Category: News

House prices have hit another record high, while interest rates have increased again, but there’s good news on the horizon for renters and first-time buyers. Read on for all this and more in June’s property market update.

UK house prices reach record high
House prices across the country have increased yet again, with the leading property portal, Rightmove, reporting a record high for a fifth consecutive month.

The website said that prices have increased by 0.3% in June – or £1,113 – to reach a new average of £368,614. However, this is the smallest monthly increase since January and is a likely indication that price rises could be slowing down over the second half of the year due to rising interest rates and the cost of living squeeze.

Interest rates rise again
UK interest rates have risen for the fifth consecutive time, with the Bank of England increasing the rate from 1% to 1.25%.

The latest rise has pushed interest rates to their highest level for 13 years and is more bad news for the approximately two million homeowners with variable and tracker rate mortgages.

The rise will add an extra £24 per month to a £200,000 mortgage, bringing the total increase since rates first started to rise to £114 per month.

With economists predicting a rise next year to 3%, and inflation currently running at 9%, there could be more pain on the way for homeowners.

No-fault evictions to be banned in England
New proposals set out by the government will see no-fault evictions for renters banned in England.

Under the proposals, Section 21 evictions will be outlawed, following the lead of Scotland where they’re already illegal.

The change will mean that landlords need to provide a reason for reclaiming the property, while the proposed changes will also make it illegal for landlords to discriminate against tenants in receipt of benefits, and families with children.

In positive news for tenants, it will be easier for them to keep pets, with all tenants having the right to request a pet in their house, and landlords being required to consider all requests, which they cannot unreasonably refuse.

The changes will be welcome news to the roughly 13 million private renters in England, a third of whom live with children.

Mortgage affordability rules relaxed
In some welcome news for first-time buyers, the Bank of England has announced plans to relax mortgage lending rules from 1st August.

The changes should make it easier for buyers to get a mortgage approval, as they’ll be scrapping the rule that requires borrowers to show they can afford repayments if the mortgage reverts to the lender’s higher variable rate and interest rates jump to 3%.

The rule was first introduced in 2014 following the financial crisis in 2008 to try and protect the banking system from high levels of debt. However, with interest rates not hitting the level predicted at the time, it’s been decided to relax the rules, which will mean more first-time buyers are able to get onto the property ladder.

The cheapest places to buy a home near an ‘outstanding’ school revealed
Properties close to good schools can come with a premium price tag, with some data showing that parents are paying an average of £83,000 over the odds for a property near a school deemed ‘outstanding’ by Ofsted.

In London, the cost can be even higher, with some parents forking out over £200,000 more than the market rate to be close to a good school.

For more property news and updates and a more detailed overview of the Gloucestershire area, get in touch with TG Sales & Lettings. We are your local property experts. Call us on 01452 300822 or email rachel@tgres.co.uk.

House price growth is finally starting to slow down, with some property experts predicting a crash this year. In other news, a shift in renters’ demands has been revealed by one leading property website, and fans of a popular TV series can get their hands on one of the houses used in filming.

Read on for all this and more in our May property market update.

UK House Price Growth Set to Slow 

Average UK property prices reached record highs in April, but the growth is set to slow down, according to one mortgage provider.

Major lender Halifax revealed that prices rose 1.1% in April compared with March, which was the 10th consecutive month of growing prices.

However, with the cost of living on the rise, along with an increase in interest rates, the lender is predicting a more significant slowdown in prices over the coming months, while some speculators are even predicting a property crash by the end of 2022.

Demand for properties continues to outstrip supply, which is keeping the market buoyant for now, but with household budgets being squeezed and variable mortgages affected by the Bank of England’s highest interest rates for 13 years, it’s likely that a slowdown is on the way.

Homeowners in parts of London are already noticing the difference, with average prices falling in 15 of the capital’s boroughs between February and March.

Renters Seeking More For Their Money 

According to property portal, Rightmove, demand for rental properties with bills included has seen a significant jump in the past 12 months.

The website has reported a 36% increase in enquiries from tenants for homes where the rent includes utilities, as energy costs continue to soar.

It’s also been revealed that the average monthly rental cost across the UK (excluding London) has hit £1,000, which signals an 11% annual increase.

Meanwhile, in the capital, the figure is just under £2,200 per month, which is a 14% increase from 12 months ago.

