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AIIC Announces Training Dates for 2017 – Take a Look

Published On: January 25, 2017 at 11:18 am

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Categories: Landlord News

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The Association of Independent Inventory Clerks (AIIC) has announced its training dates for 2017 – take a look if you want to find out more about inventories:

AIIC Announces Training Dates for 2017 - Take a Look

AIIC Announces Training Dates for 2017 – Take a Look

The two-day Guidelines for Inventory Professionals course will be taking place in February, April, June, September and November this year.

The training dates for the course are open to experienced clerks and those new to the industry. They are also suitable for landlords and letting agents who want to gain a comprehensive understanding of the inventory process.

The course includes sessions on check-ins and check-outs, legal guidelines and how to asses property damage. It also covers practical issues, such as dealing with tenants and the business side of being an inventory clerk.

The Chair of the AIIC, Patricia Barber, says: “A professionally compiled inventory has become an integral part of the pre and post-tenancy process.

“Our training courses, which are the best recognised in the industry, help to raise standards and make sure that independent inventories are being compiled fairly, accurately and legally.”

Last year, the AIIC also launched a range of online courses for those unable to attend its training dates.

Barber adds: “Our online courses provide an alternative route to gain membership to the AIIC, and have proved very popular since we launched them last summer.”

The training dates for 2017 are as follows: 18th and 19th February; 8th and 9th April; 10th and 11th June; 9th and 10th September; and 18th and 19th November.

All Guidelines for Inventory Professionals courses will take place at the Hilton Hotel in Bracknell, Berkshire.

For more information and for the full range of the AIIC’s training dates and courses, please visit: http://www.theaiic.co.uk/product-category/training/

If you’re a landlord that compiles their own inventories, make use of the training available to you in order to stick to the law and protect your investment.

How the Real Estate Industry can Benefit from Brexit

Published On: January 25, 2017 at 10:18 am

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Following Theresa May’s crucial speech on the UK’s Brexit strategy, the Property Industry Alliance (PIA) has come together to identify the opportunities and key considerations that the real estate industry must take from the country’s departure from the EU.

The PIA, which includes leading representative bodies in the UK’s real estate industry, has highlighted five key areas for the Government to consider.

The group recognises that while Brexit poses risks to the real estate industry, it also opens up opportunities, if the Government takes the right steps.

Capital

Overseas investment in the UK’s commercial real estate industry is a highly significant driver of gross value added (GVA) and productivity, and must not be put at risk by Brexit, insists the PIA.

Foreign investors own 28% (£135 billion) of UK commercial real estate held as investments (more if housing and student accommodation were included). They also often partner with UK investors and other organisations to fuel UK regeneration.

An effective and efficient commercial property market produces investment in the physical and digital sectors, reviving towns and cities across the country, creating jobs, improving environmental performance, and generating at least £16 billion directly for the Government through taxation.

How the Real Estate Industry can Benefit from Brexit

How the Real Estate Industry can Benefit from Brexit

Skills

The real estate industry (including investment/asset management and construction) is highly reliant on the mobility of workers, and is already experiencing a skills shortage. The PIA insists that we need a post-Brexit response that focuses on training, skills, and attracting and retaining talent.

Construction/development 

EU public procurement rules are inefficient, often misunderstood, and therefore uncertain. Brexit offers a real opportunity of streamlining the system, which will increase the velocity of investment by reducing unnecessary costs and delays, claims the group.

Tax

A simplified and fairer tax system for the real estate industry and infrastructure sector post-Brexit would increase domestic activity, retaining and improving our competitive position for investors, believes the PIA.

The most obvious opportunity is VAT, it says, where the UK’s freedom of action has been constrained in unhelpful ways by European law and the case law of the European Court of Justice.

Sustainability 

Brexit represents a chance to revamp the complex and somewhat inefficient environmental sustainability regulatory framework, to provide better, more efficient long-term solutions and green growth, insists the organisation.

It says we would undoubtedly want to retain some UK legislation derived from EU rules, reform other areas, and remove particularly ineffective laws.

The Chairman of the PIA, Bill Hughes, says: “Real estate is a critical and enabling part of the UK’s economy, shaping our towns and cities, and challenging productive investment into the real economy. The UK asset management industry is one of the largest in the world and a key contributor to the UK economy. Within it, real estate is a core investment asset for private and professional investors, both domestic and global, particularly for its income-generating characteristics. The ability of the industry to continue to undertake cross-border activity from the UK and retain mobility of talent is crucially important.

“The PIA plays an integral part in explaining the role that UK commercial property plays in the UK economy, its importance in improving the built environment and its wider social contribution to local communities. As such, it is critical that we do not sit and wait to see what a post-Brexit world might look like. We have the chance to shape our real estate industry for the benefit of the UK.”

