Research by the nationwide buy-to-let specialist, Sequre Property Investment, has revealed that the tide of pandemic rental arrear woes that have impacted one in five landlords could be starting to turn, as the majority are now seeing a reduction in the level of late rental income owed to them. The
Housing 21, a not-for-profit housing association, is proposing to redevelop an existing housing block in Richmond upon Thames, and create a new affordable housing scheme consisting of 28 apartments for older people. The Retirement Living development, together with London Borough of Richmond upon Thames, will address the shortage of housing
Torus has been granted funding to extend its affordable homes programme across the North West region. This follows today’s announcement by the Ministry of Housing that £8.6 billion will be invested in bolstering the delivery of new affordable housing across the country. Part of the Affordable Homes Programme – the largest single investment in affordable housing in a decade – Torus will build upon its successful strategic partnership
A Bedfordshire housing association has completed the purchase of 4.06 acres to develop 100 new homes as part of a new 650-acre urban village being created near Houghton Regis, Bedfordshire. The £4.75m deal will see bpha create 49 shared ownership and 51 affordable properties for rent comprising a mix of
Management can be a tricky business to take on. Many different aspects need taking care of – from dealing with tenants and their concerns to properly maintaining the property. However, if you’re not careful, property management has the potential to turn into a nightmare. So, don’t let it get to
The first spade in the ground has taken place at Places for People’s latest development in Bordon, Hampshire. Work is underway at Places for People’s second development in Bordon – Maple Fields, located off Station Road – which features a collection of two and three-bedroom semi-detached and detached homes and
MAPP has been awarded B Corporation certification – the largest real estate consultancy in the UK to be recognised for its environmental and social performance. The company, which manages £13.2bn of commercial property across the UK, said the certification gives it a “formal framework” to continue pursuing its ESG agenda.
What do you do when you’ve got a tenant who seems to be causing problems? Many landlords and property managers have encountered this problem, and the result is a very frustrated landlord. Understanding the reasons why tenants behave as they do and what that means for your rental business will
With legislation changes on the horizon the world of property management is going to have to continue to evolve, and we’re positioning ourselves to be ready. With new regulations coming our way, how we communicate with residents will be changing and residents will expect to see how we manage that.
The latest research by the nationwide buy-to-let specialist, Sequre Property Investment, has revealed that despite a string of government changes around stamp duty, tax relief and a potential change to capital gains tax, UK landlords remain undeterred where their investment intentions are concerned. While changes to tax relief and a
Research by the nationwide buy-to-let specialist, Sequre Property Investment, has revealed that the tide of pandemic rental arrear woes that have impacted one in five landlords could be starting to turn, as the majority are now seeing a reduction in the level of late rental income owed to them. The survey of nearly 4,000 UK landlords commissioned by Sequre Property Investment found that nearly one in five (17%) have experienced rental arrears as a result of the pandemic. For a third (27%), this has been a marginal inconvenience to the tune of one month’s rent. However, a further 23% have been out of pocket between one and two months rent, with half have seen these arrears accumulate to two or more months of rental income. With the government moving to ban tenant evictions while increasing eviction notice periods to six months during the height of the pandemic, landlords have had little choice but to sit tight in hope that this lost rental income can be recouped further down the line. The good news is that this tide of pandemic rental arrears does seem to be turning, with many landlords reporting a reduction. While 36% stated that the level of arrears owed to them has remained the same since the height of the pandemic, 37% have seen a reduction and just 28% have seen a further increase. Sales Director at Sequre Property Investment, Daniel Jackson, commented: “The pandemic has posed problematic for tenant and landlord alike but while the nation’s tenants have been afforded a great deal of government protection, little has been done to aid those landlords facing a backlog of unpaid rent. With the government all but blocking the ability to evict tenants who can’t pay, the only option on the table has been to sit tight and wait for this storm of rental arrears to blow over. The good news is that many now seem to be weathering this storm and having shown faith in their tenants during hard times, the majority of landlords are now starting to have this faith repaid in the form of overdue rent. Of course, there are some tenants who are not yet out of the woods, as well as those who seek to take advantage of the system, but the rental market certainly seems to be rebounding in the right direction. Despite these tough times of late, as well as a string of legislative changes to buy-to-let profitability, the buy-to-let sector remains a lucrative business and continues to attract attention from the amateur landlord, right through to the institutional investor.” Survey of 3,842 UK landlords carried out by Sequre Property Investment via consumer research platform Find Out Now (15th September 2021). As a landlord, have you experienced rental arrears as a result of the pandemic? Answer Respondents No 83% Yes 17% To what extent? Answer Respondents Two months or more 50% Up to one month 27% Between one and two months 23% How has your level of rental arrears changed since the height of the pandemic? Answer Respondents Reduced 37% Remained the same 36% Increased 28%