The startling figures reflect the competitive rental market at present, with Rightmove revealing that enquiries for rental properties are three times higher than the number of properties available.

The Rise of the £500k Property Market

For the first time in history, 15% of the UK is now made up of areas where average property prices exceed £500,000.

The data revealed by one leading estate agent shows that between 2019 and 2021, the number of electoral wards that fall into this bracket jumped 50%, from 874 to 1,312.

The most significant jump has occurred in the South West, where half-a-million-pound property sales have increased 167%, fuelled mainly by the race for space caused by the pandemic.

Unsurprisingly, 63% of London’s electoral wards fall into the £500k bracket, with a number of others falling just short.

Will the Housing Market Crash This Year? 

Property professionals are split as to whether there’ll be an impending crash this year, with one expert advising would-be buyers to ‘under no circumstances’, take out a large mortgage.

Former government adviser, Paul Cheshire, is predicting a nationwide price drop of at least 10%, with rising inflation and falling incomes leading to a perfect storm for the housing market. And with interest rates forecast to continue increasing, it could lead to mortgages becoming unaffordable for many buyers.

The flip side of the argument is that buyer demand currently remains strong. Put simply, there are more buyers than properties available, which continues to be good news for sellers.

Couple this with an increase in homeowners switching to fixed-rate mortgages, plus the fact that mortgage rates are still low by historical standards, and there’s every reason to be optimistic.

One thing that most experts agree on is the likelihood of a fall in prices in the coming months, but the chances of a full-on meltdown may be slimmer than many of the doom-mongers believe.

Your Chance to Own a Piece of TV Real Estate

Fans of the hit BBC drama, Killing Eve, will be excited to know that one of the properties used in filming is currently up for sale.

The six-bedroom house has appeared frequently in the most recent fourth series of the drama, as the home of psychiatrist, Martin.

It’s not the first time it’s appeared on the small screen either – hit TV shows, Fortitude and We Hunt Together have both made use of the property’s open-plan spaces too.

The house is set on a private road in the leafy London suburb of Stanmore, with an asking price of £2.75m.

You can take a peek at the property www.tgres.co.uk.

The housing boom is showing no signs of slowing down, while an ONS report has revealed the number one factor when it comes to property prices and the staggering rise in prices since the pandemic started. Read on to find out more, plus the latest news on rising rental costs.

Demand for property continues to outstrip supply

Despite several increases in interest rates in recent months, along with a sharp rise in the cost of living, demand for residential property continues to remain extremely high, with no immediate signs of a slowdown any time soon.

While Spring is traditionally the hottest time of year for the property market, there’s been no significant surge in demand so far, as the market has remained at a particularly high level.

Such demand has continued to push prices up, with Halifax reporting an average price rise of more than £28,000 in the past year, which is roughly equivalent to the average annual salary of a typical UK worker.

Many experts are predicting a slowdown in the coming months as the soaring cost of living begins to bite, but if the first quarter of 2022 is anything to go by, it won’t be a sudden drop in demand or prices.

Key factor which drives house prices revealed

A report released by the Office for National Statistics (ONS) has revealed the most important factors which drive house prices in towns across England and Wales.

Perhaps unsurprisingly, top of the list is a town’s proximity to London, or more importantly, how commutable to the capital the town is.

Second and third place by some margins was the availability of local jobs, while the fourth spot was the level of income deprivation in a town.

The distance to London as the key factor isn’t a huge surprise, given that towns within easy reach of the capital have always had a premium attached to them, however, given the events of the past two years and the significant increase in remote working, it’s surprising just how important this factor still is.

For context, the report showed that the London factor was more than twice as important as the availability of local jobs, and around 10 times more important than the level of income deprivation.

The study also showed that for every 30 miles a town is from the capital, there was a £50,000 reduction in property price, although, after 125 miles, this figure becomes irrelevant, perhaps suggesting the maximum distance commuters are willing to travel.

Two-year house price rises revealed

One major lender has revealed the increase in property prices across the past two years, and the figures make for startling reading.

According to Halifax, the average property price in the UK has increased by £43,577 since the start of the first lockdown in March 2020.

This represents an 18.2% rise, which has taken the cost of a typical home to more than £282,000, with house prices increasing at nearly twice the rate of flats for the period.

The lender’s stats show that the price of a detached house has risen by around 21%, with flats increasing by 11%, as the demand for more space has become apparent since lockdowns were first introduced due to the pandemic.

