Many homes within the UK need major structural work carried out on them to make them safe. In a lot of cases, it is actually far better to knock the house down and start again. Not only can the home then benefit from a more modern design structure, but it
Research from the national estate agent, Keller Williams UK, explains why UK house price growth could remain buoyant until at least summer 2022. House prices have reached phenomenal highs since the start of the pandemic, a shortage of supply and ever-increasing demand means homes are selling for handsome sums and
Research from the national estate agent, Keller Williams UK, reveals the most expensive areas to buy a home across 18 major cities in England, and how much more they will cost you compared to the city wide average. House prices have been hitting historic highs across England, soaring by more
As the Social Housing Decarbonisation Fund opens to applications, Kensa Contracting is urging local authorities and housing associations in England to act now and bid for a portion of the £160 million available in 2021/22 to install highly efficient low carbon ground source heat pumps to tackle climate change and
Research from the national estate agent, Keller Williams UK, reveals how many hometown properties some of the best-paid English Premier League footballers could afford to buy with their annual salary. It is no secret that Premiership footballers are extremely well remunerated for their work and talent and, as we’ve seen
Leading Ratings Agent Fears Businesses’ Ability to Appeal Higher and Higher Rate Bills will be curtailed if government proposals come into force… The government’s latest proposals on business rates (Government Consultation Paper on More Frequent Revaluations)* will create more difficulties for businesses appealing their business rates than benefits, according to
The latest property market analysis by London lettings and estate agent, Benham and Reeves, has taken a look at both the residential and commercial property markets and how both are currently performing for those considering an investment but unsure which path to take. The analysis shows that when it comes
A £200,000 CBILS-backed loan via SWIG Finance has been given to a Bristol-based renovation specialist to support its future growth plans. Over the last 12 months Missiato Design and Build has experienced a period of rapid expansion, and the loan was required to help with ashflow as the business transitions
Research from the national estate agent, Keller Williams UK, has found that Brighton is home to the nation’s most valuable property postcode so far in 2021, outside of London, of course. Keller Williams UK analysed sold prices across the market in England and Wales since the start of the year
The latest research by Birmingham and Newcastle-based property developer, StripeHomes, has examined where in England buy-to-let landlords can achieve the best rent yields, discovering that the North provides the most valuable investment opportunities. The buy-to-let industry has endured some tough times in the last couple of years. Not only has
Many homes within the UK need major structural work carried out on them to make them safe. In a lot of cases, it is actually far better to knock the house down and start again. Not only can the home then benefit from a more modern design structure, but it will be safe far longer into the future. This is clearly a huge potential revenue stream for construction companies. As well as rebuilding homes for people, in fact, many of these homeowners may be far interested in selling the house as it is to construction firms or any other potential property cash buyers and going elsewhere. This can save them a lot of stress. There is scope here for developers to make a lot of money if they get in on the act. Rebuilding Homes A construction company that takes on the job of rebuilding someone’s home will have many things to consider. First, the home has to be rebuilt according to the specification of the homeowner. This can be both a blessing and a curse, as it limits the construction companies ability to create the ideal home as they see fit. But, you will be able to create something that the homeowner loves. Having happy customers is essential in this day and age, as this will mean that you will be provided with excellent feedback and your customer experience rating will go up, causing you to be more competitive. The average income you would receive for a complete rebuild project for the average three-bedroomed house is about £198,000. This is clearly dependant on many factors, including the location of the site. However, if done correctly, rebuilding projects could be a vital part of any construction firm’s revenue stream. Redevelopment of the Site If you purchase the old home, you can clearly make more profit as you could build four flats on the site as opposed to one construction project. You will not be limited to the specification of the homeowner either. In addition, a project like this can help solve the housing crisis which is blighting the country. New houses are desperately needed, and demolition and reconstruction jobs are vital in the battle against this crisis. Brownfield Redevelopment There is huge scope for construction companies to develop on brownfield sites across the UK. In some places, development has begun in earnest on these sites, and in many ways, it is a far superior option to building on the green belt. First of all, you won’t have any green activists fighting against you every step of the way, as who could really argue with a company cleaning previously developed land and making use of it again? Obviously, these projects will be full of their own issues, ensuring that the land is free from toxins being one of them. But these developments again can prove profitable if done correctly and with the right planning. With the rising cost of housing, perhaps this option needs to be reconsidered by construction companies if they had previously ruled it out.