Housing 21, a not-for-profit housing association, is proposing to redevelop an existing housing block in Richmond upon Thames, and create a new affordable housing scheme consisting of 28 apartments for older people. The Retirement Living development, together with London Borough of Richmond upon Thames, will address the shortage of housing for older people. Survey and design work has commenced and full plans are being presented to members of the local community, giving an opportunity to learn more about the scheme, ask questions and make comments. The public consultation event will run virtually, and feedback should be submitted by Friday 10 September. The website can be accessed at: http://www.spbroadway.com/howsonterrace All properties in the scheme – designed by architects, Hunters– will be affordable, either for social rent or shared ownership. There will not be any market housing built on the site. The scheme will be specifically designed for older people, promoting independent living in a community setting, with a communal lounge and scheme manager on site during the week. Geoff Reynolds, Property Development Manager at Housing 21, said: “We are excited to submit plans for this high-quality Retirement Living scheme in Richmond, which will be Housing 21’s first within the area. Retirement Living offers older people choice and control over their living arrangements as residents will benefit from having their own front door while having access to communal facilities, such as a lounge, offering a safe and secure place to call home. “The site at Howson Terrace is an ideal location for this development and is well-placed to serve the people of Richmond. We look forward to working with the council and local community to create a development that meets their expectations.” In addition to the 28 apartments, the development will provide a range of communal spaces including a communal lounge and green spaces. Responding to climate change the scheme will be built to an enhanced specification in order to be energy-efficient and have a low carbon impact. The design will feature landscaped areas around the building. Care will be taken to protect the natural environments and a sustainable urban drainage system (SuDS) will also be implemented. To access the virtual consultation, click here: https://www.howsonterrace.com/
Torus has been granted funding to extend its affordable homes programme across the North West region. This follows today’s announcement by the Ministry of Housing that £8.6 billion will be invested in bolstering the delivery of new affordable housing across the country. Part of the Affordable Homes Programme – the largest single investment in affordable housing in a decade – Torus will build upon its successful strategic partnership with Homes England and continue to tackle the lack of availability of affordable homes in the region. As the largest provider of affordable homes in the North West, Torus understands that safe, affordable homes are the foundation of any thriving community and this funding will allow the group to fulfil its long-term placemaking ambitions and create places that actively respond to changing local demand. Torus is a catalyst for change and this grant will expand the group’s affordable homes programme, further transforming, regenerating and building communities that meet the needs of a growing, diverse, multi-generational population. Creating affordable solutions, that provide people with a range of tenure options, Torus will continue to develop a number of schemes that will offer sustainable housing choices people can benefit from, no matter their situation. Discussing the grant, Group Chief Executive, Steve Coffey, said: “This grant enables us to plan further into the future – beyond the 5 years laid out in our Corporate Plan – and create a stable, long-term pipeline that will see homes built exactly where they’re needed, ensuring that we can make the biggest difference for our communities. “Creating homes which are genuinely affordable is integral to our mission as an organisation, and since amalgamating as a larger group in January 2019 has already seen us build 1,600 new affordable homes and invest £260 million into our communities – these figures will only continue to grow following the renewal of our partnership with Homes England. “The need for affordable housing is not ebbing and as a group, we continue to work tirelessly to not only build homes that give people chances to live well in a home and area they choose. By proactively partnering with national agencies and collaborating strategically with Homes England, we can effectively plan for the future and continue helping people on and along the property ladder. “Not only will this grant help us and our communities ‘Build Back Better’, it will contribute to tackling social issues, supporting people into training and employment and creating homes that embrace new technologies and create greener, healthier homes everyone can afford.”