Rents reach record highs

Data revealed by the property portal, Rightmove, has revealed record high rental costs for tenants outside London.

National rents outside the capital have reached an eye-watering £1,088 per month on average as demand has continued to far outweigh supply.

Annual rental growth reached 11% over the past year – the first time on record that rents outside London have exceeded 10%.

With rental demand up by 6% and the number of rental properties available being 50% lower than at the same point 12 months ago, the rental market is the most competitive it’s ever been.

In other news…

Possibly the UK’s smallest detached house has gone on sale on the grounds of Grimston Park, Tadcaster in North Yorkshire.

From street level, the tiny Georgian gatehouse appears tiny, with the space above ground measuring just a little over 10sq ft.

However, scratch beneath the surface and you’ll find a more spacious, 306sq ft living area lurking in the basement.

The one-bedroom, Grade II listed property is for sale for £215,000.

For more property news and updates and a more detailed overview of the Gloucestershire area, get in touch with TG Sales & Lettings. We are your local property experts. Call us on 01452 300822 or email rachel@tgres.co.uk.

 

Interest rates have increased again, the government’s Homes for Ukraine scheme has launched, and one major lender has reported record annual price rises.

Read on for all this and more in our March property market update.

With the clocks going forward at the end of the month, lighter evenings and Easter just around the corner, the traditional Springtime boom could also be on its way! And none too soon as there is still a desperate shortage of housing stock.

Here are some of our predictions for what to expect next month…

Now is the time to sell

Figures recently released by leading property portal Rightmove have revealed that the UK’s average property price saw its most significant month-on-month increase for 20 years between January and February this year.

According to their stats, the average asking price of a property rose by £7,785 in the first two months of the year, as sellers have increasingly been taking advantage of a shortage of homes for sale.

The figures have also revealed the startling increase in house prices since the start of the pandemic, with average asking prices having risen nearly £40,000 in the past two years, compared with a rise of around £9,000 in the two years prior.

For homeowners who have been considering selling their property, now is a great time to bite the bullet. Spring is traditionally the best time to list, with the most active buyers on the market, and with COVID-19 restrictions now lifted and house prices expected to cool off over the next few months, it could be the last opportunity to take advantage of increased asking prices.

Nationwide reports record cash rise

The UK’s biggest building society, and one of its biggest lenders, has reported a record rise in the cost of a UK home.

According to figures released by Nationwide, the cost of a typical home rose by £29,162 in the past year – the biggest cash increase in property prices since they started collecting comparable data in 1991.

This means the average asking price across the UK reached £260,230 in February, with the increased cost of living appearing to have little effect on house prices.

The findings are bad news for first-time buyers struggling to get onto the property ladder, although with many property experts forecasting a slowdown in house prices in the coming months, there may be some respite for those looking to take their first steps.

Buy-to-let mortgages becoming more appealing for investors

Research from Mortgage Broker Tools has shown that affordability for buy-to-let mortgages is at its highest point since they started collecting data.

According to their figures, average maximum loan sizes have increased by 13% in the past year, with the average currently being a little over £421,000, which represents a £20,000 increase in the past two months.

And in further good news for potential landlords, figures released by Moneyfacts show that there are currently 2,235 mortgage products available to first-time investors – a considerable increase on the 1,311 products available at the same point 12 months ago.

Government launches Homes for Ukraine scheme

In response to the war in Ukraine, the UK government has launched the Homes for Ukraine scheme, which asks people who can, to offer a room to refugees fleeing the conflict.

You’ll need to confirm that your home is available for at least six months, and you’ll be entitled to a monthly payment of £350 for up to 12 months, although you won’t be expected to cover the cost of food and living expenses.

To register your interest in the scheme, just visit the government website.

Interest rates rise again

The Bank of England has increased interest rates for the third time in four months to try and lessen the effects of the continued cost of living increases.

The rise will directly impact around two million homeowners who have either a variable or a tracker mortgage, as they’ll see their monthly repayments increase again.

For homeowners with a £200,000 mortgage, this will mean around a £42 increase to their monthly repayments.

And Finally…

Homes for under £10k

While asking prices may have hit record highs and youngsters feel increasingly uncertain they’ll be able to get onto the property ladder, it’s certainly not all doom and gloom for would-be buyers.