Research from the national estate agent, Keller Williams UK, explains why UK house price growth could remain buoyant until at least summer 2022. House prices have reached phenomenal highs since the start of the pandemic, a shortage of supply and ever-increasing demand means homes are selling for handsome sums and at breakneck speed. It has left many industry experts and commentators asking when prices will start to fall again, having already defied expectations by climbing even after the end of the initial stamp duty holiday. Keller Williams has analysed how the four seasons impact house prices and market demand over the past 36 months, a project that reveals prices are very unlikely to drop until at least June 2022. This is because, by splitting the calendar year into seasons, it is clear that the UK housing market follows a predictable cycle. The average house price in autumn – September, October, November – over the past three years has sat at £240,000. Always a busy time of year, this goes a long way to explain why prices and demand are still so high today. As the year moves into winter – December, January, February – the average house price climbs even further. Over the past 36 months, the average house price in winter has been £243,998. Moving into Spring – March, April, May – prices rise again to an average of £245,000. It is only with the arrival of summer that prices start to decline. Over the past three years, the average house price in the summer season has sat at £237,980, the lowest price for the whole year. So the data suggests that having already seen a summer of hot house price growth, we should now see property values continue on their upward trend until summer 2022, at the very least. CEO of Keller Williams UK, Ben Taylor, commented: “The stamp duty holiday has spurred an incredible run of upward house price growth and despite many predicting a market slump, we’re yet to see any let up. Season trends suggest this could be the case for the rest of this year and much of next as the market tends to perform at its best during the autumn, winter and spring seasons. “For buyers, this is difficult news to stomach, especially those who are hoping to move sooner rather than later. But it will no doubt be welcomed by sellers who should continue to secure a very good price when entering the market.” Table shows seasonal average house prices and transactions from the past 36 months (June 2018 – May 2021) Season Average transactions Average (median) price Summer 232,302 £237,980 Autumn 246,694 £240,000 Winter 217,232 £243,998 Spring 160,287 £245,000 Source HMLR – Price Paid
Research from the national estate agent, Keller Williams UK, reveals the most expensive areas to buy a home across 18 major cities in England, and how much more they will cost you compared to the city wide average. House prices have been hitting historic highs across England, soaring by more than 13% in the last year alone. The nation’s cities, however, have not experienced the same price boom that rural, regional areas of the country have and many cities now have average house prices well below the national average. But all housing markets, urban or rural, have their expensive areas and Keller Williams has identified precisely where they are, thus showing exactly how much money homeowners will need to spend in order to live at the very top of their local market. For buyers, London is the most expensive city in England. The average house price is currently £510,299, a sum that dwarfs the national average and yet pales in comparison to the capital’s most expensive neighbourhoods. And none are more expensive than Knightsbridge and Belgravia where the average house price is a shade below £3 million: almost £2.5 million, or 478%, more than the London average. In Birmingham, the average house price is £208,241. The city’s most expensive ward is Sutton Four Oaks, located to the north-east of the city centre, where the average house price is £520,000. This makes Sutton Four Oaks 150% more expensive than the Birmingham average, a gulf that ranks second only to London. There is a 148% difference between Bradford’s average house price and that of its most expensive ward. The city average is £149,798, but in Ilkley, which is around 10 miles from the city centre, the average price is £372,500; a difference of £222,702. Oxford has a high average house price, but £451,385 is still less than half of what it costs to live in its most expensive ward: North Oxford. The North of the city has an average house price of £543,615, 120% north of the city average. In Newcastle, the average price is £172,770. In its most expensive ward, Gosforth, the average is 120% higher at £380,000. There is 111% difference between Bournemouth and its most expensive ward, Canford Cliffs: 105% between Sheffield and Dore and Totley: 95% between Cambridge and Newnham: 86% between Bristol and Westbury-on-Trym and Henleaze: 81% between Leeds and Harewood: 74% between Manchester and Chorlton: 72% between Nottingham and Wollaton West: 61% between Liverpool and Mossley Hill: 49% between Southampton and Shirley: 48% between Sunderland and Washington East: 45% between Portsmouth and Drayton and Farlington:33% between Leicester and Knighton: and 28% between Plymouth and Plymstock Dunstone. CEO of Keller Williams UK, Ben Taylor, commented: “The housing market has taken off and demand