A Bedfordshire housing association has completed the purchase of 4.06 acres to develop 100 new homes as part of a new 650-acre urban village being created near Houghton Regis, Bedfordshire. The £4.75m deal will see bpha create 49 shared ownership and 51 affordable properties for rent comprising a mix of apartments and houses ranging from one bedroom through to three bedroom homes. Work to build the homes is due to commence in April 2022, with the first homes being completed by August 2023. Completion of the development is anticipated in October 2024. As part of the deal bpha will also deliver three retail units offering locally run shops, in line with Linmere’s 20-minute neighbourhood strategy meaning that residents will never be more than a 20-minute walk or cycle ride away from community facilities, shops, schools and green spaces. Jeff Astle, Executive Director of Development and Sales at bpha said “We are very pleased to have acquired this site at Linmere and look forward to developing a high-quality scheme of much needed homes for shared ownership and affordable rent in this most sustainable location. We are grateful to Homes England for its financial support to ensure that the scheme can progress and we will be submitting a Reserved Matters Planning application to Central Bedfordshire Council shortly. With an anticipated start on site in April 2022, we will be seeking a construction partner before the end of this year”. The scheme will contribute to bpha’s development plans to deliver 3,000 new dwellings over the next five years across the Oxford to Cambridge Arc, where the organisation currently owns or manages around 19,500 homes. The bpha homes are the latest affordable properties to be announced at the new Linmere development, which is being created over the next 15 years by the Houghton Regis Management Company (HRMC), a consortium comprising master developers Lands Improvement, Aviva Investors, and the Diocese of St Albans. Linmere development director Nigel Reid said: “We’re delighted to welcome bpha to the Linmere fold. With our focus on creating communities, the one hundred well designed tenure-blind affordable homes it is going to build will play a key role in ensuring we offer something for everyone. The site will also complement our ethos of ensuring that every single resident is only ever five minutes away from an open green space and needs to travel no further than 20 minutes on foot or bicycle to reach a shop selling everyday essentials.” The first homes at Linmere will be available for occupation in the autumn. Around a third of the 650 acres will not be developed, with 90 acres of this being formal public open space. The rest will be managed land, allowing natural habitats to thrive. The development will offer a combination of parkland, wildlife corridors, allotments, sports pitches, play areas and walking routes linking the new village with surrounding countryside and rural settlements. Cycle paths and cycle-friendly roads will crisscross the development and Linmere will also link in with the national cycle network. Linmere will see the creation of 5,150 homes over the next 15 years. Two brand new state of the art primary schools and an extension to Houghton Regis’ existing Thornhill Primary school, due to open this September. A ten-form secondary school will open in September 2022.
Management can be a tricky business to take on. Many different aspects need taking care of – from dealing with tenants and their concerns to properly maintaining the property. However, if you’re not careful, property management has the potential to turn into a nightmare. So, don’t let it get to that phase. Be Proactive: Conduct Periodic Repair, Inspection, and Maintenance Homeowners are not the only ones who have an interest in their property. Your tenants expect a certain level of service and amenities as well. Prioritize your repairs so that more serious issues do not fall through the cracks. For example, you can have movers shift buildup stuff so the building remains clean and clutter-free. Alternatively, you can have an appropriate waste management system that gives existing tenants and potential ones a peaceful mind. Also, remember to inspect your unit and conduct periodic repairs, inspections, and maintenance. This will prevent minor problems from becoming major headaches. Finally, make sure to have a maintenance schedule that allows you to work your way down the list and tackle each repair as it arises. Having this type of plan in place can help reduce tenant complaints about minor issues, like leaky faucets or clogged gutters. Have a Method for Attracting the Right Tenants Your property management methods should have a way to attract the right tenants. If you are struggling with this, consider adding an application fee or pre-qualification questions that weed out those who aren’t serious. In addition, implement a credit check criteria for screening purposes and ensure your applicants provide recommendations as proof of a good tenant. You should also consider creating an incentive program for the best tenants to keep your property management team busy with things other than evicting. It may be worth considering adding move-in bonuses, referral programs, and renewal incentives that can help you attract the best applicants and keep them around. Have Open Communication With Tenants Open communication is essential for healthy property management. When you have an open line of communication with your tenants, they are less likely to complain or make noise about every little problem. A few simple phrases can keep them happy and the relationship on good terms. The best way to start is with a simple “hello” when you see them. It may feel awkward at first, but once the tenant realizes that their landlord cares about them, they will begin to open up more often. Acquire and Use IT Systems IT systems are an integral part of property management trends. They can help you streamline your processes and get a better overview of how profitable your properties are. Still, most importantly, they allow you to be flexible in the face of changing competition and market conditions. Once you acquire IT systems for yourself, there is no going back: it’s going to be the unbreakable backbone of your property management. Conclusion The problem is that many property managers are not proactive enough to ensure success. But, if you recognize the warning signs and take action when needed, your property management strategies can be an excellent asset for your business.
