Direct Property News

February 15, 2017

Home prices up marginally in England but fall in Scotland and Wales at start of 2017

Average home prices increased marginally in England in January month on month and fell in Scotland and Wales with a north south divide showing in the latest published index. Average prices in England increased by 0.3% compared to December and fell by 0.2% in Wales and fell by 0.3% in Scotland, according to the Home.co.uk index. Price growth in England was led by a 1.9% month on month rise in the East of the country, taking the average price to a new all-time high if £348,651. But Greater London saw the weakest growth in England with a monthly rise of 0.1% and prices in the capital are now 1.2% lower than a year ago. The overall […]
February 16, 2017

60% of buy-to-lets are bought mortgage free

New figures have now revealed that the amount of landlords buying properties in cash has reached new record levels. Letting agent Countrywide has revealed that 61% of buy-to-let purchases in the UK last month were made without a mortgage. Overall, the highest level of cash transactions was found in England’s North, which is seen as a direct reflection of the lower prices. In more detail, Countrywide’s index for January showed figures of 70% in the North-West, 68% for Yorkshire and the Humber and 67% in the North East. Further down south, however, landlords have to rely more heavily on mortgages. Overall, only 42% of house sales in London are financed with no mortgage needed. Countrywide also […]
February 16, 2017

Industry reacts to latest House Price Index

The Land Registry and ONS have just released their final house price index for December 2016 showing an annual increase in house prices of 7.2%, with prices up 1.4% between November and December, to finish one of the toughest years in recent memory for UK property on a strong note. Founder and CEO of eMoov.co.uk, Russell Quirk, said, “There has been a number of sceptics where the state of the housing market in 2016 is concerned and although the likes of Halifax and Nationwide provide a snapshot of performance, the fact they are based on mortgage approval data, not cold hard completions, will always leave room for doubt. But today’s data from the Land Registry provides […]
February 17, 2017

Manchester and Salford see biggest rise in rental yields

At the end of 2016, towns in England’s North and Scotland saw the biggest increase in rental yields, hitting up to 4.3% whilst London averaged out at 3.2%. Properties across Manchester and Salford saw average yields of 6.7% and 6.6%, while Cambridge only climbed up to 2.7%, the latest buy-to-let index revealed. To get the data, peer to peer lending platform Kuflink analysed the average house price and rent in 50 of the country’s major towns and then figured out the average rental yield for every single location. Manchester came out as Number One with an average rental yield of exactly 6.73% and was closely followed by neighbour Salford ar 6.68%. Other areas in the North […]
February 20, 2017

Why 2017 is the year of build-to-rent

Over the last decade, the Private Rental Sector (PRS) has grown by 82% and squeezed past social rent in 2012/13 to become the second biggest tenure in the UK. Over the same period, the way we build rental property, and the way we rent it, has changed, too. Last year, the report Housing Futures: Urban Renters, published by Strutt & Parker, Stanhope and Network Homes, was published. The report had a closer look at Britain’s emerging build-to-rent sector, as the recent developments within the sector are reminiscent of those in other rental countries, such as Hong Kong, Germany, Japan, Sweden and the US. The research found that 48% of respondents had been renting the same property […]
February 20, 2017

Tax change could result in UK landlords putting up rents by 20% to 30%

Tenants in the UK private rented sector face potential rent increases of up to 30% as a result of tax changes, it is claimed in a new analysis report. Tax changes, including the 3% extra stamp duty on additional properties, that have affected landlords are having a negative effect on the supply of rental properties and are not the neutral, non-discriminatory system that had been suggested. Indeed, David Miles, professor of financial economics at Imperial College London, says that the planned changes to tax for buy to let landlords due to be introduced in April should be abandoned. ‘Stamp duty is now being levied at a higher rate on properties bought to be rented. Most properties […]