Tag Archives: london
Survey reveals many British buyers find buying a home confusing and unfair
Some 62% of British people find the UK property buying process confusing and 37% think it is unfair, according to new research. The main reason buyers think it is confusing is the number of expensive and complicated processes they have to go through to buy a new home, the survey from estate agent Tepilo shows. Almost a third, 27%, said the buying process is far too complicated and expensive, 21% think transactions take too long and 14% worry about the risk of a sale falling through prior to exchange when they've already forked out money on legal and survey fees. Out of the 37% who found the buying process unfair 40% said that it could be fairer if once a sale has been agreed it could be made legally binding so no one could pull out, which would help to reduce the worry of losing money spent on legal and survey fees if a sale falls through. A further 35% think bidding above an already accepted offer shouldn't be allowed and almost 31% think that sellers should be responsible for paying for the survey on the house they are selling. When buyers were asked whether they knew the meaning of key house buying terms, the results were surprising, with many not knowing what phrases like conveyancing, EPC and land registry fees mean. Just 41% know what a mortgage in principle is, only 45% know what a homebuyers report is and 48% know what conveyancing means. The survey found that 60% know what the terms exchange of contracts and stamp duty mean, 53% understanding what the land registry fee is and 50% knowing what an EPC is. Some 5% did not know any of these terms. A staggering five per cent of buyers admitted to not knowing what any of the terms meant! Actually moving was stressful for 42%, while 31% said it was deciding how much to offer on a property. Getting a mortgage agreed in principle was stressful for 28% and deciding which solicitor to use by 27%. ‘It's staggering to see just how many people think that buying a house in the UK is complicated and unfair. It shouldn't be this way, as the actual process of buying and selling houses is fairly straight forward if you understand it,’ said Sarah Beeny, owner of Tepilo. ‘However, many estate agents and solicitors benefit from people thinking the process is complicated, as it allows them to charge astronomical fees to look after key elements of transactions on behalf of buyers and sellers,’ she pointed out. ‘To feel more comfortable when buying and selling, I'd advise people to really research the process thoroughly before purchasing a new home or selling an existing one. Gen up on all the steps involved, the average costs for each and all the terms associated with property transactions. That way, you'll feel much more empowered and in control of the process, which will help… Continue reading
Prime London property market sees strong buyer and letting activity at start of 2016
New buyer registrations and tenancy agreements in the prime London residential market have soared from last January, with buyers and renters particularly looking for one bedroom homes. The number of new buyers registering in January 2016 was 24% higher than in the same month in 2015 like for like, according to the latest London property monitor report from estate agents Marsh & Parson. Outer prime London areas are experiencing the highest New Year demand from interested buyers, with Barnes and Bishops Park seeing among the strongest rises in the number of buyers registering locally to buy property, the details also show. However, this sudden surge in demand for Prime London properties is contrasting with a continued shortage of housing stock in the capital. The supply of homes in prime London fell 12% year on year in the last three months of 2015. This has led to intense competition to own a home in the capital, with 13 buyers for every property in prime London at the end of last year. ‘The New Year always tends to bring a resurgence in purchase activity but the figures we’re currently seeing are strong. Private buyers, landlords and other investors are rushing to secure their preferred property before the 01 April Stamp Duty hike,’ said Peter Rollings, chief executive officer of Marsh & Parsons. In the lettings market, increased demand has led to a burst of January activity. The number of tenancies agreed in the first two weeks of 2016 was up 44% compared to the same period in January 2015 on a like for like basis. Prime Central London in particular enjoyed solid lettings growth, as agreed tenancies surged by 91%. The central zone is expected to see faster rental activity in 2016 than it did last year, when a slowdown in corporate lettings resulted in cooler annual rental growth of 0.6%. Meanwhile, outer prime London saw steadier expansion in tenancy agreements of 23% in January 2016 year on year. One bedroom properties are the main drivers of this strong growth in lettings activity and property demand, according to the report. These smaller homes have seen the biggest rise in value of any property type in prime London over the past year, with average prices increasing 3.1% between the fourth quarter of 2014 and the same quarter of 2015, equating to a real term rise in value of £18,417. By contrast, average prime London property prices saw only a 1.7% increase over the same period, across all property types. The typical rental value of one bed lets across prime London has risen by 6% over the course of 2015 from £392 to £415 per week compared to an average of 1.9% across all property types. Within the prime central area, one bedroom lets experienced even faster growth of 7%. ‘Prime London lettings activity has seen strident start of year growth, especially in the prime central area. This can… Continue reading
Land Registry fraud line helps thousand protect their homes
The UK’s Land Registry’s fraud line has helped thousands to protect their home ownership against property fraudsters in its first three years. Nearly 3,000 calls and emails have been received as people become more aware of the risk of someone stealing their identity in order to sell or take out a mortgage on their home before disappearing with the money. ‘Since we launched our property fraud line property owners have become more aware of the risk. We urge home owners to follow our advice to reduce their risk of falling victim to property fraud,’ said Alasdair Lewis, director of Legal Services at the Land Registry. ‘Whilst no system can eradicate fraud completely, since September 2009 we have stopped 199 fraudulent applications on properties worth around £82 million,’ added Lewis. The properties most vulnerable to property fraud are usually empty, tenanted or mortgage-free. Individuals at a higher risk of fraud include owners who do not live in the property because they live abroad, buy to let landlords, people in long term hospital or residential care or where a relationship has broken down. Lewis gave an example of a recent case. Penny Hastings called Land Registry’s property fraud line after becoming suspicious that someone had fraudulently sold a property which she owned and rented out. It turned out the tenant was part of a fraud ring. Once he’d rented Penny’s house using a false identity, he and an accomplice put the house on the market. The accomplice was a lady who had changed her name to Penelope Hastings by deed poll and then secured a passport in that name. ‘The Land Registry did not register the sale as we suspected a fraud. This meant that Penny Hastings still maintains the legal ownership of the property. Unfortunately, an unwitting buyer paid £1.35 million for the property. The police are currently investigating the fraud,’ said Lewis. The property fraud line was launched in February 2013 for owners to quickly alert Land Registry if they are concerned their property might be subject to a fraudulent sale or mortgage. It forms part of Land Registry’s ongoing fraud prevention and detection techniques to safeguard people’s registered properties. Callers can speak to specially trained staff for practical guidance about what to do next. The telephone number is 0300 006 7030 and the line is open from 8.30am to 5pm Monday to Home owners can protect their property by signing up for the Land Registry’s free Property Alert service to receive an email alert when there is certain activity on the monitored property such as an application to register a new mortgage. People can then judge whether the activity is suspicious and seek further advice if necessary. Lewis pointed out that those who become an innocent victim of fraud and suffer a financial loss as a consequence may be compensated. If your property isn’t registered then no compensation is payable. There can be up to three addresses on the register including an… Continue reading
