Posted on

Using a Letting Agent vs. Self Managing

Should you use a letting agent when managing a buy to let?

When managing a property and renting to tenants, your main aim is to make as much money as possible. This is why you are likely to ask the question if it is worth using a letting agent to manage the property on your behalf. We’ve listed some important factors to take into account when you are deciding if you need a managing agent or not.

Finding a tenant

Some landlords do look for tenants themselves. They post their property on various websites and find a suitable person to move into their home. If you are deciding to do this yourself then make sure you reference them through a legitimate company. A reputable letting agent such as Benwell Daykin will reference a tenant in three ways;

  • Work reference (including confirmation of annual income)
  • Credit reference
  • Previous landlord reference

Complying with all legislation

Legislation within the lettings industry is extremely important. You’ll need to conduct checks on your tenant and you’ll also need to ensure they can live in your property safely. A ‘right to rent’ check helps you to understand if the tenant is legally allowed to live in the UK.

An example of other legislation you need to comply with includes:

  • Valid EPC above an ‘E’ rating
  • Landlord insurance
  • Valid EICR certificate
  • PAT test on electrical items left in the property
  • A Nottingham Selective Licence (if applicable)
  • Smoke alarms
  • And more

To discuss our extensive list of legislation checks, talk to us on 0115 990 2007.

Communicating with your tenant

If you manage a property yourself then you must be prepared to communicate with your tenants. This could include having to answer your phone at unsociable hours if there is an emergency maintenance issue. Sometimes tenants may just call or text to ask general questions as well.

You may want to have a separate phone line for these calls and messages.

Managing rent arrears

Unfortunately, sometimes tenants do not pay their rent. This means that you are going to have to do your own chasing which could result in some awkward conversations. If you’re not used to chasing money then this could be daunting.

Of course, a managing agent will do all of this for you and attempt to keep rental arrears to a minimum at all times.

Need some more advice on lettings?

If all of this seems complicated then call our letting agents on 0115 990 2007. You can also email info@benwelldaykin.co.uk. We’ll happily offer some advice with no obligation to use our lettings services.

 

 

 

Posted on

Why your property should be priced right first time

According to a recent report by This Is Money, putting your property up for sale for the right price first time doubles your chances of selling.

Research by Rightmove suggests that only one third of properties sold during May and September 2020 if the Vendor had to reduce the asking price.

This is in contrast to two thirds of property which sold when they didn’t need to reduce their asking price.

This research suggests that those who are looking to push their asking price in the current market boom may need to think again.

So how long does a property take to sell on average? At the moment this is around 21 days, although this increases to 47 days if the Vendor has to reduce the asking price, causing unnecessary delays.

The other issue to note is stamp duty. Those who are looking to push their asking price may not complete their sale before stamp duty is reinstated. Vendors may get slightly more money for their property but will then have extra tax to pay instead.

Current House Prices

At Benwell Daykin Estate Agents we are seeing house prices continue to rise since the Coronavirus lockdown. Prices have risen by 5.2% annually and we are seeing that buyer demand is outweighing supply.

The average house price in Nottingham is currently £202,625. Ruddington prices stand at £301,788 on average.

In terms of rental prices, the average Nottingham rental stands at £902 pcm.

There is currently a shortage of 3 and 4 bedroom houses to rent in the area when you compare this to the availability of 2 and 1 bedroom properties.

Considering Selling?

Talk to Benwell Daykin to get a FREE, no obligation house valuation. You can call us on 0115 990 2007 or email info@benwelldaykin.co.uk.

Posted on

Demand for property in the UK is rocketing

Rightmove data shows that demand for property is up 61 per cent compared to the same period last year.

The property portal states that buyer demand is outstripping supply and they feel that the main reason for this is the reduction in stamp duty.

Righmove’s expert Miles Shipside says “We always knew that the stamp duty holiday was going to be a big incentive for people to get moving this year.

“We’re also seeing a growing trend of people looking to move out of urban areas and into smaller towns, with homeowners in built up areas reassessing their housing needs and looking for places with more outside space.”

Recently, Rightmove also reported that there was a 125 per cent increase in people looking to relocate to villages. Most notably is the village of East Leake which recently featured in the Daily Mail for this very reason. Average house prices there stand at £290,005.

Some city home owners may have benefited from strong house price growth over the last few years and are now able to trade up and out into the countryside. The need to also move close to a station is now not so important as many people adapt to a life of working from home.

Nottingham city house prices are also rising faster than anywhere else in England. Property prices have risen by 4.5 per cent in the last 12 months. City house prices which grew close to this figure were Manchester at 4.1 per cent and Leeds at 3.6 per cent.

In contrast, London prices only grew by 1.7 per cent which is less than half of the Nottingham house price growth.

Ready to sell your home?

With the market in somewhat of a mini boom, a drop in stamp duty and a rise in house prices, now is a great time to move to a new home.

Find out how much your property is worth with Benwell Daykin estate agents. You can call us on 0115 990 2007 or email info@benwelldaykin.co.uk.

Posted on

Denying DSS Rentals Ruled Unlawful

A judge has ruled that it is unlawful and discriminatory if agents ban people from renting property who are on housing benefit.

