The latest news from Bill Tandy

Welcome to the latest edition of the Bill Tandy newsletter!

 

We start by sharing with you the top ten features that could bring down your property's value before you decide to sell it. From June, it's important both landlords and tenants are aware of the changes to eviction notice periods as they are now only four months instead of six.

 

Further into our newsletter, we share with you how you can avoid mortgage red flags as a prospective homeowner, before we explore what has changed to help safeguard homeowners and renters.

 

 We hope you enjoy this months edition.

Eco Friendly Homes Playing an Important Role

 

Climate change has received immense attention recently with urgent calls to reduce the contributing factors to carbon emissions, rising sea levels, and rising temperatures. The UK has committed to reduce its CO2 emissions to net zero by 2050; and this commitment cascades to all markets, including property. This commitment is a great achievement for the UK, with it being the first first-world country to pass law to such a commitment. 

Sadly, the amount of greenhouse gasses produced from heating properties has increased since 2014. Heating our homes accounts to a staggering one seventh of overall UK emissions. Our increased use of fuel can be resultant from heat escaping from properties through walls, windows and ceilings during winter. Luckily, the Government have called an end to the rise in fuel consumption and are devising a plan to battle the emissions producing more energy efficient homes. They are behind an initiative called Future Homes Standard, which is planned to be in full operation by 2025. 

Having more energy efficient homes is a great ambition for all. It will lead to lower carbon emissions, reduced energy bills, and upgraded housing. In 2025, all new build homes will have to abide by the initiative to have clean technology to heat homes instead of the current fossil fuel burned for gas boilers. The construction sector and developers are at the heart of this revolution with their designs crucial to meeting this goal. 

 
The Housing Minister, Esther McVey, said that “industry has told us some homes built using modern methods can have 80% fewer defects and heating bills up to 70% lower. Homes built using modern methods can be of higher quality, greener and built to last. I want to see a housing green revolution.” 2020 is set for an environmental transformation, with the property market a strong contributor to this.

Easter Eggstaraganza 

Saturday 4th April 

 

Follow the Woodland Trail to find the Easter Bunny who's giving everyone free chocolate.

Click here to read Easter Eggstaraganza .

 

Top ten features that could bring down your property's value

 

Property prices have increased rapidly since the start of this year, with high buyer demand, vaccine optimism and stamp duty savings all key contributing factors to that growth.

 

Whilst it's really crucial to look for features or improvements to boost your property's price tag value before selling, it's just as vital to know what elements can have a negative impact.

 

 

Here are the ten most off-putting features that may decrease a property's value:*

 

1. Mould / damp (62%)

2. Pest infestation (57%)

3. Noisy neighbours (48%)

4. Unpleasant pet smells (37%)

5. Low shower pressure (28%)

6. Messy garden (28%)

7. Bad phone signal (24%)

8. Rude street name (14%)

9. Laminate flooring (13%)

10. Swimming pool / hot tub (10%)

Unsurprisingly, the presence of mould had the most significant influence on the value of a property, closely followed by insect issues and disruptive neighbours.

 

As these problems all affect a person's standard of living, it's understandable why they rank within the top three.

 

Whilst off-putting during a viewing, unpleasant smells, poor water pressure and an unmaintained garden by contrast are all factors that can be fixed at little to no effort.

 

With working from home becoming more popular for the UK's workforce, having a strong phone and WIFI connection is key.

 

If you'd like to know how much your home is worth right now, and what it could be valued at with a little more TLC, book a market appraisal with our team today.

 

 

 

*Hammonds Furniture

 

Eviction notice periods now at four months

 

From June, eviction notice periods have been reduced to just four months for landlords, instead of the six months they were previously set at to protect tenants over lockdown.

 

In cases of extenuating circumstances or anti-social behaviour, notice periods will be lower.

 

After a year of restrictions and economic uncertainties, the change is part of a phased approach from the government to help the country regain normality.

 

Before the changes, there had been a ban on bailiff-enforced evictions to protect tenants during the ‘stay at home’ instructions.

 

The UK’s housing minister, Christopher Pincher, has continued to pledge support from the government for tenants, whilst balancing the needs of landlords.

 

He stated that crucial financial support will continue to be available, with the furlough scheme and universal credit uplift currently in play.

 

Many people in the property sector have agreed with the changes, stating that now is a sensible time to roll-back the measures as restrictions come to an end.

 

Whilst the ban on evictions has caused financial distress to some landlords, it seems to be regarded as a success in the wider picture.