A recent post by major property portal Zoopla has revealed a list of 14 properties for sale for £10,000 or less.

While some will need extensive work doing to them, and some will fetch higher at auction, it does show that there are still bargains to be had despite the significant increases in prices over the past couple of years!

For more property news and updates and a more detailed overview of the Gloucestershire area, get in touch with TG Sales & Lettings. We are your local property experts. Call us on 01452 300822 or email rachel@tgres.co.uk.

It’s great news that you have become a first-time homeowner and have got the keys to your new place, but it’s likely you may be unsure of a few things. After all, buying a home was never top of the school curriculum, was it?

So, we at TG Sales & Lettings have used our experience and knowledge to put together seven tips for first-time homeowners.

Tip Number One

Rest! We know this sounds a bit daft, but you’ve gone through the process of buying your first home and it may well all have been a bit stressful. So, give yourself a break. Time to think about how amazing it is that you have the keys and you’re now a homeowner. By doing this, you’ll give yourself time to think and to plan things like decorating.

Tip Number Two

Get to know everything. Seriously, you’re in a new house but do you know how to turn the heating on? Do you know where the stopcock is and what it actually does?

You will also want to make sure you have the best broadband connection, what day is bin day and where your water, gas and electricity meters are located!

All too often, we see people get in a muddle a little down the line not because they have done anything wrong, but because they are not sure what’s what. Take time to find things out!

Tip Number Three

Lock it up, code it right. You’ve moved to a home that you can call your own. Now is the time to change the locks and the security code for the alarm. Yes, this can seem a little negative when you’re still in the champagne-quaffing stage of being a new homeowner, but safety first!

You may not know who has a key or who used to pop by now and then or look after the property when the previous householders were out – so who might still have access?

Tip Number Four

Clean it up! Do a deep clean throughout your new home. That includes skirting boards, behind radiators, door frames and behind appliances! Once you’ve done this, it will instantly feel more like your home, and you can be reassured that everything is dirt free. Obviously, before you do this, get the kettle out and the teabags!

Tip Number Five

Home in on security. Security must be a priority, even if you live in a nice leafy area. These days many people choose to have video camera doorbells and CCTV cameras high on a wall. It’s amazing what you can do with your phones now, and soon you could be checking parcel deliveries at the touch of a button.

Ask in local Facebook groups or ask friends and colleagues for recommendations as there are different systems out there that could be useful.

Tip Number Six

Community is the buzzword at the moment, and by that we simply mean the people who live near you – your neighbours! It’s good to be sociable but think of the added benefits. Neighbours will know the local playgroups, the best pubs and restaurants, trusted traders, garages, and convenience shops, so it’s advantageous to get to know the people around you.

Tip Number Seven

This might seem dull perhaps, but make sure you sort your paperwork and filing out. You may well have lots of paperwork from your move, whether that’s directly related to the house, or associated documents like insurance or utilities paperwork. It may seem like a chore when all you want to do is enjoy your new place, but it will pay off in the long run.

When you’ve bought your first home, you want to get on and enjoy it, of course you do, but think long term!

First time buyer but not found your perfect home yet? We are always happy to help. Call us on 01452 300822 or email rachel@tgres.co.uk to chat with a member of our friendly and experienced team.

The big news for the UK property market in December is the first rise in interest rates for three years, and various lenders are predicting a less frenetic housing market in 2022 .

These are just some of the headlines this month in December’s UK property market update. Read on to find out more.

Interest rates rise for the first time in 3 years

The Bank of England has increased interest rates for the first time since August 2018 as inflation runs at its highest rate for 10 years.

For homeowners with tracker or variable mortgages, this is likely to mean an increase in their monthly repayment of around £10 to £15 on average.

Around two million homeowners will be affected, but with fixed-rate deals being a popular mortgage type, the change won’t impact all property owners immediately.

The interest rate increase has been rumoured for some months and comes in response to inflation levels reaching 5.1% which is way ahead of the Bank of England’s 2% target.

UK house price boom expected to end in 2022

One of the UK’s biggest lenders is forecasting an end to the current housing boom next year.

According to Halifax, market growth is likely to remain ‘broadly flat’ in 2022, following two years of remarkable growth.

Following increases of 6% in 2020 and 8% in 2021, the lender is predicting growth of 2% at most, with a flat market being the more likely scenario.