The first spade in the ground has taken place at Places for People’s latest development in Bordon, Hampshire. Work is underway at Places for People’s second development in Bordon – Maple Fields, located off Station Road – which features a collection of two and three-bedroom semi-detached and detached homes and one and two-bedroom apartments. Following on from the success of the first development in Bordon at Woolmer Copse, Maple Fields is bringing 60 new homes to the area, which is situated a stone’s throw away from Prince Philip Park. The properties will also boost the supply of new homes and make a positive contribution towards the supply of affordable housing in the area with homes available for sale through Shared Ownership and also to rent. 43 of the 60 homes will be modular, forming part of a wider £100 million joint venture between Places for People and ilke Homes leading modular housing company, which was announced in 2019. In the largest deal to date for Britain’s modular housing sector, Places for People agreed to purchase 750 units from ilke Homes. The two companies now have a modular development pipeline in excess of 1,000 units across a number of development schemes that are either already contracted or under negotiation. Places for People’s Managing Director for the South West region, Greg Hilton, said: “We are really pleased to be able to build on our success at Woolmer Copse and we are confident Maple Fields will achieve the same standards and create a sense of community, which are key priorities for us. “I am thrilled that work is underway on these high-quality new homes in Bordon and we are delighted to be working with ilke Homes once again. Thanks to their standardised processes, we are able to provide affordable housing in a quicker time period whilst delivering 43 homes to the highest quality and ready for occupation over a four-month period, reducing the build programme to a fraction of that which would be expected using traditional methods. “At Maple Fields we’re creating a range of affordable and well-designed houses and apartments which will give our customers unrivalled choice and quality in Bordon.” Phil Pearson, Development Director at ilke Homes, said: “Our joint venture with Places for People remains a sector-defining moment for the modular housing industry. The latest scheme we’re delivering for the Group is a great example of how offsite manufacturing can help speed up the construction of new-builds and improve quality while ensuring that the homes delivered are some of the most energy-efficient in the country.” Homes England, the Government’s national housing agency, has been championing modular housing as a solution to speeding up the delivery of affordable housing across the UK. Last year, the Government’s national housing agency announced that housing associations looking to sign deals under the new £11.5 billion Affordable Housing Programme will have to commit to using modern methods of construction (MMC) to deliver at least a quarter of their pipelines.
MAPP has been awarded B Corporation certification – the largest real estate consultancy in the UK to be recognised for its environmental and social performance. The company, which manages £13.2bn of commercial property across the UK, said the certification gives it a “formal framework” to continue pursuing its ESG agenda. Few property companies in the UK have received B Corp status, which involves scrutiny over a company’s operations across five areas: governance, workers, community, environment and customers. MAPP implemented several measures as part of the certification process, including the total abolition of zero hours contracts, increased diversity and inclusion, financial coaching for employees, “market leading” maternity policies and the opportunity to lease electric or hybrid cars. To qualify, businesses have to complete the B Impact Assessment, which evaluates how the company interacts with workers, customers, community and the environment, before sharing confidential documentation to validate the responses. Companies have to update their assessment every three years to maintain their certification. Besides MAPP, the only property management or investment companies in the UK with B Corp status are TSP, FORE Partnership, Newcore Capital Management and igloo Regeneration. A number of coworking operators have also been certified: The Hub Kings Cross, ARK and x+why, eOffice. Nigel Mapp, CEO of MAPP, said: “Since our inception 23 years ago, being a force for good and making a meaningful contribution to our communities has been in the company’s DNA. “There is an authentic correlation between the principles of B Corporation and the practices and standards we aspire to, so pursuing this accreditation felt like a natural progression in the MAPP story. “Becoming part of the B Corporation movement is the beginning of a new chapter. It provides us with the formal framework to continue to push the boundaries with how we deliver, measure and assess the impact we have with our people, partners, the community and environment, while empowering us to build on our progress and do even better.”