 

We are committed to helping our landlords and tenants with their every property need.

 

If you have any questions regarding the reduced notice periods, or a general query or concern, get in touch.

 

 

 

How to avoid mortgage red flags as a prospective homeowner

 

Taking your first step onto the property ladder can seem daunting. There are a number of unfamiliar hurdles and legal requirements on the way to homeownership, but with the right support network, it can be efficient and pain-free.

 

According to recent data, around 35% of first-time buyers have experienced mortgage rejection, with certain brokers and lenders detailing unusual money mistakes as the main factor behind this.

 

 

To give you the best chance at getting approved the first time around, here are the red flags you should look to avoid.

 

Joke references when transferring money

 

What may seem like a joke amongst friends could turn out to be a very costly mistake.

 

Joke references can actually cause a delay in the mortgage process, so be careful and sensible when choosing your reference names.

 

 

Betting or gambling transactions

 

An occasional bet on something like the national lottery won’t have an impact on your application.

 

However, regular betting will be weighed up by lenders, who will decide if you are in a position to comfortably pay your mortgage each month.

 

Serious problems can arise from excessive gambling, but few take into consideration what the repercussions could be when looking to buy a house.

 

 

Making a big splurge purchase or giving money

 

Now, we aren’t telling you to not give money, but lending and spending large sums of money can raise questions from lenders.

 

The same applies to making a high number of purchases in quick succession, even if it is something for your future property, such as furniture.

 

Seeing less money in your bank than usual can cause delays throughout your mortgage process if calculations don’t quite add up.

 

 

Struggling to wrap your head around your mortgage options? Talk to the experts today, contact us for more information.

 

 

 

What's changed to safeguard homeowners and renters?

 

New laws have been put in place to place to protect homeowners, landlords and tenants. Here's a breakdown of what has changed.

 

 

1. Ground rent ban

 

Ground rent is money tenants pay their landlord to occupy the land a lease property is built on. You don’t have to pay any ground rent unless the landlord has formally asked for it.

 

Due to loopholes in some new build lease contracts, landlords can increase ground rent without offering any benefit to the tenants.

 

One of the new laws being put in place means ground rent charges are to be banned on new builds.

 

Tenants may still have to pay a small fixed amount of ground rent, but this fixed rate would not increase at any point during their lease.

 

 

2. Eviction notice periods reduced to four months

 

During the pandemic, notice periods were extended to six months as an emergency measure to safeguard tenants unable to keep up with rental payments.

 

This has been reduced to four months as the government look to balance support for renters and landlords.

 

For serious cases involving anti-social behaviour or a build-up of high rent arrears, this timeframe will be lower.

 

Because 45% of private landlords own just one property, they are extremely vulnerable to rent arrears, especially when they rely on tenants’ payments to pay their own bills.

 

 

3. More rights for pet owners

 

Previously, it was seen as the default option that rental properties did not allow pets. Updates to the modal tenancy agreement mean that this is no longer the case.

 

Consent for pets will be assumed and landlords will have to object to a written pet request within 28 days. To reject the tenant's pet request, a valid reason must be given.

 

This may include property size or surrounding issues, such as the property being in a block of flats.

 

 

4. Mandatory electrical checks for tenants

 

Mandatory electrical checks ensure that the property is safe for tenants to live in.

 

These inspections must be carried out every five years by law.

 

Once carried out, the electrical installation condition report will highlight any urgent work needed to ensure the property is safe.

 

Landlords who don’t carry out any repairs highlighted in the report will face a fine of up to £30,000.

 

 

5. Lifetime deposit

 

Ministers are considering introducing deposit passports to make renting easier.

 

This would mean renters could 'passport' deposits electronically, instead of having to pay a deposit for their next property while waiting for a refund from their former landlord. 

 

Passporting would allow a direct transfer of funds from the previous landlord to the new one on the day of the move.

 

The previous landlord would still be able to claim part of the deposit for any damages, if necessary.

 

 

For more information or guidance, contact our team.

 

 

 

 

Mad Hatter's Tea

Thursday 9th April 

 

Enjoy an afternoon tea in the school holiday's with fun, craziness, singing and dancing.

Click here to read Mad Hatter's Tea.

Wedding Open Day

Sunday 19th April 

 

If you are planning a wedding for 2020 or 2021 this wedding day is a perfect chance to see dressed rooms.

Click here to read Wedding Open Day.