Tag Archives: energy
UK’s new housing minister urged to get on with tackling major challenges
The new housing minister Gavin Barwell has been urged to tackle the major challenges facing the property industry including lack of supply and new home building. Estate agents and letting agents welcomed his appointment in the new government under new Prime Minister Theresa May and said that his appointment as Minister for London should help tackle the housing issues that particularly affect the capital city. ‘This is a crucial time for housing, with demand greatly outstripping supply and an urgent need to reshape Britain’s housing mix,’ said David Cox, managing director of the Association of Residential Lettings Agents (ARLA) and Mark Hayward, managing director of the National Association of Estate Agents, in a joint statement. ‘We worked closely with the previous administration to increase transparency in the UK property and sector and remain very supportive of the need for a beneficial ownership register,’ they pointed out. ‘Property transparency is particularly a problem in London where housing stock has increasingly become a vehicle for money laundering operations, so we applaud the decision to provide the Minister with a duel oversight for London,’ they added. The statement pointed out that the Government’s decision to sell the Land Registry risks reversing its good work on transparency and they are calling on the new minister to work with the new Business, Energy and Industrial Strategy Department to think again on this proposal. They say it is also essential to honour the commitment of the previous Housing Minister to bring forward a review of the need for mandatory Client Money Protection (CMP) for letting agents, following the discretionary powers that were brought in as part of the Housing and Planning Act as they believe that only this can provide the adequate level of protection for landlords and tenants alike. ‘These challenges are not insurmountable and we greatly look forward to working with the new Minister to find a solution to these issues in the months and years ahead,’ the statement concluded. Barwell said that he is looking forward to working with councils, housing associations, developers and investors to ensure ‘we build the homes people need and deserve and to working with the Mayor of London to ensure the continued success of our wonderful diverse capital and that all Londoners share in it’. Barwell has previously held various parliamentary private secretary roles, including to the Minister of State for Decentralisation and Planning Policy and Secretary of State for Education, and has more recently been Assistant Government Whip and Lord Commissioner of HM Treasury. He is taking over from Brandon Lewis who has moved to the position of Minister of State for Policing and Fire Service. Barwell joins the team at the Department for Communities and Local Government (DCLG) which is led by Sajid Javid, who was appointed Communities Secretary last week. Continue reading
Mortgage approvals end 2015 on a strong footing, bank data shows
Approvals for home purchases in the UK increased towards the end of 2015 with December being a strong month, according to the latest figures from the Bank of England. The number of loan approvals for buying in December was 70,837 compared to an average of 69,462 over the previous six months while the number of approvals for remortgaging was 41,708, compared to the average of 39,540 over the previous six months But the next few months are likely to be very different, according to David Whittaker, managing director of Mortgages for Business. ‘The next wave of activity will be powered by landlords scrambling to complete transactions before they are hit with extra taxes. This is only just beginning,’ he said. ‘With 01 April marking the point at which Stamp Duty on buy to let properties bites, many investors have been rushing to get their mortgages completed and expand their portfolios before this date,’ he pointed out. ‘Expect this flurry of activity to continue into the first few months of 2016, as investors rush to apply for their buy to let mortgages and lenders do everything in their power to get the good applications completed before the April crunch point,’ he added. Peter Williams, executive director of Intermediary Mortgage Lenders Association, pointed out that December was the busiest month for remortgaging in over two years, with activity growing more than twice as fast as overall approvals. ‘The continued appetite for remortgaging was likely to be a sign of home owners eager to capitalise on market competition and lock into lower rates, especially with US raising interest rates for the time in nine years and expectations the UK would follow suit in the not too distant future,’ he explained. After the Autumn Statement extensions to Help to Buy, and the rock bottom base rate lasting out the year, first time buyers were feeling decisive, and this was mirrored by a clear upswing in house purchase approvals from November to December, according to Peter Rollings, chief executive officer of Marsh & Parsons. ‘This energy has definitely been carried over into 2016, and January has already seen an impressive influx of motivated buyers, eager to progress up the property ladder,’ he explained, adding that 2015 was also the year of remortgaging for many existing home owners and this momentum is showing no signs of dissipating while cheaper fixed rate mortgages remain available. ‘But in the coming months we can expect strong buy to let lending, as the April introduction of higher stamp duty for second homes gives a new sense of urgency for those looking to invest in property or expand their existing portfolio,’ he added. Continue reading
Demand for high end properties in Venice up 20% year on year
Enquiries for prime real estate in Venice have increased by 20% year on year with demand particularly for centrally located properties, according to a new report. The market in Venice is very active at the moment, especially at the top end with rich buyers seeking prestige properties finished to the highest of standards, says Ann-Marie Doyle of Sotheby’s International Realty. Buyers increasingly favour turn-key solutions over restoration projects and those from the UK, France, Germany and Austria have been key players in the Venetian market for years and this international interest has remained strong. ‘However, this year we have seen a noticeable rise in demand for prime properties priced between €3 million and €10 million. Notably, US buyers are now returning to the market due to the advantageous exchange rates,’ she explained. An example is Palazzo Molin, a 15th century residential conversion which has been converted into 17 highly specified apartments that combine classic Venetian architecture with contemporary design located minutes from landmarks such as Piazza San Marco and the Fenice Opera House. Apartments in the historic palace have been bought as second homes and buy to let investments with 50% now sold. ‘Whilst Venice is not a traditional buy to let location, it is a city where buyers can have the best of both worlds in terms of a second home in one of the most beautiful cities in the world, as well as strong rental investment potential,’ said Doyle. ‘There is an ever-increasing demand for prestige short term rental apartments in Venice and this, coupled with the shortfall of top quality apartments that appeal to a sophisticated international clientele, is driving the high end rental market,’ she explained. ‘Visitors, and indeed buyers, come to Venice for its rich cultural offering, and events such as the Biennale reaffirm its timeless global appeal,’ she added. Continue reading