The main reason for this slowdown is the rise in household goods and bills, meaning a squeeze on budgets for many households.

Bank of England plans to relax mortgage affordability rules

In positive news for first-time buyers, the Bank of England has revealed its plans to make mortgages more attainable.

As part of the current criteria, would-be homeowners have to prove they could meet the repayments on their lender’s standard variable rate if interest rates increase by 3%.

However, in the early part of next year, the bank will be meeting with big-name lenders and industry experts to discuss withdrawing the outdated rule.

The rule was one of many affordability rules introduced in 2014 following the 2008 financial crisis. Its aim primarily was to ensure that any sharp rise in interest rates wouldn’t result in homeowners being unable to afford their mortgages.

However, at that time, interest rates were forecast to increase to 2.25% over the next five years. Currently, interest rates stand at just 0.25%, and the latest forecasts indicate that any rise in interest rates is likely to be much slower than in previous years.

If the planned rule change does come in, it’s likely to be a big boost for first-time buyers, many of whom wouldn’t meet the affordability criteria under the current rules.

Survey reveals just how much parents are willing to help their children get on to the property ladder!

A study by property portal Zoopla has revealed some of the eye-watering figures that parents are willing to gift their children to help them take their first steps on the property ladder.

According to the study, the average amount forked out by parents to help their kids with a deposit is £32,440, while 14% of the parents polled have given them upwards of £50,000.

The findings also revealed that an incredible 64% of parents with grown-up children who are homeowners, gave them at least some money towards their deposit.

And it doesn’t stop once the kids have fled the nest either! The results also showed that 36% of parents have helped with their offspring’s rent or mortgage payments at some point.

Council finds unique way to solve housing crisis

One council has come up with a novel way of solving the housing crisis in its area.

West Devon Borough Council is offering money to tenants who downsize, as part of its efforts to tackle a shortage of affordable family housing.

Anyone with a council rented property who moves to a smaller home will be given a £1,000 fixed payment, plus £500 per bedroom they release.

So, a couple who downsize from a three-bedroom house to a one-bedroom flat, for example, would receive a payment of £2,000. The council also confirmed that in some cases, the payment could be as high as £5,000 on a discretionary basis, where housing stock is particularly pressurised.

Devon County Council’s leader has spoken openly about a housing crisis in the county, due to rising house prices and a lack of rental properties, and it’s hoped the new scheme will go some way towards combating the issue.

TG Sales & Lettings are your local property experts for the Gloucestershire area. Call us on 01452 300822 or email rachel@tgres.co.uk to find out how we can help you buy a new home or sell your property.

Interest rates have increased again for the second time in quick succession, and a quiet Wiltshire town has leapt up the property hotspot list! In good news for tenants, the government has announced new reforms to protect renters. Read on for all this and more.

What can sellers entering the market in March 2022 expect?

With all COVID-19 restrictions being lifted by the end of March (if not sooner), and spring just around the corner – which is traditionally a hot time of year for the property market – here are some of our predictions for what to expect next month…

House price growth set to slow

After a strong start to the year, house prices are forecast to stabilise over the coming months.

The UK’s biggest building society, Nationwide, reported a sixth consecutive monthly increase in January, with prices rising 0.8% on the previous month and 11.2% annually.

Competitor Halifax also announced increases of 0.3% from the previous month and 9.7% annually.

However, despite these consistent increases over the past 12 months, both lenders have predicted a cooling of the housing market in 2022, with the cost of living increases and limited supplies of new housing stock coming onto the market being cited as major factors.

Movers and Shakers

Corsham named as a top property hotspot

The picturesque country market town of Corsham in Wiltshire has been named as the UK’s newest property hotspot.

The town might not be instantly familiar by name, but TV fans will recognise it, as it’s appeared in numerous period dramas, from Poldark to Lark Rise to Candleford and Tess of the D’Urbervilles.

And with demand for more open spaces and work from home offices remaining strong, the town on the edge of the Cotswolds is seeing a big increase in buyer activity.

Figures released by major property portal Rightmove show an increase in buyer demand of 124% compared with 12 months ago. Average prices have inevitably increased too, with a jump of 6% year on year.

The majority of buyers are Londoners seeking more bang for their buck, and with average prices in the town of a little under £330,000, it’s no surprise that it’s attracting many out-of-towners.

