make sure your tenants feel safe in your property, making it all the more important to help prevent the need for emergency callouts and issues – where possible.

Although these tips won’t give you immunity from all problems, they will go a long way to preventing problems further down the line.

Clean your pipes often – hair, grease and other gunk can build up in your drains over time, potentially causing a blockage.

Using a non-corrosive drain cleaner is a great idea to clear the grime in your pipes.

Annually service your boiler – whilst it might sound unnecessary to have your boiler checked every year, a qualified heating engineer will be able to spot minor issues that need fixing before the situation escalates.

Insulate your pipes – during winter, it’s important to ensure your pipes don’t freeze, as this could cause them to burst.

Insulation can be cheaply purchased from many DIY stores and is easy to install.

Check your fuse box is in date – it is easy to forget about your fuse boxes, however, they contain essential features that prevent electrical faults and fires.

If your fuse box is close to expiring, hire a qualified electrician to ensure the property is safe.

Change the smoke alarm batteries – whilst this isn’t an issue that requires an emergency contractor, it could require the emergency services if left neglected.

Smoke alarms are crucial to alerting people in the property of a potential fire and could be the difference between life and death.

Batteries are cheap to buy and easy to install, making it a simple job to protect your tenants and your property.

For any questions about our services for landlords, get in touch from our website.

Your property investment checklist for 2021

COVID-19 has had a huge impact on many aspects of our lives over the past 12 months, but the property investment sector has stayed somewhat consistent.

With the property market healthy and prosperous, now is a great time to invest, following these simple considerations.

1) Does your property have remote working potential?

With many workers continuing to work from home in 2021, property priorities are changing.

When picking your investment property, whether your intention is to rent or sell, you should be looking for areas where an in-home office could be set up.

2) Is your property energy efficient?

Older properties can sometimes have issues with not being very energy efficient, whether it's due to older windows or wooden flooring and poor insulation.

As it costs more to keep the property warm in winter, tenants and buyers are typically wary of energy-inefficient homes.

Thick carpets and double-glazed windows are key instalments for a buy-to-let or buy-to-sell project.

Other aspects to look into are the boiler and the wall insulation, as investing in these areas will lower energy bills for years to come but raise the value of your property.

3) Are you selling or renting?

When you are looking for an investment property, it’s important to know how you’re going to proceed after it has been purchased.

For example, a property that is up for rent may need to be furnished and decorated to suit tenant needs, whereas buyers often prefer a blank canvas.

Alternatively, if you’re looking to sell the property on, you should consider looking into mortgage lenders to ensure that the property will be accepted for a mortgage to help reach its full potential.

This will also allow for a quicker sale so that you can progress onto your next investment project.

4) Have you researched the local area?

With current priorities having changed in the past year, both potential buyers and renters are all looking for properties close to green space rather than being in busier areas.

Due to this, properties near parks or possessing a garden are more popular than ever and will be sure to attract the most attention.

As your trusted local agents, we are here to help you every step of your investment journey. To get started today, browse our properties.