The a court ruling found a single mother had experienced indirect discrimination when a letting agent in York refused to rent to her. She ended up homeless for a short while with her two children.

The tenant claimed she had excellent references and could have paid 6 months up front if her parents lent her the money. However, the fact she was receiving housing benefit meant that she could not find a property to rent through an agency.

This is a landmark case and is likely to change how letting agents across the country operate.

Chris Norris, policy director at the National Residential Landlords Association, said: “No landlord should discriminate against tenants because they are in receipt of benefits.

“Every tenant’s circumstance is different and so they should be treated on a case by case basis”.

He also added that the government could support tenants by ensuring benefits covered rents entirely.

Posted on

Stamp Duty Holiday Confirmed

Chancellor Rishi Sunak has confirmed that there will be a stamp duty holiday following the Coronavirus lockdown.

The threshold will now be raised from £125,000 to £500,000 and will last until March 2021.

The average stamp duty bill will now be cut by around £4,500. This also means that 9 out of 10 house buyers will not be paying stamp duty at all.

Home buyers would usually only pay zero stamp duty on the first £125,000 of the property value. They then pay two per cent of the value of the home up to £250,000 and five per cent on the next £675,000.

You must complete your purchase before 31st March 2021 to make use of this ‘holiday’.

First time buyers are already exempt from paying any stamp duty up to £300,000 outside London and £450,000 in London.

The hope is that this stamp duty cut will boost the property market.

If you are now considering a move and need a free property valuation, call Benwell Daykin on 0115 990 2007. Alternatively you can email us on info@benwelldaykin.co.uk.

Posted on

June 2020 Property Market Update

Due to COVID-19, the property market was put on hold from March to May. The government did not permit any person to move house unless it was completely essential. This meant that all transactions were put on hold and all viewings were cancelled.

Since the middle of May we have reopened. There were talks of the property market stalling and a drop in house prices. Fortunately, this has not been the case. We have seen very little reductions and there has been a huge boost to property enquiries.

Rightmove also recorded their busiest ever day for website visits at the end of May. Many people throughout Nottinghamshire are looking to move again and the market is looking extremely positive.

Since reopening, Benwell Daykin have been to conduct free property valuations across the whole of Nottinghamshire. Although we only officially launched in January, we are fast becoming one of the favourite estate agents in Nottingham.

Our branch in Ruddington is fully open for business, with social distancing measures in place. Why not visit us on the High Street? We have plenty of stock available to buy and to rent.

How much is your property worth?

Now the lockdown restrictions have been lifted for estate agents, is it time to find out how much your house is worth? Get a free property valuation today. You can also call us on 0115 990 2007.

The average property price in Nottingham is currently £157,900, according to Hometrack. Property prices have grown by 4.1 per cent in the last 12 months. This is the biggest growth for property prices across the whole of the UK.

As seen on TV!

Benwell Daykin Estate Agents recently appeared on TV. Our senior valuer, Nick Aston, was featured on BBC East Midlands Today. You can view the news report below.

 

Posted on

Coronavirus Update for Benwell Daykin

Following new government guidance, our office will be reopening on Monday 18th May 2020. We will be operating reduced trading times whilst we adjust to the changes outlined by the UK government, in the interest of health and safety.

We are also still conducting valuations over video call. Please do not hesitate to get in touch if you are considering putting your property on the market immediately.

You can still call us on 0115 990 2007 or email info@benwelldaykin.co.uk.

Most viewings will still be conducted via video call or YouTube until further notice.

These are unprecedented and difficult times and we hope to be back assisting the community with all their property needs in the not to distant future.

Stay Safe. – Benwell Daykin Estate Agents

Posted on

Coronavirus and UK Property Prices

After the UK general election in December 2019 the property market picked up. More properties came to market and property prices began to climb at the fastest rate in two years.

The average UK property price rose to £312,625 in February 2020, according to Rightmove.

Property market uncertainty

Now the market faces some uncertainty with the development of Coronavirus or Covid-19.

We do not know the full extent of what is to come with the virus. We do know, however, that those who are unable to work currently can ask for mortgage holidays. This means they can defer having to make monthly mortgage payments for a set period of time.

Currently it is business as normal for us.

Good news for property

Property prices are still currently holding and despite the mild panic we are still seeing enquiries on all our available properties. This is for both sales and lettings.

For now, it’s business as usual at Benwell Daykin estate agents.

Posted on

Bank of England Interest Rate Cut

The Bank of England has today announced that interest rates will be cut from 0.75 per cent to 0.25 per cent. This has been introduced as an emergency measure to keep the economy moving, following the outbreak of coronavirus.

This news means that borrowing costs are down to the lowest level in history.

History of interest rates

Interest rates were increased in August 2018 from 0.5 per cent to 0.75 per cent. This announcement is the first cut since August 2016.

From 2008 to 2016, interest rates were at a steady 0.5 per cent.

Mortgage rates

Mortgage rates are likely to change slightly although this will not be immediate.

If you are on a Variable Rate mortgage then you may soon see a reduction in your monthly mortgage payments. If you are looking for a new mortgage deal then you may have to wait some time for these changes to happen.

It is unlikely that there will be significant drops in monthly mortgage payments as interest rates were already at a very low level.