February Newsletter

03 March 2023Swiftogeddon - The Taylor Swift Club Night

Swiftogeddon is a night dedicated to worshipping at the altar of Taylor Swift.

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Rental market update for 2023

In many ways, the rental market has never been better. The industry is becoming more regulated, and more people are renting for longer due to the cost-of-living crisis. 2023 signifies a long future of what is becoming a much better relationship between landlords and tenants, with tenants enjoying more rights and becoming better protected with proposed changes such as the renter's reform bill.

You get what you pay and there is a strong case to be made that while costs are going up so is quality. Many people would rather pay a bit more and enjoy the peace of mind that comes with better contractual legislative agreements, and protection, more energy-efficient homes and better standards of property.

Higher standards

Over the years the standard of rented properties has improved massively. With some tenants choosing to invest in life experiences and quality of life over bricks and mortar. Life is an adventure and as the UK adopts a more European approach to renting, landlords invest more and more in providing great places to live. Modern refurbed houses, flats and apartments offer new energy-efficient appliances, integrated with technology so tenants can work from home.

The rental supply may improve

While demand for rented property is still strong this year there may be a small increase in the supply of rentals as some existing landlords sell up. Others will take the opportunity to evolve their property portfolios. The increase in supply will not be significant though. Many developers are completing projects this year; creating great living spaces, means some exciting new rentals are entering the market.

Renters are likely to house share

The rental market this year is seeing and will continue to see more house shares. Becoming more popular with young professionals in what was typically student-dominated areas not to mention suburbs. This is good news for tenants and landlords. Landlords spread the risk and don’t have to rely on one tenant while getting a good return. Tenants get a great place to live with all the facilities of a family home with a vibrant social scene without the sole responsibility of paying the rent.

Increase in demand for more compact properties

There’s also more demand for smaller more efficient homes such as one-and two-bedroom flats. Modern, clean and low maintenance is a more appealing way to live while you save to get a foot on the property ladder. Affordability is a big factor for tenants, some now renting a house, may decide to downsize to a flat. The appeal here is also lower running costs, heating and energy bills are generally more affordable in more compact properties.

Summary

Looking into the future is like looking into a crystal ball. That said one thing is certain when it comes to property markets the rental market is the most stable and most predictable with demand still soaring.

Looking for the perfect place to rent? Perhaps you are a landlord seeking new opportunities. Get in touch.

Fall in love with your home this February

It’s important to love your home. Like any relationship, it shouldn’t be one-sided! The more love you show your home the more it will be reciprocated. Perhaps when you first laid eyes on your home it was love at first sight. As time has gone on things have become more complicated. You have discovered more things that need attention and work. The thought of addressing these things can be exhausting when you are struggling to find the time in your busy life. You have even forgiven yourself for thinking of moving on!

Or perhaps you are obsessed with your home, and you spend a lot of your time thinking about how you can improve it. You love the natural character of your property and have done so much already to improve it that you simply need some inspiration.

The little things you can do

Show your home you care by cleaning and keeping it in tip-top shape. A fresh coat of paint, new lamp shades, and some more collectables or accessories for the kitchen. Candles, flowers, plants, paintings, pictures and perhaps most importantly trying something new. To keep things fresh and vibrant take a departure from your norms.

Try something different

Have you ever painted your furniture? Try it – the kitchen table and chairs or sideboard. It’s on trend right now and the results can be room-altering. There is no such thing as right or wrong when it comes to interior design and decorating. It’s your home to make unmistakably yours. Restore furniture or find something a bit different, that tells the story of who you are.

Commitment – big renovations

Show how committed you are to making the most of your home by not putting off what you have wanted to do for ages. Your dream kitchen, a new bathroom, or both. If you need to borrow for one sometimes the smart thing to do is borrow a little more and give your house the complete makeover it deserves. This will add some serious value to your home.

Garden and outside

A great garden can truly become a magical place. The scope for ideas and to create your own unique world is endless. From decking and flowerbeds to ornate garden sculptures. Multilevel gardens with built-in seating. While it’s still wintry why not create a fire pit and plant some outdoor lights which will create a warm, romantic ambience outside?

A workspace

If like many people, you work remotely, why not create your perfect work-from-home space? If space is limited a balance between aesthetics and functionality can be difficult to achieve. Experiment with your set-up, perhaps put your desk near a window or hang some inspirational pictures, which will stop you becoming bored of the same four walls. The little things here make a big difference, even some flowers or plants. Keep things simple, a well-organised compact desk that does not make a statement but is functional and uncluttered so you can concentrate on the tasks at hand.

Do you want to love the home you live in? Browse our properties and find your perfect place.

Are there benefits to overpaying a mortgage?

