Tag Archives: sales

Prime central London rental market see increased demand

Interest in the prime central London rental market has intensified in recent months as buyers become cautious prior to the election, and regulations surrounding mortgage lending take hold, a new report suggests. The proportion of those living in private rented accommodation has risen in recent years and this is partly a reflection on affordability, with rents increasing by just 1.4% when the effects of inflation are removed, according to the analysis from Kay & Co. It found that Bayswater and Marylebone offer family homes at significantly lower prices than other prime London locations and says that a family living in these areas could save over £44,000 a year on a 2,500 square foot home. Overall the prime central London lettings market experienced a relatively strong year in 2014. Annual growth in average rents returned to positive territory, recording the highest increase in rental values since 2010. However, the level of demand for rental properties was more subdued than in 2013 but there was certainly more interest in the latter half of the year. This could have been a result of households who were in the market to purchase a home awaiting the outcome of the general election and lenders becoming more cautious, the report explains. Weekly rents achieved averaged £882 per week across prime central London in 2014, an annual rise of 7% and, compared to the 2008 peak in the sales market, average weekly rents were 11.9% higher in 2014. The average weekly rent in the fourth quarter of 2014 had risen to £904 per week for prime central London. In comparison, the neighbourhoods of Bayswater and Marylebone offer more affordable rental stock within prime central London, with weekly rents in 2014 averaging £676 and £789 per week respectively. The performance of the lettings market in prime central London, including Bayswater and Marylebone, vastly outperformed Greater London as a whole in 2014. Average rental values across the capital registered 2.4% growth over the year based on the revised index of private housing rental prices by the Office of National Statistics. A breakdown of performance by property type in 2014 shows that flats performed better than houses across prime central London in 2014 in terms of rental growth. Average weekly rents for flats increased by 7.8%, compared to 5% for houses. The number of properties let in prime central London fell by 5.4% in 2014 compared to the previous year. A quarterly breakdown, however, reveals that it was the start of the year that saw considerable reductions in the volumes of properties let and this became less severe as the year progressed. By the fourth quarter of 2014, the annual change in the number of lets had increased by 6.7%. This coincided with increased uncertainty regarding the outlook for capital values in the prime central London sales market. There was also a simultaneous and continuous increase in average rents achieved each quarter in… Continue reading

Posted on by tsiadmin | Posted in Investment, investments, London, News, Property, Real Estate, Shows, Taylor Scott International, TSI, Uk | Tagged , , , , , , , , | Leave a comment

New Zealand sees highest volume of house sales for month of March since 2007

Residential property sales in New Zealand in March were up 27.6% in March and 20.3% compared to a year ago, according to the latest index from the Real Estate Institute of New Zealand. This the highest March sales volume since 2007 and prices are also going upwards with the national median price for March $475,000, an increase of $35,000 or 8% compared to March 2014 and an increase of $45,000 or 10.5% from February. However, it is clear that a strong market in Auckland is leading the growth. Excluding the impact of the Auckland region, the national median price was flat compared to February at $350,000 and $5,000 or 1.4% higher compared to March 2014. ‘March is the strongest sales month of the year, with almost 1,400 more sales than for any of the past 12 months. While the increase in the number of sales is more or less spread across the country, the movement in the national median price is almost entirely an Auckland effect,’ said REINZ chief executive Colleen Milne. ‘Auckland has posted a record number of auction sales in March, with almost one in two sales by auction. Our data shows that on a suburb by suburb basis auctions sell for a premium compared to other sales,’ she pointed out. ‘We also see in the data a noticeable spike in the number of sales over $1 million in Auckland. These two effects explain, at least in part, the jump in the national median and Auckland median prices for March, although the underlying demand pressures remain and supply continues to be restrained by low numbers of new listings,’ she explained. ‘Across the rest of the country, sales volumes and median prices are far better balanced, with a number of regions reporting good sales numbers, good listings and plenty of activity. The national median price, excluding Auckland, has remained at $350,000 for the past two months, indicating that supply and demand are far more balanced outside of Auckland,’ she added. All regions apart from Central Otago Lakes recorded an increase in sales volume compared to February, with Auckland recording the largest of 56%, followed by Taranaki with 50% and Southland with 39%. In comparison with March 2014, all regions recorded increases in sales volume, with Waikato/Bay of Plenty recording the largest, of 41%, followed by Central Otago Lakes with 27% and Hawkes Bay and Manawatu/Wanganui with 23% each. Central Otago Lakes recorded the largest percentage increase in median price compared to March 2014, at 21%, followed by Auckland at 13.0% and Taranaki at 11%. Compared to February, Central Otago Lakes recorded the largest percentage increase from February, at 13%, followed by Auckland at 7% and Canterbury/Westland at 3%. The REINZ Stratified Housing Price Index, which adjusts for some of the variations in the mix that can affect the median price, is 9.5% higher than in March 2014, at 4,340.9. The Auckland Index rose 20% compared to March 2014, the Christchurch Index 5% and… Continue reading

