Tag Archives: education
Slowdown has led to boost for Spain’s long term property rental market
The economic downturn has led to a significant rise in the number of people renting a home in Spain for the long term with strong demand from nationals and foreign residents, new data shows. Overall the Spanish rental sector has doubled in the last five years, according to the data from the country’s National Statistics Institute and figures also shows that yields are up to 7.6% for long term lets. Indeed, improving yields has prompted many investors to turn to Spain as the next buy to let destination of choice with data from Idealista showing that yields have increased from 4.7% a year ago, to 5.3% currently. Popular tourist areas, such as Las Palmas de Gran Canaria offered returns of up to 6%. A modern, one bedroom apartment with sea view can be rented out for €700 per month, while a spacious three bedroom townhouse with sweeping views of the bay and port costs from as little as €145,000. Nor is it just tourist areas that offer strong returns. The highest yielding area, according to the Idealista figures, is the Catalonian regional capital of Lleida, where returns have reached 7.6%. A two bedroom, three bathroom, high spec apartment with balcony there can be picked up for €207,800. The news that Spanish rents rose for the first time in seven years in the first quarter of 2015 is further attracting the interest of buy to let investors with their eye on solid returns. According to Fotocasa, the average price of rental accommodation rose by 2.8% during the first quarter of this year, to €6.96 per square metre per month. Added to all of this is the surge in demand from tenants, with the size of the rental sector more than doubling from 7% just over five years ago to 16.6% in 2014, according to figures from the National Statistics Institute's Continuous Household Survey. ‘The past few years have seen a significant increase in the number of people in Spain looking to rent property on a long term basis,’ said Martin Dell, Director of Kyero.com, the portal which lists property sales, holiday rentals and long-term rentals. He added that Kyero's long term rentals site has experienced strong demand, from Spanish nationals and from foreign residents, while the firm’s sales site has received interest from investors looking to build up buy to let portfolios while property prices remain low. While more than half of rented homes house foreign tenants, Spanish nationals are increasingly looking to rent due to the flexibility that doing so provides. Following nearly a decade of high unemployment, the Profile of the Tenant in 2014 study has revealed that labour mobility is the main reason that many opt to rent a property rather than purchase one. The same study provides an interesting insight into the average tenant, who is aged between 35 and 44 years old, married and with a university education. They are professional tenants with families. Some 22% are looking to rent due… Continue reading
NLA launches new landlord accreditation scheme
The National Landlords Association (NLA) has launched a new initiative to enable tenants to check if their landlord is accredited. The National Register of Accredited Landlords aims to provide a quick and simple look up for tenants to check whether their landlord is accredited and is open to every accredited landlord and accreditation scheme. NLA chief executive officer Richard Lambert said the organisation wants to raise the profile of accreditation and highlight those who are committed to best practice. Landlord accreditation is regarded as a way of improving standards and practice in the private rented sector through education and professional development. The NLA currently works with over 65 local councils and five universities across England as their accreditation partner, and the NLA scheme is recognised by another 50 local authorities. The NLA is also an accreditation partner for the London Rental Standard, working closely with the Mayor of London’s Office on establishing the initiative last year and the Register supports the NLA’s 2020 Vision to persuade all its members to become accredited by the end of the decade. ‘Accreditation is a badge of knowledge and competence that landlords should shout about. We should be encouraging tenants to check their prospective landlord and find out whether they have reached accredited status,’ said Lambert. ‘There’s more pressure on improving standards in the private rented sector than ever before and we’re trying to lead the way for landlords to become accredited, which is a huge challenge because currently there’s no fundamental need to do so,’ he explained. ‘However, too often the landlord community is unfairly tarred with the brush of illegality or incompetence shown by just a minority of the industry, which isn’t an accurate picture of private renting,’ he pointed out. ‘We want accredited landlords to put their details on our new Register so they can set themselves apart, and for tenants to have a quick and easy look up for peace of mind that they can rely on their landlord,’ he added. The NLA has written to all the existing accreditation schemes and providers, calling on them to support the Register by agreeing to verify those landlords who register as members of their schemes. Continue reading
Almost a third of families move house to get kids into a good school
Nearly a third of parents have moved house in England to be in the catchment area for a good school, new research shows. Also 10% are willing to pay in excess of £50,000 for a property in a desirable school catchment area and 24% would consider renting an extra property in the catchment, according to research from price comparison firm Confused.com. It also shows that 18% admit that they started thinking about what school to send their child to before they were even born. The study suggests that inflated house prices in good state school catchment areas actually mean it may be cheaper for parents to send their children to local private schools. Compared to the average house price in England of £275,721, the typical price of a house close to Lowbrook Academy, Maidenhead, one of England’s best state schools, is £481,023. According to calculations, it would be cheaper for families to educate a child at a local private school than to borrow the money needed to move into the Lowbrook Academy catchment area. Many parents are even willing to ‘cheat the system’ to secure places at the most sought after schools in the country. Some 9% admit to having given a false address within the catchment area of a good school to ensure their child got a place there, while 24% would consider renting an additional property in the catchment area for a good school to help secure a place for their child. Other tactics that parents admit to adopting to help get their child into their school of choice include feigning religious observance to get into a well performing local school (7%) or falsely claiming that a sibling already attends a local school to increase their child’s chances of acceptance (4%). Some parents also admit that they would be willing to pay for extra tuition to try and nab a place at a well performing school (16%), while others admit that they would send their child to a nursery simply because it had links to a good primary school (27%). The race to secure a place at a good state school means that some parents are now making decisions on where they will live before their children are even of school age. Some 18% admit that they started thinking about what school to send their child to before they were even born, with a further 12% going as far as putting their unborn child’s name down on a school waiting list. The findings come amid mounting concerns over rising primary school populations leading to a shortage of school places for children. Recent figures from the Department of Education show that six primary schools have classes with just one teacher to 70 children, while nearly 100 have classes with at least 50 pupils. Analysis suggests that at the current rate, the number of pupils in large classes will reach almost half a million by 2020. ‘Although household finances remain stretched, it is significant to see from our research that a number… Continue reading