is pushing prices through the roof. Industry commentators keep predicting a sudden drop as demand lightens or at least evens out, but the truth is this is unlikely. The market will be as lively in a year’s time as it is now. But even if prices do drop slightly, these pinnacles of the UK property market will continue to command the highest house prices in their respective cities. The reason many of these wards are so expensive is that they offer rarified properties – large, spacious houses with good gardens; or tranquil, luxurious corners of otherwise frantic metropolitan areas. There will always be demand for these types of homes, as well as buyers with money to buy them. Especially when you factor in the foreign investor interest that our cities attract. If you’re lucky enough to be able to afford a step up into one of these wards, you can be sure that your financial stake will be well protected.” Table shows averate house price of English cities compared to that in their most expensive wards, ordered from largest price difference to smallest. City Average city house price Most expensive ward Average ward house price Difference £ – ward vs wider city average Difference % – ward vs wider city average London £510,299 Knightsbridge and Belgravia £2,950,000 £2,439,701 478.1% Birmingham £208,241 Sutton Four Oaks £520,000 £311,759 149.7% Bradford £149,798 Ilkley £372,500 £222,702 148.7% Oxford £451,385 North £995,000 £543,615 120.4% Newcastle £172,770 Gosforth £380,000 £207,230 119.9% Bournemouth £308,071 Canford Cliffs £650,000 £341,929 111.0% Sheffield £186,980 Dore and Totley £382,750 £195,770 104.7% Cambridge £473,534 Newnham £925,000 £451,466 95.3% Bristol £307,765 Westbury-on-Trym and Henleaze £571,250 £263,485 85.6% Leeds £212,943 Harewood £384,950 £172,007 80.8% Manchester £206,574 Chorlton £359,000 £152,426 73.8% Nottingham £166,153 Wollaton West £286,000 £119,847 72.1% Liverpool £163,580 Mossley Hill £262,750 £99,170 60.6% Southampton £218,192 Shirley £325,000 £106,808 49.0% Sunderland £133,359 Washington East £196,998 £63,638 47.7% Portsmouth £230,419 Drayton and Farlington £335,000 £104,581 45.4% Leicester £206,297 Knighton £275,000 £68,703 33.3% Plymouth £194,085 Plymstock Dunstone £249,000 £54,915 28.3% Sources UK House Price Index (HPI) ONS – Median house price by ward
As the Social Housing Decarbonisation Fund opens to applications, Kensa Contracting is urging local authorities and housing associations in England to act now and bid for a portion of the £160 million available in 2021/22 to install highly efficient low carbon ground source heat pumps to tackle climate change and protect their tenants from fuel poverty. There is an 8-week application window for the first wave of the Social Housing Fund funding bids, beginning on 23rd August and ending on 15th October. To help capitalise on this opportunity, Kensa Contracting will be delivering free CPD sessions showcasing the benefits of ground source heat pumps in social housing with large-scale retrofit case studies and demonstrating how the technology is eligible under the scheme. Kensa can also support local authorities in making a bid by delivering desktop feasibility studies of building stock to help identify ‘retrofit-ready’ projects, and providing estimates for the investment budgets and potential grant amounts needed for installing ground source heating systems. The UK government has committed to reducing emissions to net-zero by 2050, and over 10 years, the Social Housing Fund will potentially provide up to £3.8 billion in subsequent funding waves to encourage local authorities in England to retrofit measures such as low-carbon heating and insulation to increase energy efficiency and decarbonise their housing stock. The primary objective of the Social Housing Fund scheme is to upgrade a significant amount of England’s 4.1m social homes to an Energy Performance Certificate (EPC) rating of C by 2030. Currently, nearly 40% of properties fall below this, with fuel poverty posing a serious risk for residents when high fuel bills mean tough choices between heating or eating. Under the scheme’s guidelines, low carbon heating, including ground source heat pumps, can be installed where a ‘fabric first approach is taken’. Electrically-powered ground source heat pumps are sustainable, non-combustion devices generating no point of use emissions or pollution, and have been highlighted by government as a key part of the UK’s strategy to decarbonise heat, of which 37% of total UK carbon emissions are attributed to. Using freely available heat energy from the ground, a ground source heat pump can deliver 3 to 4 kilowatts (kW) of heat for every 1kW of electricity it consumes, making it highly efficient. While modern condensing boilers can be up to 90% efficient, a ground source heat pump can achieve efficiencies of 400%, without the carbon emissions or air pollution created by burning fossil fuels. The government’s 10-point-plan to put the UK back on track to meet its net-zero carbon target by 2050, states the aim to have 600,000 heat pump installations every year by 2028, and the Committee for Climate Change (CCC) has suggested this figure should even be increased to 900,000. This will require a massive scaling up of ground source heat pump installations, and Kensa believes that a Shared Ground Loop Array infrastructure is the key to achieving this.