First-Time Buyer News

Affordability issues reach record highs

One of the UK’s biggest lenders, Nationwide, has announced some startling figures which affect first-time buyers’ affordability.

While it’s widely known that house price growth has outgrown wage growth, the building society has laid bare just how much price increases have outpaced wages since the pandemic began.

Their figures reveal that a 10% deposit on a first home is now equivalent to 56% of total gross annual earnings, which is a new record high.

Buy-to-Let News

Section 21 to be abolished

In a move that will protect renters, the Government has announced plans to abolish Section 21, which allows landlords to evict tenants without any reason.

The plans are part of the Government’s Levelling Up White Paper, which is aiming to help poorer communities become more prosperous.

Other changes that are planned include ensuring that privately rented properties meet minimum standards, and the introduction of a landlords register, with an aim to crack down on rogue landlords.

Latest news for Landlords

Almost 1/3 of tenants admit to keeping hidden pets!

A recent survey has found that 27% of tenants have admitted to hiding pets from oblivious landlords for more than three years.

The most commonly hidden pets are birds and rabbits, while somewhat surprisingly, horses are in third place! We’re not sure entirely how you hide a horse – suggestions on a postcard, please!

The number one way to avoid landlords discovering pets during an inspection was to take them out for a walk, which was followed closely by asking friends to look after them, and then asking a neighbour to keep hold of them during inspections.

The study also revealed that the most pet-friendly landlords are in Norwich, with the least friendly being in Edinburgh.

Mortgage News

Interest rate increase for the second time in three months

The Bank of England has announced an increase in its base interest rate from 0.25% to 0.5% – the second increase in just three months.

The increase will mean a rise in monthly mortgage repayments for around two million homeowners with variable-rate mortgages and will add around £24 per month to a £200,000 mortgage.

The rise comes hot on the heels of Ofgem’s announcement that energy bills will increase by 54% this year, as millions of households face a squeeze on the cost of living.

And Finally…

A home with a rather unusual feature in the front garden made headlines on social media recently.

The 2-bedroom bungalow in leafy Nursling, Hampshire, has a spacious back garden with views across lush green fields, but it’s the enormous telephone pylon in the front garden that really caused it to go viral.

You can check it out here, but hurry – the property’s already sold, subject to contract.

TG Sales & Lettings are your local property experts for the Gloucestershire area. Call us on 01452 300822 or email rachel@tgres.co.uk to find out how we can help you buy a new home or sell your property.

The UK property market has seen a drop in sales, but prices continue to rise. Meanwhile, the happiest place to live in Britain has been named in a survey, and one mortgage lender has launched an extraordinary new fixed-term product.

These are just some of the headlines this month in November’s UK property market update. Read on to find out more.

House Sales Fall 52% In One Month, But Prices Continue To Rise

Figures released by HMRC have shown a significant 52% drop in property transactions across the UK for October, following the end of the government’s stamp duty holiday.

There were just under 77,000 transactions completed as buyers rushed to get their purchases completed before the 30th September. This made it the slowest October since 2012 and signalled a 28% drop in transactions from the same month last year.

Despite the slowdown in sales, prices continued to rise across the UK, with Halifax reporting a 0.9% increase in average property prices, which was the fourth consecutive month they’ve risen. Their data also confirms that the average property price in the UK has crept above £270,000 for the first time, while fellow lender Nationwide also reported an increase of 0.7% on the average price.

40-Year Fixed Rate Mortgage Launched

In a very rare move, one lender has recently launched a fixed-rate mortgage for up to 40 years.

Specialist lender Kensington Mortgages has taken the highly unusual step as they seek to capitalise on growing uncertainty among buyers and homeowners who are anticipating an increase in interest rates.

Although some lenders already offer a 10-year fixed term mortgage, Kensington’s new deal will allow borrowers to sign up for anything from 11 to 40 years.

The interest rate will vary depending on the size of your deposit and the length of the mortgage term, but for those fixing between 36 and 40 years, the rate currently starts at 3.34%.

The Bank of England’s interest rate is currently at a record low of 0.1%, but an increase is expected in the coming months, which will make the prospect of a 40-year fixed term deal attractive to many homeowners.

Rent Increases Hit 13-Year High In Major Cities

Increased demand for rental properties in major cities across the UK has led to the cost of rent reaching its highest point for 13 years.

Some cities have seen demand double in their central zones, squeezing would-be renters out of town and forcing prices up.