The members of the PIA are: The Association of Real Estate Funds (AREF), British Council for Offices (BCO), Revo (formerly BCSC), British Property Federation (BPF), Commercial Real Estate Finance Council Europe (CREFC Europe), Investment Property Forum (IPF), Royal Institution of Chartered Surveyors (RICS), and the Urban Land Institute (ULI).

Do you believe that the real estate industry can indeed benefit from Brexit?

Buy-to-let rates set to increase in 2017

Published On: January 25, 2017 at 10:10 am

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Categories: Finance News

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A leading mortgage expert has predicted that an increase in swap rates is likely to be passed on to buy-to-let landlords during 2017.

This was despite buy-to-let mortgage rates being largely unaffected by a significant increase in rates during the final quarter of 2016.

Bank Rate Lows

The Q4 results of Mortgages for Business’ Buy-to-Let Mortgage Costs Index showed that while swap rates rose, the record low Bank Rate of 0.25% saw buy-to-let mortgage headline rates largely unchanged.

David Whittaker, chief executive of Mortgages for Business, feels that lenders will be left with no choice but to introduce higher rates. This, he feels, would be particularly prominent for buy-to-let landlords who have chosen to incorporate.

Mr Whittaker said: ‘With demand in the buy-to-let sector already under pressure from both fiscal and regulatory changes, it is good to see that lenders have not further burdened landlords by increasing interest rates.’[1]

‘However, with rising swap rates this situation cannot continue forever and we would expect to see increases at some point in 2017 as lenders factor in the additional time spent on deeper background checks and assessing affordability, particularly from landlords borrowing in a limited company capacity,’ he added.[1]

Buy-to-let rates set to increase in 2017

Buy-to-let rates set to increase in 2017

Vigilant

Continuing, Whittaker observed: ‘Whether increases happen before 1st October when lenders will be obliged to be extra vigilant while assessing applications from portfolio landlords remains to be seen, but we will be watching the market closely in this respect.’[1]

Percentage-based fees products accounted for 41% of buy-to-let mortgages in Q4. Fee-free products also gained in market share, making up 16% overall.

Products with flat fees fell for the third successive quarter. Their average price is now £1,397, in comparison to £1,556 at the start of 2016.

[1] https://www.landlordtoday.co.uk/breaking-news/2017/1/buy-to-let-rates-set-to-rise

 

Property Transactions in 2016 Almost Unchanged on an Annual Basis

Published On: January 25, 2017 at 9:34 am

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Categories: Property News

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The number of property transactions over the whole of 2016 was almost unchanged on an annual basis, rising by just 0.45%, according to the latest figures from HM Revenue & Customs (HMRC).

Provisional non-seasonally adjusted data from the Government department show that there were 1,235,129 property transactions in 2016, up slightly from 1,229,580 in 2015.

In comparison, the number of property transactions increased by 0.88% between 2014-2015.

Property Transactions in 2016 Almost Unchanged on an Annual Basis

Property Transactions in 2016 Almost Unchanged on an Annual Basis

On a monthly basis, 109,100 property transactions were recorded in December, up by 5.1% on November, but down by 4% on December 2015.

The Chief Executive of estate agent Marsh & Parsons, David Brown, comments on the figures: “Despite a number of obstacles in 2016, the total number of transactions rose slightly compared to 2015, to the highest since the financial crash.

“The resilience demonstrated in the face of a vote to leave the EU and marked changes to Stamp Duty, which significant impacted sales of second homes and the buy-to-let market, is not to be scoffed at.

“We’ve already witnessed an encouraging stream of interest from buyers across London during the start of 2017, particularly international buyers who have been buoyed by the falling value of the pound and continue to view London property as a solid investment.”

Shaun Church, the Director of mortgage broker Private Finance, also says: “Reflecting on the second half of the year, the property market ended 2016 on more of a whimper than a bang, with transactions remaining largely flat and falling year-on-year.

“However, 2016 has been a very unusual stage in the life of the UK housing market, with Stamp Duty changes resetting the dial for investors and wider uncertainty caused by the EU referendum.

“Given these challenges, the market has proven to be remarkably resilient, and end-of-year sales meant December brought the largest monthly transaction total of the new Stamp Duty era.”

He continues: “Although we have seen a degree of recovery since April’s reform, overall activity levels do not paint the full picture of pressures facing would-be homebuyers. Low supply continues to pose an affordability challenge to buyers at the lower end of the market, and there has been a continued slowdown in sales of higher value properties.

“The Stamp Duty change was originally designed to boost tax revenues, but with fewer high value transactions taking place, this could ultimately prove to be counter-productive.

“However, the good news for potential buyers is that Stamp Duty changes have suppressed house price growth at the upper end of the market, which has the potential to offset some of the additional costs they would otherwise face from a higher tax burden.”

Finally, Doug Crawford, the Chief Executive of conveyancing firm My Home Move, believes: “In the long-term, demand for both rented and owner-occupied accommodation will support prices and sales volumes.

“There will undoubtedly be challenges to the market over the next 12 months, with the triggering of Article 50 and changes to landlords’ tax relief looming on the horizon.