Research from the national estate agent, Keller Williams UK, reveals how many hometown properties some of the best-paid English Premier League footballers could afford to buy with their annual salary. It is no secret that Premiership footballers are extremely well remunerated for their work and talent and, as we’ve seen this summer with big transfers for the likes of Jadon Sancho and Jack Grealish, when players hit peak form, clubs will pay extraordinary sums to get them on the books. But what does a young man do with such vast amounts of money? The answer for many is property investment, often seen as an easy and reliable way of creating a legacy income for themselves once their playing days are over. Where better than their hometowns so they can combine visiting their family with managing their potential future buy-to-let portfolio. With this in mind, Keller Williams has analysed the salaries of English players and compared them to the average house price in their respective hometowns to work out exactly how many property investments each player could make in a single year. At the very top of this list, the player who can afford to buy the most hometown homes, is England’s sweetheart, Jack Grealish. Following a bumper transfer to Manchester City, Grealish now earns a base annual salary of £15.6 million. He was born in Birmingham where the average house price is currently £205,615. This means that Grealish could buy 76 hometown houses with his annual pay packet, more than any other player on the list by quite a distance. Second is Jordan Henderson, Liverpool’s no-nonsense captain who earns £7.3 million each year. He was born in Sunderland where the average home cost £127,857 which means Henderson could buy 57 properties with a single year’s salary. Marcus Rashford is third on the list. Widely praised for his vital work off the pitch, Rashford is also a handsomely paid athlete with an annual salary from Manchester United of £10.4 million. Born and raised in Manchester where the average house price is £196,333, he could buy 53 hometown homes each year. Next is another Manchester United player, Harry Maguire, who earns £8.5 million a year. He was born in Sheffield where the average house price is currently £184,701. This means Maguire could buy 46 hometown homes every year. And then there’s Jordan Pickford, England’s animated man between the sticks. He plays for Everton where he is currently paid £5.2 million. Like Jordan Henderson, Pickford is from Sunderland where the average house price is £127,857. This means he could buy 41 hometown homes with a single year’s earnings. An interesting point of note is Harry Kane. The England and Tottenham Hotspur captain is one of the most high-profile and successful goal scorers in world football, currently earning £10.4 million a year. Despite this, Kane is placed towards the very bottom of the list, below many players who earn half of his salary. This is because Kane was born in Waltham Forest, an expensive borough in North East London where the average house price is £487,133. This means he could buy just 21 hometown homes with a year’s earnings, less than a third of Jack Grealish. Still, not too shabby for a potential property portfolio. Table shows how many homes each player could purchase in their home town at the current average house price Player Team Annual salary Hometown AveHP – May 2021 Number of ave homes per year Jack Grealish MCFC £15,600,000 Birmingham £205,615 76 Jordan Henderson LFC £7,280,000 Sunderland £127,857 57 Marcus Rashford MUFC £10,400,000 Manchester £196,333 53 Harry Maguire MUFC £8,464,300 Sheffield £184,701 46 Jordan Pickford EFC £5,208,320 Sunderland £127,857 41 Jamie Vardy LC £7,280,000 Sheffield £184,701 39 John Stones MCFC £5,200,000 Barnsley £140,058 37 Ben Chilwell CFC £9,880,000 Milton Keynes £281,140 35 Dean Henderson MUFC £5,200,000 Copeland £149,395 35 James Milner LFC £7,280,000 Leeds £210,358 35 Jadon Sancho MUFC £18,200,000 Southwark £528,767 34 Kyle Walker MCFC £5,720,000 Sheffield £184,701 31 Raheem Sterling MCFC £15,600,000 Brent £508,571 31 James Maddison LC £5,720,000 Coventry £201,331 28 Alex Oxlade-Chamberlain LFC £6,240,000 Portsmouth £222,279 28 Danny Drinkwater CFC £5,200,000 Manchester £196,333 26 Harry Kane THFC £10,400,000 Waltham Forest £487,133 21 Ben White AFC £6,240,000 Bournemouth, Christchurch and Poole £299,301 21 Luke Shaw MUFC £6,240,000 Kingston upon Thames £507,702 12 Callum Hudson-Odoi CFC £6,240,000 Wandsworth £625,412 10 Sources Spotrac – EPL Salary Rankings Gov.uk – UK House Price Index (May 2021 – latest available data) Wage / Average House Price
Leading Ratings Agent Fears Businesses’ Ability to Appeal Higher and Higher Rate Bills will be curtailed if government proposals come into force… The government’s latest proposals on business rates (Government Consultation Paper on More Frequent Revaluations)* will create more difficulties for businesses appealing their business rates than benefits, according to rating experts at Colliers, the international property consultancy. Colliers is responding to the government consultation, launched at the end of June which requires responses by August 24th 2021, in which the government stated its belief that three yearly Revaluations (Revals) will provide more accurate valuations and greater transparency about the make-up of valuations, enabling business rates liabilities to more closely reflect current rents and economic conditions. While Colliers supports the move to three-yearly valuations, (although would prefer annual revaluations) but is concerned that the government is not prioritising increasing the resources at the VOA to achieve this aim- resulting in a system- according to Colliers which will inevitably put even more burden on ratepaying businesses. The consultation paper is asking for responses and comments on the following matters: Duty to notify the VOA of changes to the occupier and property characteristics, information which would be shared with the billing authorities. This is expected to include extensions, alterations or demolition, conversions, splits and mergers and change of use. Mandatory provision