What do you do when you’ve got a tenant who seems to be causing problems? Many landlords and property managers have encountered this problem, and the result is a very frustrated landlord. Understanding the reasons why tenants behave as they do and what that means for your rental business will help you develop a workable strategy for managing this often difficult relationship. Bad tenants can take on many forms, from the irresponsible to the frankly criminal. Here are some common problems with tenants and tips for dealing with them. Late or Partial-Paying Payers Since landlords manage properties, they often see tenants as customers. Failing to look at it from the tenant’s perspective and understand why they might be late in paying rent, however, will only lead to problems. Landlords need to identify who their most profitable, reliable and long-term tenants are early on in the relationship. And once they do, landlords should strive to retain them as much as possible by building a good personal relationship with them and communicating effectively. Whiners A landlord who has a tenant who is a constant complainer may finally have to evict them. The strategy will depend on the landlord’s reason for wanting to get rid of the tenant. A tenant who sublet without permission or a lease is another example of a troublemaker, as well as one who causes a major disruption in the apartment complex or building. Indulgent Pet Owners Landlords face different problems from pet owners every day. Most often face premises liability issues with pet faeces, urine, damaged property and general disturbance to neighbours. Many pet owners are reasonable, but some pet owners let their animals do what they want and disregard the property rules. It is important for landlords to have a clause in the tenancy agreement that covers renting with pets (such as size, number, and appropriate care) and address the potential cost of damages to the property. Landlords should also be aware that tenants can be held responsible for the behaviour of their pets and must be willing to follow through on any eviction proceedings. Destroyers Even the best tenants can damage your property. The first step is to sanction them immediately in writing for damage and then begin the eviction process. Start by serving an eviction notice which is a legal document used by a landlord to evict a tenant for not complying with the original terms of the lease or rental agreement. Don’t let tenant problems ruin your home, your cash flow, or your peace of mind. You can protect your property with insurance. Landlord insurance is a type of insurance that covers your own possessions and liability in case of lawsuits or claims from damage caused to property and/or bodily injury. It can also cover damage to the inside of your home caused by your tenants if you have chosen to rent out your house. Conclusion Solving common problems for tenants is one of the hardest but most profitable duties of a landlord. Some problems may be as simple as returning calls or messages. Most problems can be solved with little to no issues, but it never hurts to make sure everything is covered in your tenancy agreement just in case.
With legislation changes on the horizon the world of property management is going to have to continue to evolve, and we’re positioning ourselves to be ready. With new regulations coming our way, how we communicate with residents will be changing and residents will expect to see how we manage that. So, our teams have been getting creative over the last few challenging years developing ways to help our clients and customers, because, as an industry, we need to stay ahead of the game. Some of the ideas that bounced off the table have already been received as ‘refreshing’ and ‘necessary’ by our developer clients, and we’ve brought in new members of the team to help deliver them. Here are just a few… Training for new build sales teams Remus now offers comprehensive management company training to our clients’ sales teams, typically within 14 days of site launch. It’s partly an introduction to Remus, but more importantly provides education on the difference between a managing agent and a management company. Our training covers: How Remus was appointed The handover process What happens to completion monies What residents can expect post-handover Detail of the service charge projection Handover to residential control post land transfer We also leave the sales team with informational materials to assist in the sales process. Free ‘ASK THE AGENT’ Seminars If the sales team training needs a top up, our seminars provide all the answers to questions such as ‘What does a Managing Agent do?’ in which the teams get a deeper dive into what we do and how we make it happen. We also explain the journey of a new development – from land acquisition, through the technical process to sales and then handover to management and beyond. Giving this level of information right, from the start, reduces queries when it matters and we’re now back on the road providing our training and seminars face to face. Staff training We have invested in more training for our property teams too. Training from the bottom up focuses on the lifecycle of a development, people skills and financial management, through to creating a robust community engagement strategy. All of which