TSI
Research shows most people who move home find it stressful and costly
The majority of people who moved home in the UK recently found it a stressful experience and two fifth paid out £5,000 more than they expected, new research has found. Some 86% were stressed and 46% felt they were not in control while 39% said the cost was more than anticipated, according to the study by finance comparison website MoneySuperMarket. It also found that 19% said that moving home has forced led them to compromise their career and 20% found it had caused arguments with their partner. Those who bought their home paid over £6,000 more than expected, while renters overpaid more than £3,000 each. To foot the extra cost, 63% dipped into savings, a further 16% put it on credit Cards and 11% had to rely on their parents. Some 71% said that packing up belongings in their old home was the most stressful part of moving, 62% said it was finding a property within the right price range while 57% said it was getting the location right. The research also found that 56% found dealing with estate agents was the most stressful part of the process while 57% said it was setting up new utilities contracts and 56% said it was unpacking in their new home. Some 20% said that they unable to concentrate on their job and 19% had to take annual leave just to get things sorted. In addition, 17% had to use work time to complete their paperwork. ‘Whether for the first time, or stepping up the ladder, moving home is a momentous life choice for people to make. There is so much to consider, both before, and after keys are handed over, and as it takes an average of six months just to find a property, it’s understandably stressful and has a knock on effect in all aspects of people’s lives,’ said Dan Plant, consumer expert at MoneySuperMarket. ‘It should be a really exciting time, but unfortunately the most common words people associate with moving are tiring, draining and frustrating. But moving house doesn’t have to be a completely arduous process. Being as prepared as possible will help ease the angst,’ he explained. ‘It’s important to consider all costs involved so you aren’t hit with an unexpected bill at any point from the mortgage, surveys and stamp duty, to removal hire and any other necessary additions to the new house. Simple steps such as creating a checklist and timeline will also alleviate the extra pressure on your relationships, job and health,’ he added. Although moving house is an upheaval, recent movers did feel supported by others during the process. Some 69% said partners offered support, 67% got support from friends and 57% from family. Furthermore, despite the introduction of more stringent lending rules last year, only 34% found dealing with mortgage lenders stressful. Ultimately, almost all, 92% of those who have moved house in the last two years said it was worth the hassle and just 8% said it… Continue reading
Office market in Saudi Arabia flat as new completions offset higher demand
Annual office take up in key Saudi Arabian cities is continuing to rise but higher demand is offset by new office completions, according to the latest report into the country’s commercial property market. In Riyadh and Jeddah in the 12 months to June 2015 this resulted in vacancy rates remaining broadly stable over the same period and rents were also unchanged in the two cities. The analysis from international real estate firm Knight Frank also shows that in the first half of 2015 Grade A and B office rental values in the capital stood at SAR1,300 and SAR900 per square metre per annum, respectively. Meanwhile, Grade A at SAR1,200 per square metre per annum and Grade B at SAR700 per square metre per annum rents in Jeddah were also flat. In Eastern Province, demand for office space was flat in the 12 months to June 2015 and the report points out that there is little to indicate that demand will rise in the near term, suggesting that the completion of new office projects will exert upward pressure on vacancy rates. However, with landlords in the market largely insensitive to changing supply demand dynamics, it is suggests it is difficult to see rents budging from their current levels of SAR1,050 for Grade A offices and SAR700 for Grade B offices. The report says that the current supply of Grade A and Grade B office stock in Riyadh stands at 3.5 million square meters, the majority of which is concentrated in the central and northern parts of the city. ‘Due to current dynamics we do not expect the market as a whole to see increased vacancy rates or a reduction in achievable rental rates as demand for quality commercial spaces that are well located and benefit from good floor plates will remain strong in the short to medium term,’ it adds. Supply of office space in Jeddah currently stands at 820,000 square meters with over 100,000 square meters of office supply due to be added to the market in the short term. As a result of construction delays, the first half of the year saw few completions which resulted in market wide vacancy rates remaining stable at 10%. Total stock is expected to exceed 1 million square meters in the medium term as new supply comes online and the report says that the second half of the year will see additional supply coming from a number of small to medium sized projects. ‘Due to the historic lack of Grade A stock in the market, we see robust demand for good quality offerings in the short to medium term as tenants look to upgrade to better quality premises and the non-oil economy continues to show healthy growth,’ the report adds. Whilst the Eastern Province does not benefit from a well-defined CBD, supply looks set to grow with a number of projects under construction due to be released to the market between the fourth quarter of… Continue reading
Private rental prices in the UK up 2.5% year on year
Private rental prices paid by tenants in Britain increased by 2.5% in the 12 months to June 2015, according to the latest data from the Office of National Statistics. There were regional variations and a breakdown of the figures shows that rental prices grew by 2.5% in England, 2.1% in Scotland and 0.8% in Wales. Rental prices increased in all the English regions over the year to June 2015, with rental prices increasing the most in London at 3.8%, followed by the East at 2.6% and the South East at 2.5%. Since the beginning of 2012, English rental prices have shown annual increases ranging between 1.4% and 3.0% year on year. Excluding London, England showed an increase of 1.7% for the same period. It is the biggest annual increase in average rents since January 2013 and according to Steve Bolton, founder of Platinum Property Partners, it is due to a shortage of suitable properties, coupled with strong consumer demand. He explained that demand for rental properties is coming from people priced out of the housing market and those who find renting better suits their lifestyle and this has set rental prices on an upwards trajectory. ‘This rise in rents isn’t likely to slow down any time soon, particularly as landlords now face a number of increasing costs. The prospect of an interest rate rise, together with the cap on mortgage interest tax relief introduced in the Budget, could pressure some landlords to increase their rents as they look to regain some of their profits,’ said Bolton. ‘While growing wage packets mean some tenants will be able to cope with higher rents, landlords should be focussing on revisiting their strategy rather than passing their costs directly on to tenants,’ he pointed out. Continue reading