of rent and lease information as well as trade and cost information used for valuations. This would be on an annual basis, aligned with business rates billing, using an online portal and would need to include any side agreements. There is also a requirement to provide lease information following an “event” such a lease renewal or rent review. Provision of this information is mandatory for submission of an appeal against a Rateable Value and there would be penalty fines for providing late or incorrect information. The government is also proposing changes to the current appeals system: The Check stage would be removed (most likely for the 2026 Revaluation) on the basis that this would be covered by the Duty to Notify. There may be a fee for submitting a Challenge, in addition to the current fee for submitting an Appeal. This is expected to be refundable if the Challenge is successful. The draft list is unlikely to be issued prior to 1st January before the Revaluation, and all Challenges against the new list values would need to be submitted within three months of the start of the list. A new occupier would be able to submit a Challenge within three months of the start date of their interest in the property. The VOA would have a statutory duty to complete all list appeals by the end of the list i.e. within two years and nine months (the current Check and Challenge process alone can take up to two years and six months). Landlords could not submit an appeal where they are not the rateable occupier. The ratepayer can apply for a fuller analysis of rental evidence used, but this must be prior to the Challenge being submitted i.e. within the three months. This may also be subject to a fee. According to John Webber, Head of Business Rates at Colliers, the proposals would result in a much more onerous and expensive way for businesses to appeal their business rates. In its response to the consultation, Colliers has highlighted the following flaws in the proposed system: Duty to Notify. This is a significant burden on ratepayers as it will now involve an annual confirmation return. This is effectively an annual check by ratepayers – even those who may benefit from reliefs and don’t pay business rates- 600,000 businesses currently- increasing the paperwork and administration burden. Mandatory Provision of Lease Information. Again, an annual return to include side letters and arrangements agreed with landlords. This is required by the VOA even though they already have access to this through land registry and other sources. There may also be multiple rental returns required for each ratepayer based on frequent events being concluded throughout the year. Restrictions on Appeal timescales. The government has already announced that the draft list will be published 3 months before it becomes live and not the usual 6 months. This proposal then suggests a 3-month window to appeal. This leaves little time to review valuations and submit Challenges upon receipt of the draft list values. Fees for a Challenge with refunds upon success. This could cause cash flow issues and will reduce access to justice. (Currently there are no fees payable until the final stage of CCA). Although the 3 yearly cycle is a positive move, compared to what we have now (where rateable values are still based on rents in 2015), the VOA has maintained that it needs a 2-year gap between the Antecedent Valuation date (AVD), when values are assessed and when the list becomes live. Colliers believes the gap should be shortened to 12 months to give a truer reflection of the market. Landlords restricted from submitting challenges Although not of major concern to many, a lot of landlords take a proactive approach to the rates liability of their tenants. To remove their involvement in the process seems unnecessary as well as undemocratic. The death of MCC’s. Set against the background of the government legislating to outlaw Covid MCC appeals perhaps it is not surprising that they are suggesting the removal of the ability to appeal on any MCC grounds. While this could be possible in an annual revaluation cycle, to remove it in a 3-yearly cycle is again undemocratic and unjustified. Transparency – only proposed in stages – this is not fair to ratepayers and means the VOA will not be transparent until later lists. Backlog – the huge backlog of 2017 appeals mean that it is unlikely that these will be cleared prior to the new list and new process being put in place. Colliers are concerned that 2017 appeal rights could be cut off. Timescale Based on experience, Colliers also think that it
The latest property market analysis by London lettings and estate agent, Benham and Reeves, has taken a look at both the residential and commercial property markets and how both are currently performing for those considering an investment but unsure which path to take. The analysis shows that when it comes to the initial cost of investing, the average residential property requires a budget of £259,850. However, with an average value of £454,384, a commercial investment will require a budget some 75% larger on average. Where stock availability is concerned, the residential market also offers up far greater choice with 541,966 listings versus just 12,022 across the commercial space. The value of the market is also more substantial, worth an estimated £251.5bn while the commercial market comes in at almost £9bn in value. London and the South East rank top for resi stock availability, accounting for 19% of all listings, with the East of England (12%) also seeing a large number. Those eyeing a commercial investment are better placed investing in the South West and North West, accounting for 12.9% and 12% of all commercial stock respectively. London ranks third with 11% of all commercial properties in the capital. While the commercial sector may be smaller in both volume of stock and values it could prove the better option for the individual investor. On average across the UK, a commercial investment will bring a yield of 10.7%, while the average residential property offers a yield of just 3.7%. Currently, Scotland and the North West offer