According to leading property portal, Zoopla, average rents across the UK have risen by 6% in the past 12 months, with the South West seeing a 9% increase as demand for properties has continued to outstrip supply.

It’s a similar picture across the UK, with only London failing to see the same kind of increases, although prices have still risen 1.6% in the year to September, but they’re 5% lower than they were pre-pandemic.

Britain’s Home-Selling Hotspots Revealed

Research from leading property website Rightmove has revealed the country’s 6 top hotspots for sellers.

Grays in Essex and Mangotsfield, Bristol share the number one spot, with 84% of the homes listed for sale on the website already sold subject to contract.

Following closely behind, Eastleigh in Hampshire and Redditch in Worcestershire both have 83% of properties sold subject to contract, while Yeovil in Somerset and Hythe in Kent complete the top 6, with 82% of properties sold STC.

Perhaps rather tellingly, none of the top 6 are city-centre locations as an increase in remote working since the pandemic has led to employees having more options when it comes to where they live, and buyers are increasingly looking for more bang for their buck.

Britain’s Happiest Place To Live Revealed

Leading property portal Rightmove has released the results of their annual ‘Happy at Home Index’, which reveals that Hexham is the happiest place to live in Britain.

The market town in Northumberland scored highest overall based on factors like the friendliness of neighbours, its sense of belonging, the quality of local amenities, and the availability of open space.

It’s a return to the top spot for the North East town, which was also number 1 in 2019’s survey.

Richmond upon Thames was the happiest place to live in London for the 7th year in a row. The affluent borough in the southwest of the capital, where average house prices are just under £1.2m, came second overall in the standings.

Harrogate in Yorkshire rounded off the top 3, while 2020’s winner, St Ives in Cornwall came 8th.

TG Sales & Lettings are your local property experts for the Gloucestershire area. Call us on 01452 300822 or email rachel@tgres.co.uk to find out how we can help you buy a new home or sell your property.

Welcome to our round-up of some of the property news stories that have caught our eye this past month.

Don’t forget, if you need to know about property in Gloucestershire we’re more than happy to help.

Call us on 01452 300822 or email us at rachel@tgres.co.uk

Prices Remain Strong

The average price of a house is still on the up, according to analysis of the figures by Halifax.

Looking at all the stats, the bank noted that through September the average UK property price is now priced at a record £267,587. What’s more, annual house price inflation is up to 7.4 per cent, from 7.2 per cent.

This is interesting because the Stamp Duty deadlines have passed, and so it is good to see prices still buoyed.

The slight fly in the ointment might be the fact that the Bank of England figures show the number of mortgages approved to finance house purchases fell in August 2021 by one per cent.

Perhaps there is a slight softening of the market overall.

Here in Gloucestershire, we are still selling properties for, or above, the asking price. What’s more, it is only taking days for some properties to sell, and just hours for properties to rent out.

If you’ve been thinking about doing something with your property, now is still a good time.

Overall though, supply is still down.

An ongoing issue in the property market has been further highlighted in a report that looks at key trends in the sector.

Landmark Information Group’s Property Trends Report shows that for a fifth consecutive month, there has been a low number of properties coming to the market. Demand, as they say, is outstripping supply.

There could be a number of reasons for this, but we would say that if you really want to sell, get your property on the market now. There will be interested parties lining up to look around and any one of those could be a potential buyer.

Negotiating Confidence

Around 64 per cent of UK homebuyers and renters say they feel confident negotiating over property prices, reports PropertyWire. But six in 10 admit “the biggest challenge is timing and knowing when to negotiate”.

It’s an interesting one. On the one hand, people say they are confident but actually, they don’t really know when to negotiate.

It’s what one might call a paradox. But, there’s a way through. Use an estate agent who can use their knowledge and expertise to negotiate at the right time.

We can do that for you! We know the Gloucestershire inside out and so are able to take action when we need to.

Going Green Paying Off

Have you installed eco-friendly systems in your home? If you haven’t, you could be missing out.

This has been written about by many, including Property Reporter, which says that property website Rightmove has looked at house prices and Energy Performance Certificates.

It’s been reported that people who have “upgraded their rating from an F to a C, are adding an average of 16% to the price achieved for their home”.

That’s a huge jump, but before you do anything, have a look at the costs involved and the efficiencies made. You’ve got to make sure the figures work for you. If you need any advice on this, give us a call on 01452 300822.

