Tag Archives: london
More than half of UK tenants would move away to buy a home
More than half of tenants in the UK would move or consider moving to a different town or city in order to buy a home, according to a new poll of private renters. The poll from the National Landlords Association (NLA) found that some 27% of tenants would relocate in order to buy a house and a further 29% would consider doing so. However, 44% of tenants said they would not move to another town or city even if it meant being able to afford to buy their own place. Tenants in London were the most open to the idea with 87% saying they would relocate or consider relocating in order to buy a home. However, tenants in the East Midlands were the least receptive to the idea with just 14% willing to relocate. The research also shows that 47% of those surveyed said they were unable to afford a deposit for a new home with 22% unable to access mortgage finance to buy. The findings come as the latest English Housing Survey shows that more private rented homes now meet the decent homes standard than ever before, with fewer overcrowded properties and a larger proportion of energy efficient properties. Home ownership is out of reach for so many people, so the idea of upping sticks and moving to a new town or city in order to buy their own home is becoming more and more appealing,’ said Richard Lambert, NLA chief executive officer. ‘I think people are looking at the costs of buying, especially in high demand areas like London and the South East, and realising what they could get for their money elsewhere. Relocating is never an easy decision to make as it will often involve leaving behind friends and family. Then there are all the other considerations, not least whether you’ll be able to find the employment to make a move possible,’ he pointed out. ‘In the meantime, the private rented sector remains a key part of the UK’s housing mix and it’s essential that tenants can rely on it. The latest findings from the government are encouraging but more must be done to improve conditions for the minority of tenants who have a bad experience of renting privately,’ he added. Continue reading
Supermarkets can add an average of £22,000 onto the price of a home
Living close to a well-known supermarket chain can add an average of £22,000 to the value of a home, new research has found. The report also reveals that premium brands can add even more to nearby house prices, with properties close to a Waitrose store receiving an average boost of £38,666 or 10% than the wider town in which they are located, according to the research from Lloyds Bank. In addition to Waitrose, properties near a Sainsbury’s, Marks and Spencer, Tesco or Iceland also command the highest house price premiums of £27,939, £27,182, £22,072 and £20,034 respectively. The lowest house price premiums are in areas with an Asda, Lidl or Aldi stores with premiums of £5,026, £3,926 and £1,333 respectively. ‘Our findings back-up the so called Waitrose effect. There is definitely a correlation between the price of your home and whether it’s close to a major supermarket or not,’ said Mike Songer, Lloyds Bank mortgage director. ‘Our figures show that the amount added to the value of your home can be even greater if located next to a brand which is perceived as upmarket. Of course, there are many other drivers of house prices beyond having a supermarket on your doorstep, but our research suggests that it is a strong factor,’ he added. A breakdown of the figures shows that homes in the same postal district as Waitrose command the highest price premium compared to other areas in the same town in seven out of ten regions of England and Wales. The largest premium is in the North West where the average house price in an area with a Waitrose is £73,629, some 39% higher than in the surrounding areas. Other regions with a high premium are the West Midlands at £57,539, Yorkshire and the Humber at £36,376 and the South East at £31,681. At a local level, Chiswick in West London commands the largest average house price premium when compared with the surrounding area, at £476,738. The average house price in Chiswick, which offers residents a Waitrose, Sainsbury's and Marks and Spencer, is £961,564, almost double the average for Hounslow at £484,826. Golder’s Green, which has a Sainsbury's and Marks and Spencer, has the next largest premium in cash terms at £423,180, followed by Belsize Park and Hampstead at £313,166. Outside of southern England, the largest average price premium is in the Cheshire town of Wilmslow, where shoppers are catered for by supermarkets including Waitrose, Sainsbury's, Marks and Spencer, Tesco and Lidl. Buyers can, on average, expect to pay a price premium of £277,028 for a home in Wilmslow. In the Ponteland area of Newcastle, the average premium is £206,401 with a Waitrose, Sainsbury's and a Co-op store. The also data shows that this ‘supermarket bounce’ is not necessarily just confined to those areas which have a Waitrose, Sainsbury's or Marks and Spencer's located in them. There are several locations with a discount supermarket store where average house prices trade at a premium…. Continue reading
Equity release value in Britain up, but in London hit by Brexit uncertainty
The potential wealth available to over 55s in England, Scotland and Wales through equity release increased to £381 billion in the second quarter of 2016, a 0.7% quarterly increase, the latest research shows. However, values failed to increase across Greater London for the first time in almost four years due to uncertainty surrounding the European Union referendum while equity release potential elsewhere in the country continues to grow apace, according to the Equity Release Property Value Tracker report from Retirement Advantage. The report says that house prices are rising fastest in regions outside of Greater London, with the capital suffering its first quarterly drop in property values since the fourth quarter of 2012. The North of England with growth of 7.2% saw the greatest quarterly increase in wealth available, followed by Yorkshire and the Humber up 6.6% and the West Midlands up 5.6%. Meanwhile in Greater London growth stagnated with a drop of 0.04% and was also comparatively slow across the South East, up 2.8%. The two regions top the table for annual growth, however, up 14.6% and 13.9% respectively, with East Anglia next with growth of 8.2%. According to Alice Watson, product and communications manager at Retirement Advantage Equity Release, it is too early to tell what impact the Brexit vote will have on housing wealth but she pointed out that if mortgage lending conditions tighten as the result of a post-referendum economic slowdown, it could enhance the appeal of equity release. ‘A substantial proportion of this demographic is now accessing the wealth stored in their homes to facilitate a more enjoyable and fulfilling retirement. They are increasingly using equity release for home improvements, gifting to family members and holidays,’ she said. ‘Over the past three months we’ve seen new entrants to the market, innovative partnerships and welcome changes to the Financial Conduct Authority’s affordability assessments. These developments are great news for the consumer and have no doubt helped to further boost equity release’s already surging popularity,’ she added. However, she pointed out that despite rapid growth in its popularity, less than 1% of equity release’s potential is being realised. ‘Over the coming years, this popularity will increase further as over 55s take an increasingly holistic approach to retirement finance which places equity release alongside pensions and investments,’ she concluded. Continue reading
