Tag Archives: real estate
Only a few weeks until Right to Rent checks apply across England
Residential property landlords in England are being reminded that there is less than a month to go before right to rent rules come into force regarding checking the background of new tenants. The new law means that from 01 February landlords with property in England will have to carry out checks to ensure potential tenants have the right to rent property in the UK. Already they can start to carry out right to rent checks as these can be done from 28 days before the start of a tenancy agreement. ‘Many responsible landlords have already been undertaking similar checks and these are straightforward and do not require any specialist knowledge,’ said Immigration Minister James Brokenshire. He explained that the Right to Rent rule is part of the government’s wider reforms to the immigration system to make it stronger, fairer and more effective. ‘Those with a legitimate right to be here will be able to prove this easily and will not be adversely affected. The scheme is about deterring those without the right to live, work or study in the UK from staying here indefinitely,’ he pointed out. Right to Rent was first introduced in parts of the West Midlands in December 2014 and the extension to England is the next phase of a UK wide roll out. Landlords, and anyone who sublets or takes in lodgers, could face a financial penalty of up to £3,000 per tenant if they are found to be letting property to someone who has no right to stay in the UK. Stephen Gabriel, strategic manager for homes and communities from Sandwell Council, explained that research done as part of the pilot found that many landlords felt carrying out checks was good practice, and that the new system was simple and easy to follow. There is an online checking tool available on GOV.UK which landlords can use to guide them through the process, and also to request a check on anyone who has an outstanding case with the Home Office. Right to rent checks should be carried out on all adult tenants for new tenancy agreements in England from 01 February 2016. The scheme is backed up by codes of practice which include guidance on avoiding unlawful discrimination drawn up with the assistance of the Equality and Human Rights Commission. Continue reading
UK buyers taking longer to make up their minds than a year ago
Property buyers in the UK are taking longer to make up their mind about a home with many taking a second or even a third viewing before making an offer, new research has found. On average it now takes 53 minutes of viewing a property, up from 38 minutes a year ago, according to the research from online estate agent eMoov. Indeed, just 6% make an offer after the first viewing. The majority of buyers, 53%, return for a second viewing, with a further 41% feeling the need to view a property more than twice. Buyers in London are more likely to seek a third viewing. The research also suggests that buyers undertake a considerable amount of research before they view a property. Some 67% read the full property description before arranging to view and 59% look at other properties listed in the area. It also found that 56% check out the road where the property is on Google street view, 53% take a detailed look at the floor plan and room sizes, 49% research the local amenities, 44% research the historic value of a property or surrounding properties and 25% check out schools. ‘UK buyers are taking that extra bit of time viewing a property, before submitting an offer. Although demand is still high in a number of areas, particularly London and the surrounding areas, the market isn’t quite as competitive as it has been in previous years, so many potential buyers are opting for a second or third viewing before committing to a property,’ said the firm’s chief executive officer Russell Quirk. ‘It makes sense given the enormity of such a decision and with buyers not feeling as pressured, there is no need to rush to submit an offer and secure a property after the first viewing,’ he added. But he pointed out that the data shows that there are still those 6% of buyers that will view a property for less than 10 minutes, before deciding to buy it. ‘This still amazes me but highlights the speed the market can move at, in the areas where demand is still outstripping supply,’ said Quirk. Continue reading
US property sales set to grow at a more moderate pace in 2016
Following the housing market’s best year in nearly a decade, existing home sales in the United States are forecasted to expand in 2016 at a more moderate pace. Pent-up buyer demand is expected to combat affordability pressures and meagre economic growth, according to the latest monthly report from the National Association of Realtors. Indeed, Lawrence Yun, NAR chief economist believes that demand, sustained job growth and improving inventory conditions are the main reasons for an expected gain from 2015 in new and existing home sales. Despite his forecasted increase in sales, Yun cites rising mortgage rates, home prices still outpacing wages and shaky global economic conditions as headwinds that will likely hold back a stronger pace of sales. ‘This year the housing market may only squeak out 1% to 3% growth in sales because of slower economic expansion and rising mortgage rates. The continued rise in home prices will occur due to the fact that we will again encounter housing shortages in many markets because of the cumulative effect of homebuilders under producing for multiple years. Once the spring buying season begins, we'll begin to feel that again,’ Yun explained. With one month of data remaining for 2015, Yun expects total existing homes sales to finish the year up 6.55 from 2014 at a pace of around 5.26 million, the highest since 2006, but roughly 25% below the prior peak set in 2005 of 7.08 million. The national median existing home price for all of 2015 will be close to $221,200, up around 6% from 2014. In 2016, existing sales are expected to grow between 1% and 2%, 5.3 to 5.4 million and prices between 5% and 6%. Continue reading