“However, the property market has shown it is more than strong enough to overcome these obstacles.”

Recent research from the National Association of Estate Agents supports the view that December proved resilient to market changes, reporting that the number of homebuyers last month was the highest for 13 years.

Could car parks be used to build new homes?

Published On: January 24, 2017 at 2:42 pm

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Thousands of new properties could be built on car parks in Britain, without losing vital parking facilities, according to new research from real estate firm JLL.

The firm suggests that 400,000 new properties could be built on 10,500 surface car parks in towns and cities around the country. This could be enough to home about a million people.

Car Parking Space

For the majority of cases, JLL believe it to be possible to build homes without the loss of public parking facilities.

Nick Whitten, residential research associate director at JLL, said: ‘A trend towards urban living has disproportionately put a strain on the UK’s town and city local authorities to allocate sites for residential development, typically in areas where land is rarely available. It is crucial that more residential sites are created in urban locations where housing is needed most.’[1]

‘The Government has indicated that it is actively exploring solutions to the UK housing crisis through innovative measures to boost supply. Crucially, more than half of the car parks identified by JLL are in public ownership under the control of local authorities. This gives Government a direct stake in the potential for delivery on these sites, he continued.[1]

Could car parks be used to build new homes?

Could car parks be used to build new homes?

Permissions

In order to negotiate planning hurdles, the Government could introduce a planning permission in principal for residential development on car parks. It could utilise new rules as outlined in the Housing and Planning Act 2015.

Mr Whitten went on to observe that policies for car free urban centres are getting more and more common. Technological advancements could see the demand for ubran parking fall.

Concluding, he said: ‘Demand for city centre living is expected to increase , putting further pressure on the provision of sufficient housing.’[1]

[1] http://www.propertywire.com/news/uk/car-parks-across-uk-used-build-new-homes-research-suggests/

 

Where are the UK’s burglary hotspots?

Published On: January 24, 2017 at 11:11 am

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New data released from MoneySuperMarket has revealed the top postcodes for burglary claims in the UK.

Despite the overall rate of burglary claims falling by 8% in the last year, urban regions remain the largest targets for theft.

Burglary hotspots

MoneySuperMarket looked at 1.8 million home insurance quotes from its website between January 2015-December 2016 in order to find the postcodes with the greatest rate of home content theft quotes during the period.

Coming out on top was Redbridge in London, with a postcode of IG4. In fact, postcodes in North London dominate the top five, with Chadwell Heath (RM6), Clayhall (IG5) and Whetstone (N20) all appearing. Leeds was the only region outside of London in the top-five, in fourth place.

Cambridge (CB5), and Manchester (M21) also moved into the top twenty.

Seasonal Surge

Unsurprisingly, MoneySuperMarket’s data shows the value of claims submitted during the Winter are on average 36% greater than those in the summer. This will owe largely to the number of high-value Christmas presents in homes.

Landlords and tenants alike should be extra vigilant in protecting their properties during the Winter months.

The value of insurance for items such as laptops, jewellery and watches has grown during the last twelve months. The average collective total value of itemised possessions was £4,192 per policy in Autumn 2016. This was 39% more than in 2011.

Falls

More pleasingly, the number of overall burglary claims has fallen by 8% over the course of the year. Last year, the average rate was 13.58 per 1,000 quotes, which has now dropped to 12.44 per 1,000.

Looking at the postcodes with at least one claim for theft, Monkseaton and North Tyneside (NE25) and Bideford, Devon (EX39) had the lowest rate of burglary claims, each with 0.9 per 1,000.

In addition, there are 123 postcodes with no claims. These include Norwich (NR26), Liverpool City Centre (L3) and Manchester City Centre (M1).

Where are the UK's burglary hotspots?

Where are the UK’s burglary hotspots?

Risks

Kevin Pratt, consumer affairs expert at MoneySuperMarket, said: ‘Burglars are interested in two things: where should I go to find stuff worth stealing and where am I least likely to get caught? Our findings suggest busy urban areas are the biggest targets for theft, but those who call leafy suburbia home should also be aware of the risks associated with the higher anticipated value of their belongings.’[1]

‘Burglary results in a double dose of trauma, with both emotional and financial repercussions taking a long-term toll on those affected. To avoid the turmoil, it’s vital to be vigilant against break-ins and to bolster home security to prevent them in the first place. It’s also crucial to ensure you have contents insurance in place to cover you should the worst happen,’ he added.[1]

Concluding, Mr Pratt noted: ‘It is encouraging to see the overall rate of burglary claims has dropped eight per cent in the last year, in line with the fall in recorded burglaries. There’s no doubt thanks to improvements in home security, although the falling cost of electrical items, such as TV’s, might be significant, as, simply put, there’s less need for burglars to steal items than in the past.’[1]

[1] http://www.propertyreporter.co.uk/household/which-postcodes-dominate-uk-burglary-claim-hotspots.html