TG Sales & Lettings are your local property experts for the Gloucestershire area. Call us on 01452 300822 or email rachel@tgres.co.uk to find out how we can help you buy a new home or sell your property.

The UK property market appears to be stabilising after a frantic 15 months, and the stamp duty holiday is finally coming to an end this month.

Read on to find out more, with some of September’s key headlines:

Stamp Duty Holiday To End

The tax holiday on stamp duty will finally draw to a close at the end of September in England and Northern Ireland after 15 months.

The scheme was introduced by Chancellor Rishi Sunak in July 2020 to stimulate the housing market following the first national lockdown and is widely considered to have been a great success.

House prices have rocketed, and demand has soared thanks to the tax break, which meant savings of up to £15,000 for buyers.

Initially, the holiday allowed buyers to avoid stamp duty on properties up to £500,000. This was then lowered to £250,000 earlier this year, and from 1st October it will be axed completely, with stamp duty payable on all properties over £125,000 as the UK economy continues to bounce back post-pandemic.

Rents Outside London Rising At Fastest Rate For 13 Years

Leading property website Zoopla has reported a significant rise in rental prices across the UK, with prices increasing at their highest rate since 2008.

Their data indicates that rental prices have risen by 5% on average in the 12 months to the end of July, meaning renters are forking out an extra £456 a year on average.

The trend doesn’t apply to London though, with average rental prices in the capital actually falling 3.8% as renters moved away from the city during the peak of the pandemic.

Government To Spend £8.6bn on 119,000 Affordable Homes

The UK government has announced a new funding package to help thousands of people get on to the property ladder.

Approximately 119,000 new homes are to be built, with 57,000 available to buy, and just under 30,000 available for social rent.

The scheme has been confirmed in response to the growing trend of demand outstripping supply, which has pushed prices up to unaffordable levels for many would-be buyers, as the government looks to redress the balance.

Top 5 Hotspots For Sellers Revealed

A study by leading property website Rightmove has revealed the top five property hotspots for sellers.

With demand for homes far outweighing supply, some towns across the UK have become hotspots, with more buyers on the market than at any time in the past 10 years.

Newmarket in Suffolk tops the hotspot list. The market town that’s synonymous with horse racing has seen the number of homes available for sale drop by 49% in the past year, while the number of sales being agreed has gone up 79%. As a result, asking prices have seen a 9% increase since 2019, with average prices now sitting at £320,000.

It’s a similar story in the Hertfordshire town of Berkhamsted. The commuter town has seen a 57% drop in the number of properties for sale, with a 59% increase in properties sold. Similarly, prices have increased by 9% since 2019, with the average property now costing a shade over £694,000.

The rest of the top five is completed by Witney in Oxfordshire, High Wycombe in Buckinghamshire, and St Ives in Cambridgeshire.

Perhaps tellingly, all five hotspots are peaceful, countryside locations away from the city centres.

Pet-Friendly Rental Homes Increase In Demand

A report from national property portal Rightmove has revealed a huge increase in demand for rental properties that accept pets.

It’s estimated that over a third of UK households have become pet owners since the first lockdown in March 2020, as furloughed employees and those who are new to working from home picked up pets to keep them company while spending more time indoors.

As a result, demand for pet-friendly rental properties has increased by a whopping 120%, with ‘pet-friendly’ and ‘pets allowed’ being the top searches for renters.

And in a sign of the changing demands of renters, and especially those with four-legged friends to consider, the next two most popular searches are for balconies and gardens, where demand is up 70% and 39% respectively.

Best Value Homes Revealed

Property portal Zoopla has revealed the findings of a study that shows where buyers can get the most floor space for their money, and it makes for very interesting reading.

Unsurprisingly, London is the least budget-friendly, with homes costing £562 per square foot on average, in stark contrast to the North East, which is the cheapest region at £157 per square foot.

In terms of towns, Burnley is the best value place in the UK at £123 per square foot, however, perhaps the most surprising finding in the report is the cost in Kensington and Chelsea, West London. The average cost there is £1,491 per square foot, which means the floor space required for a double bed would set you back an astronomical £46,550!

For more property news and updates and a more detailed overview of the Gloucestershire area, get in touch with TG Sales & Lettings. We are your local property experts. Call us on 01452 300822 or email rachel@tgres.co.uk.