the highest residential yields at 4.4% and 4.3%, while Scotland is also home to the highest commercial yield at 20.4%, along with the South West (13.7%). Both regions are also home to the largest gap between the average residential yield and the average commercial yield. Director of Benham and Reeves, Marc von Grundherr, commented: “It’s fair to say that both the residential and commercial markets have been impacted by the pandemic and so it’s hard for investors to know where to put their money at present. But tough times can also bring great opportunity and with the country now reopening from both a professional and social standpoint, both sectors are set to see a return to health over the coming months. There are a plethora of factors to consider from your initial investment level, which sector to choose and the ongoing requirements, capital gains potential, as well as the regional disparities across these sectors in each region of the UK. While a commercial investment may offer a higher yield, the recovery timeline as a result of the pandemic is set to stretch on far longer than that of the residential rental market and residential property investment remains by far the dominant force where availability, affordability and total sector value is concerned. However, commercial investment can provide a more hands-off approach for those doing so through a third-party platform, while the amateur buy-to-let landlord is sure to spend more time sorting out tenant issues and so on. The best approach is a balanced portfolio and one that considers the pros and cons of each market from both a residential and commercial standpoint.” Table shows the current average asking price, value of the market, number of properties and proportion of total properties across both the commercial and residential markets Region Resi number of properties Resi asking price Est total value % of market Comm number of properties Comm asking price Est total value % of market London 103,471 £1,048,760 £108,516,245,960 19.1% 1,331 £1,526,731 £2,032,078,961 11.1% South East 103,293 £454,581 £46,955,035,233 19.1% 1,172 £2,032,700 £2,382,324,400 9.7% East Midlands 35,842 £275,169 £9,862,607,298 6.6% 780 £972,202 £758,317,560 6.5% East of England 65,333 £365,714 £23,893,192,762 12.1% 741 £645,600 £478,389,600 6.2% North East 22,423 £202,181 £4,533,504,563 4.1% 783 £347,866 £272,379,078 6.5% North West 48,599 £227,049 £11,034,354,351 9.0% 1,438 £429,830 £618,095,540 12.0% South West 49,629 £403,642 £20,032,348,818 9.2% 1,547 £534,867 £827,439,249 12.9% West Midlands 36,619 £289,322 £10,594,682,318 6.8% 1,175 £478,938 £562,752,150 9.8% Yorkshire and The Humber 29,099 £201,512 £5,863,797,688 5.4% 1,152 £330,030 £380,194,560 9.6% Scotland 25,310 £191,332 £4,842,612,920 4.7% 1,110 £305,749 £339,381,390 9.2% Wales 21,372 £244,530 £5,226,095,160 3.9% 768 £417,946 £320,982,528 6.4% Northern Ireland 976 £184,416 £179,990,016 0.2% 25 £396,942 £9,923,550 0.2% United Kingdom 541,966 £259,850 £251,534,467,087 100.0% 12,022 £454,384 £8,982,258,566 100.0% Table shows the current average yield across both the commercial and residential markets Region Resi asking price Resi asking rent pm Resi average yield Comm asking price Comm asking rent pm Comm average yield Scotland £191,332 £706 4.4% £305,749 £5,204 20.4% South West £403,642 £1,031 3.1% £534,867 £6,097 13.7% Yorkshire and The Humber £201,512 £633 3.8% £330,030 £3,549 12.9% Northern Ireland £184,416 £277 1.8% £396,942 £3,605 10.9% Wales £244,530 £806 4.0% £417,946 £3,597 10.3% West Midlands £289,322 £810 3.4% £478,938 £3,692 9.3% North East £202,181 £667 4.0% £347,866 £2,570 8.9% North West £227,049 £810 4.3% £429,830 £3,168 8.8% East of England £365,714 £1,057 3.5% £645,600 £4,377 8.1% London £1,048,760 £2,643 3.0% £1,526,731 £9,681 7.6% East Midlands £275,169 £802 3.5% £972,202 £5,053 6.2% South East £454,581 £1,356 3.6% £2,032,700 £7,848 4.6% United Kingdom £302,577 £869 3.4% £317,890 £5,204 19.6%
A £200,000 CBILS-backed loan via SWIG Finance has been given to a Bristol-based renovation specialist to support its future growth plans. Over the last 12 months Missiato Design and Build has experienced a period of rapid expansion, and the loan was required to help with ashflow as the business transitions through this phase of growth. Missiato has a team of tradesmen who undertake bespoke projects such as new build homes, interior and exterior renovations, loft conversions and landscaping. The business is led by Adamo Missiato and Luke Sperring, who have both enjoyed successful careers as tradesmen themselves. Missiato currently employs 20 staff and 15 sub-contractors, with a new administration role being created to support business growth. The business plans to create more jobs in the coming year. “Due to the nature of our business, our cashflow can be complex. We work on multiple projects simultaneously and our material expense is high, which can skew our profit and loss statement. We knew we needed a lender who could look beyond the immediate figures and view the business as a whole, which is what SWIG Finance did,” said co-owner Adamo Missaito. When the directors identified a need for external finance, they approached Jack Seymour of Pinnacle Business Finance, who connected them with community development finance institution (CDFI) SWIG. “When I initially spoke to Adamo from Missiato Design and Build it was evident that he was very ambitious with a clear vision of how he wanted to grow the business,” said Jack Seymour. I worked closely with Adamo to get an In-depth understanding of how best to facilitate his requirements for funding. “SWIG’s CBILS loan was the ideal solution for Missiato Design so the business could continue to grow whilst fulfilling larger more complex works.” SWIG Finance business manager, Jordan Berg, who worked with the business owners and their finance broker to secure the funding, added: “Missiato Design and Build has grown substantially over the last year with the pandemic playing a role in fuelling a surge for home improvement projects. The business has a solid order book for the year ahead and 2021 is set to be a record year for them.”