If you have streamlined your spending and examined where and how you can save, you might find that you have a little leftover. Thought of overpaying your mortgage? Paying more of your mortgage off, means you pay less interest. Heating, council tax, and gas bills have all increased. In some ways there is not much you can do to reduce the price of these things yourself. With interest rates higher than they have been for years there has never been a better time to get one back on the system by saving money on your mortgage. We look at the best ways to do so and crunch some numbers to show how a few extra pounds each month can shorten the term of your mortgage significantly.

There are essentially two ways to overpay your mortgage, in a lump sum or by adjusting your monthly payment.

Mortgage overpayment calculator

Most high street banks have mortgage overpayment calculators which will help you see how much you could save.

Overpay in lump sums

It could be that you get a good interest rate on a savings account. You can save an amount you are comfortable with and feel secure in case you need access to emergency funds. Then pay off so much of your mortgage in lump sums, always leaving a certain amount in your savings account.

Increase your monthly payment

Many people choose to increase their monthly payments.If you have taken out a mortgage with a term of 25 years for £150,000 at an interest rate of 4% then here are some inspiring numbers!

Paying an extra £10 per month could save over £2000 on interest and pay your mortgage off 6 months early.*

If you increased your payment by £100 then you could reduce the term of your mortgage by nearly four and half years, with a saving in interest paid of £17,000!

Penalties

It is essential that you check the terms of your mortgage with your mortgage provider. There may be a penalty cost incurred if you overpay by a certain amount. That said you will still be able to overpay more than you might expect before being punished! For example, most mortgage providers will allow you to pay up to 10% of the balance before being charged for fixed-interest rate mortgages. One advantage of paying a variable rate mortgage is that typically you can pay off as much as you like.

A better deal

If you have been overpaying your mortgage and it’s time to get a new deal, you may find that you get a better interest rate because your loan-to-value (LTV) ratio is now lower. Typically, the more equity in your home the less interest you will pay. Paying off more of your mortgage can save you on interest in more ways than one!

Do what’s right for you

Perhaps you are struggling and this is something you will look at doing in the future. It may be that you have a grand plan and aim to pay off your mortgage in the next seven years. Whichever you decide to do, paying off a little or a lot has a big impact!

It’s more than a house it’s the feeling of being home. Browse our properties.

Will house prices decline this year?

What does it really mean when you read a headline which mentions falling house prices? We hear this phrase so often that we are led to believe it! The media constantly churns out facts and figures to scare us all and warn of looming doom!

For most people, buying a house is a long-term investment and if house prices rise or fall it’s always best not to focus on the headlines, instead take a step back and put things in perspective.

If we look at last year, it’s true that houses price increases dipped due to interest rates rising and the impact of the minibudget. In 2022 house prices grew by 2.8% over all for the year, falling from a growth rate of 4.4% according to the Nationwide house price index.

Yet according to the office for National Statistics average UK prices increased by 12.6% over the year to October 2022. So, it depends on who you ask! Not to mention regional differences and property type - often houses increase in value more rapidly than flats.

Predictions

Zoopla predicts a 5% fall in house prices, while Lloyds bank give a higher figure of 9%. Many analysts agree house prices to fall for the next two years but rise again in 2025. Perhaps more optimistically the housing market could simply level out, with smaller drops in house prices. There is still a shortage of houses and therefore this will stabilise the market. The housing market is simply returning to a pre-pandemic norm with more realistic interest rates. The good news is without rapidly rising prices, there is more long-term stability.

The good news

Ultimately if you are selling, the value of your home will have gone up considerably over the past years so if it falls a little you have still gained. If you are about to purchase your first property and still gathering the deposit and you know it may take a little longer, at least house prices are not rocketing which gives you a little more time. And when you are in a position to make an offer, you may find that you have a lot more wriggle room in terms of making a lower offer and saving some money.

Long term

Buying a house is a long-term investment for most of us and even large drops in value will not create big gains or losses.

For example, if you buy a house for £200,000, typically the deposit is 10%, £20,000.

If you plan is to wait thinking house prices will drop by 10% you have saved £2000, in terms of a deposit. In a long-term investment this is not a significant amount of money.

And if the worst happens and you buy a house tomorrow and house prices suddenly drop by 10% unless you are planning on selling within the next 2 years, with house prices set to rise again in 2025 then again realistically you have lost £2000, temporarily before gaining again.

In both the above scenarios, in the long term, you will still gain.

Conclusion

The future looks good, yet even if there is sudden drop in the grand scheme of things, it’s not such bad thing! In fact, does it even matter? What’s important is finding a house you can call home and cherish the memories you make in it.

Looking your first home or your forever home? Browse our properties.