gives our teams a deeper understanding of the importance of their role in nurturing a thriving and well-informed community. Placemaking is a necessary part of what we provide as managing agents and often requires detailed knowledge of complex environmental issues, so it is vital our property teams are equipped with the best information. New appointments in customer service and estate mobilisation Our new Customer Experience Manager, Jane Turner heads up our Customer Service department. She advocates picking up the phone to a customer, calming any issue and turning the situation around. No agent will get everything right all the time, and sometimes it’s simply an education process that gets the required resolution. Once the customer understands the ‘why’ and ‘how’ related to their query it becomes less of an issue (or not one at all). Identifying that Estate Management is the way forward, we put together a system that educates purchasers of the value that estate management can give to their community. We also recognise that managing estates can require a different skill set to the management of apartment blocks and so have created a team dedicated to the handover of estates. Headed up by the highly experienced Mal Vickers to ensure a well maintained and beautiful environment for the community is met. Community Engagement When it comes to community building no one size fits all! We provide a bespoke Community Engagement Strategy for each of our sites that fits its environment and all who reside there, residents and wildlife alike. After a tumultuous few years, our aim is to help rebuild trust in group activities, lift spirits and get people back together, and with the help of a Community App that is based on social interaction specifically designed for community building, we’ll get there. New build developments are so much more than a number of houses built in close proximity, or a block of apartments, and placemaking is now even more important to us, as we work with resident management companies to nurture a thriving environment for all. For more information on our approach to Open Space Management visit https://www.remus.uk.com/property-services/open-space-management/
The latest research by the nationwide buy-to-let specialist, Sequre Property Investment, has revealed that despite a string of government changes around stamp duty, tax relief and a potential change to capital gains tax, UK landlords remain undeterred where their investment intentions are concerned. While changes to tax relief and a three per cent increase to the rate of stamp duty on buy-to-let purchases was predicted to cause a mass exodus of landlords, the research by Sequre found that just 10% have sold part of their portfolio in the last five years. Ascend then asked if they planned to sell up in the next five years and just 19% stated they were thinking of doing so. Despite the government’s best intentions, changes made to dampen buy-to-let profitability aren’t the driving factor they were intended to be. In fact, the majority of landlords stated that they were thinking of selling up because they had become tired of dealing with tenants issues. A problem that was no doubt intensified during the pandemic when the government implemented a ban on tenant evictions. The next biggest factor when considering a buy-to-let investment is retirement, with most landlords looking to sell up in order to enjoy their golden years. However, the previous changes to landlord tax relief did rank as the third most influential factor, while the increase in stamp duty tax followed closely behind. With a change to capital gains tax failing to materialise in the last Budget, it ranks as the least influential factor, with more landlords exiting in order to invest in different asset classes instead. Sales Director at Sequre Property Investment, Daniel Jackson, commented: “Investing in property remains one of the safest options you can make in this day and age and so it comes as little surprise that the majority of landlords remain confident with their investment and have no plans to exit the buy-to-let sector. It’s also interesting to see that the government has failed to intimidate the nation’s landlords, despite a consistent campaign to reduce profit margins and force them out of the sector. In fact, more landlords have decided to leave having grown tired of dealing with tenants than they have because of various government tax changes. So it looks as though the government will have to actually build some more homes if they wish to address the current housing crisis, rather than rely on hard-working landlords to boost the nation’s property stock levels.” Survey of 797 UK landlords carried out by Sequre Property Investment via consumer research platform Find Out Now (21st July 2021). Have you sold part or all of your buy-to-let portfolio in the last five years? Answer Respondents No 90% Yes 10% Do you intend to sell part or all of your buy-to-let portfolio in the next five years? Answer Respondents No 81% Yes 19% What has been the driving factor behind this? (Tick all that apply) Answer Respondents Tired of dealing with tenant issues 24% Retirement 23% Changes to landlord tax relief 19% Increase in stamp duty tax for B2L purchases 12% Investing in a different asset 11% A potential increase in capital gains tax 11%