Research from the national estate agent, Keller Williams UK, has found that Brighton is home to the nation’s most valuable property postcode so far in 2021, outside of London, of course. Keller Williams UK analysed sold prices across the market in England and Wales since the start of the year and found that so far, a stamp duty holiday fuelled market has seen residential property sales hit £68.8bn in value. The top 10 is predictably dominated by London, with the NW3 postcode, covering parts of Camden and Barnet, topping the table where total value of homes sold is concerned. £262.5m worth of property has been sold in this one postcode alone since the start of the year. The SW19 (£248.8m), SW11 (£235m) and SW18 (£228m) postcodes also make the top 10, as do the W8 (£226m), W11 (£212.4m), SW6 (£212m), E17 (£202m) and NW11 (£198m) postcodes. However, there is one postcode that makes the top 10 that isn’t located within the M25. The BN3 postcode of Brighton and Hove has seen £206m worth of homes sold since the start of the year, making it the eighth-most valuable property postcode across England and Wales and the most valuable outside of London. Taking London out of the picture, Brighton also accounts for the second most valuable postcode, BN3, with a total value of £179.1m in homes sold. Brighton’s BN2 postcode also makes the list (£157m), along with the SL6 postcode in Maidenhead (£169.7m), the Dorset postcode of BN2 (£157m), SO41 in the New Forest (£125.9m), the Manchester postcode of WA15 (£120.7m), Southend’s SS9 postcode (£118.5m), BA2 in Bath (£117.1m) and Horsham’s RH12 postcode (£112.3m). CEO of Keller Williams UK, Ben Taylor, commented: “Despite London seeing a somewhat lethargic performance in terms of property price growth over the last year, it remains home to the majority of the top postcodes in terms of the highest value of homes sold so far this year. However, while the capital continues to dominate the headlines, the UK property market is far from a one-trick pony. When looking outside of the M25 there is a range of areas performing very strongly spanning the length and breadth of the UK and it will be interesting to see which postcodes remain the most valuable come the end of the year.” Table shows the top postcodes for the highest value of property sold so far in 2021 across England and Wales (Inc London) Postcode district Location Total value NW3 Camden / Barnet £262,487,046 SW19 Merton / Wandsworth £248,800,270 SW11 Wandsworth / Lambeth £234,858,700 SW18 Wandsworth £227,625,878 W8 Kensington and Chelsea £225,963,338 W11 Kensington and Chelsea / Westminster / Hammersmith and Fulham £212,426,624 SW6 Hammersmith and Fulham £212,004,240 BN3 Brighton and Hove £206,087,089 E17 Waltham Forest £201,193,176 NW11 Barnet £197,670,500 England and Wales £68,848,011,189 Data sourced from the Land Registry Price Paid records – Jan 2021 to May 2021 (latest available) Table shows the top postcodes for the highest value of property sold so far in 2021 across England and Wales (Exc London) Postcode district Location Total value BN3 Brighton and Hove £206,087,089 BN1 Brighton and Hove / Lewes £179,128,540 SL6 Windsor and Maidenhead / Buckinghamshire £169,665,888 BN2 Brighton and Hove / Lewes £156,968,190 BH23 Bournemouth, Christchurch and Poole / New Forest £145,957,708 SO41 New Forest £125,872,492 WA15 Trafford / Manchester / Cheshire East £120,660,020 SS9 Southend-on-Sea £118,503,085 BA2 Bath and North East Somerset / Mendip / Wiltshire £117,124,277 RH12 Horsham £112,316,147 England and Wales £68,848,011,189 Data sourced from the Land Registry Price Paid records – Jan 2021 to May 2021 (latest available)
The latest research by Birmingham and Newcastle-based property developer, StripeHomes, has examined where in England buy-to-let landlords can achieve the best rent yields, discovering that the North provides the most valuable investment opportunities. The buy-to-let industry has endured some tough times in the last couple of years. Not only has COVID-19 profoundly affected the reliability of rental income, but changes to regulations and tax rules have also made it more difficult for landlords to maintain a good level of profit from their investments. Proposed changes to Capital Gains Tax allowances were threatening to make the situation even harder, but now that this has been put on the