Posted on by tsiadmin | Posted in Investment, investments, News, Property, Real Estate, Shows, Taylor Scott International, TSI, Uk | Tagged , , , , , , , , , | Leave a comment

US holiday home sales soared in 2014, annual report shows

Holiday home sales in the United States soared 57.4% in 2014 to above their most recent peak level in 2006, while investment purchases fell for the fourth straight year, new data shows. The annual survey by the National Association of Realtors reveals that holiday home sales increased to an estimated 1.13 million last year, the highest amount since NAR began the survey in 2003. Investment home sales in 2014 decreased 7.4% to an estimated 1.02 million from 1.10 million in 2013. Owner occupied purchases fell 12.8% to 3.23 million last year from 3.7 million in 2013. Lawrence Yun, NAR chief economist, described the holiday sales market as having seen astonishing growth, nearly doubling the combined total of the previous two years. ‘Affluent households have greatly benefited from strong growth in the stock market in recent years, and the steady rise in home prices has likely given them reassurance that real estate remains an attractive long-term investment,’ he said. ‘Furthermore, last year’s impressive increase also reflects long term growth in the numbers of baby boomers moving closer to retirement and buying second homes to convert into their primary home in a few years,’ he added. Overall holiday home sales accounted for 21% of all transactions in 2014, their highest market share since the survey was first conducted. The portion of investment sales fell to 19% compared to 20% in 2013 and owner occupied purchases declined to 60% from 67% in 2013. ‘Despite strong rental demand in many markets, investment property sales have declined four consecutive years to their lowest share since 2010 as rising home prices and fewer distressed properties coming onto the market have further reduced the number of bargains available to turn into profitable rentals,’ said Yun. The median sales price of both holiday and investment homes declined in 2014. The median holiday home price was $150,000, down 11.1% from $168,700 in 2013. The median investment home sales price was $125,000, down 3.8% from $130,000 a year ago. According to Yun, the decrease in vacation and investment sales prices is likely due to the increase in holiday and investment buyers purchasing condos and townhouses, which contributed to a decline in the median size of 200 square feet for both. Additionally, the rise in holiday home buyers purchasing distressed properties and buying in the South, where home prices are often lower, contributed to the overall decline in the sales price of vacation homes. The share of holiday home buyers who paid in cash fell to 30% from 38% in 2013. Investment buyers who paid in cash decreased to 41% from 46% a year ago. Of buyers who financed their purchase with a mortgage, nearly half, 48%, of holiday home buyers and 41% of investment buyers financed less than 70% of the purchase price. The data also shows that 45% holiday homes and 44% of investment homes purchased in 2014 were distressed properties, either… Continue reading

Posted on by tsiadmin | Posted in Investment, investments, London, News, Property, Real Estate, Shows, Taylor Scott International, TSI, Uk | Tagged , , , , , , , , | Leave a comment