backburner, landlords can finally start looking forward and thinking about how best to grow their rental portfolios. When doing so, rent yields are the most important statistic to examine, so StripeHomes has analysed all of the available data to provide a list of England’s best locations for high-yield buy-to-let returns. By Region On a broad regional level, the best buy-to-let yields can be found in the North East. Of course, the North East region is huge and so research when investing should always be undertaken at a more granular level. However, the region as a whole is currently home to an average house price of £144,032 and an average rent value of £566 per month, the rental yield is 4.7%, well above the national average of 3.9%. Second on the list is Yorkshire & Humber, where the average house price is £179,408 and the average rent is £631 per month, delivering a good yield of 4.2%. The third-most profitable buy-to-let region is the North West with an average yield of 4.2%, followed by London – the first location not found in England’s North – where high house prices are matched by high rent values to create a yield of just under 4%. Rounding off the top five is the West Midlands, where an average house price of £216,973 meets an average rent value of £697 per month to create a yield of 3.9%. By Local Authority This yield analysis can also be narrowed down to examine individual towns and cities, which shows that the very best rental yields for buy-to-let landlords in England are found in Newcastle-upon-Tyne. With an average house price of £177,821 and average monthly rent of £844, the city offers an average yield of 5.7%. Blackpool is close behind with an average house price of £116,939 and an average rent of £540 per month creating a yield of 5.5%. Stoke-on-Trent also boasts yields of 5.5%, while Burnley in Lancashire and Knowsley in Merseyside both offer yields of 5.4%. It’s clear from this data that the best rent yields in England are currently found in the North, demonstrated by the fact that 16 of the country’s top 20 yield locations are found north of Nottingham. Managing Director of StripeHomes, James Forrester, commented: “It’s great to see a number of areas presenting strong yields to buy-to-let investors despite the government’s best efforts to reduce profit margins in an attempt to disincentivise landlords and free up housing stock for general homebuyers. As the backbone of the rental market, the buy-to-let sector plays an incredibly important role in providing many with a place to live, but we simply can’t expect the nation’s landlords to provide this service at a loss. However, the year ahead looks positive and with travel restrictions lifting, a return to face to face teaching at universities as well as a return to the physical workplace, increasing demand should help boost many areas of the market.” Table shows the current average yield in each region of England Location AveHP – April 2021 Average rent pm – March 2021 Rental yield North East £144,032 £566 4.72% Yorkshire and The Humber £179,408 £631 4.22% North West £183,299 £636 4.16% London £491,687 £1,623 3.96% West Midlands Region £216,973 £697 3.85% East Midlands £213,308 £660 3.71% South West £279,951 £840 3.60% South East £341,358 £999 3.51% East of England £313,964 £889 3.40% England £268,380 £864 3.86% Sources Gov.uk – UK House Price Index Office for National Statistics – Private Rental Market Summary Table shows the areas of England with the highest average rental yield at present Location AveHP – April 2021 Average rent pm – March 2021 Rental yield Newcastle upon Tyne £177,821 £844 5.70% Blackpool £116,939 £540 5.54% Stoke-on-Trent £120,043 £547 5.47% Burnley £105,618 £477 5.42% Knowsley £142,030 £641 5.42% Hyndburn £107,148 £482 5.40% Sunderland £126,520 £541 5.13% County Durham £117,576 £502 5.12% Barrow-in-Furness £131,544 £560 5.11% Salford £182,091 £770 5.07% Manchester £203,169 £838 4.95% Pendle £120,840 £498 4.95% Newham £382,016 £1,536 4.82% Blackburn with Darwen £127,154 £511 4.82% City of Nottingham £172,540 £682 4.74% Preston £143,743 £568 4.74% Barking and Dagenham £312,288 £1,226 4.71% Middlesbrough £125,115 £490 4.70% Stockton-on-Tees £146,819 £573 4.68% City of Bristol £306,482 £1,196 4.68% Sources Gov.uk – UK House Price Index Office for National Statistics – Private Rental Market Summary
