The Spring Property Market

There is nothing quite like spring, with thawing winter frosts heralding the imminent arrival of summer and longer evenings. 2023 will allow you to drink all this in and enjoy these inspirational moments all the more. The same can be said of your property search. With houses no longer selling like there’s no tomorrow, unlike the rather uncomfortable rush of the past couple of years. You can finally breathe, take a little time, and find the home you love.

A little more housing stock means house prices are not spiralling

Be in no doubt: there is still a housing drought in the UK property market, helping keep prices buoyant. Demand still far outweighs supply. However, with stocks replenishing a little as the market calms so do house prices. You no longer have to race to the first possible viewing to compete with other buyers and make offers over the asking price. The result is that house prices are not spiralling too quickly. Instead, house-buying conditions are more settled and compatible with a secure future.

Quality time spent with your agent and your potential new home

Sometimes too much choice makes it harder to make up your mind! Have you ever found yourself wishing you could have the kitchen from your first viewing in the location or with the garden from another viewing? The guidance, inspiration, and seasoned yet informed input of a good agent will help your vision become an adventure that surpasses your expectations. Reality is often more beautiful and awe-inspiring than your dreams, and you could end up with a far better home than you ever imagined.

More choice gives you more inspiration

Inspiration and choice go hand in hand. View and explore the feelings inspired by other homes. Physical viewings will yield to your imagination myriad ideas to help you truly understand what you are looking for. In many ways your new home picks you, and the more homes you view the greater the chances of finding your true home destiny.

Live the house dream

Perhaps one of the greatest incarnations of a dream is buying and moving into the home you have wanted for so long. You get live inside your vision. When this happens, the feeling of elation is unique and unforgettable. The house you choose will be the place to witness so many happy memories while protecting you from the elements and challenges of the world outside. You don’t want to rush this big decision, and now you are in a good place to make the right choices.

Browse our choice of properties and help us to help you find your home and click below to talk to us about selling your home and making your move this Spring.

Buy-to-let investments. The perfect pension option!

Whether you are planning on retiring early, late, or not at all, investing in property is a very effective way to build a substantial retirement fund! The old saying is true: You only get out of life what you give. While it’s true that it requires more effort and organisation to prop up your pension fund with property, the benefits are well worth it.

Things to consider

There is little doubt that purchasing a house takes much more effort than simply paying a monthly figure into a pension fund. So here are a few things to keep in mind.

Buy in the right location

Location and understanding the market you are investing in are essential. You want to protect your investment, ideally enjoy good growth, and have a reliable and regular stream of rent. So do your research and invest in a property that will give you all these things in spades.

Stamp duty

When you purchase an additional property, you will pay 3% on top of the normal stamp duty rate.

You will need a 25% deposit

Applying for a buy-to-let mortgage is a little different from a conventional mortgage. Firstly, you typically need a 25% deposit. Many landlords also opt for an interest-only mortgage to keep monthly payments to a minimum. Then repay at the end of the term of the mortgage or make overpayments on the balance throughout the lifespan of the mortgage. The amount you can borrow is also based on what rent you can charge tenants, not what you earn. However, your lender will also take into consideration your income.

Lettings agent

A good lettings agent will make your life so much easier. There are plenty of options for levels of service. You may decide on a fully managed service or a basic level. The costs are relatively low, ranging from 10-15% of your monthly rental income.

The rewards

You gain more control over your pension when you invest in property, and the rewards compared with a conventional pension fund are greater and more tangible.

Good old bricks and mortar!

A good, solid investment in something as tangible as property is a pragmatic choice when it comes to long-term resilience. Stocks and shares can both fall and rise at the drop of a hat!

Property prices are on the long-term ascent

In the long term, property prices tend to rise. If you want proof, you only have to look into the past. While prices can fluctuate in the short term, in the long term they steadily grow, increasing the value of your retirement fund.

Rental income

The value of your pension will increase as you pay your buy-to-let mortgage. Adding to this, any increases in the value of your property and rental income and you are well on your way to creating a substantial retirement fund. To achieve this, investing wisely is key, so that your monthly rent exceeds your monthly costs and a profit is made.

A versatile investment

Investing in property gives you more options. For example, if you want to release equity, your property investment should recover more rapidly than paying into a conventional pension plan. It's good to know when you need to get your hands on some cash. Owning an animate object to gift to loved ones will keep you busy while enjoying a project, hobby, and solid investment. Property can be a fun and interesting way to prepare for your retirement.

Looking for the ideal property investment to secure your future? Contact us to see how we can help.

Another way to buy and sell with GL & Co Online Auctions!

We can offer an alternative to the traditional property auctions, keeping all of the advantages that an auction gives both property buyers and sellers, just made easier!

The online platform keeps running 24 hours a day, 7 days a week, giving buyers the luxury of bidding whenever and from wherever they like, without the pressured environment of an in-person auction.

Properties can be easily listed giving sellers instant exposure to an audience far exceeding the normal reach. Of course properties are also marketed the normal GL Way including our website, property portals, regional / national advertising and on social media. Properties are also marketed via Bamboo who provides the auction platform.

Some statistics:

Under 1% fall through rate
Sell in weeks and not months
Additional database of 50,000 registered buyers

If you would like to find out more about our auction properties, please call us on 01903 743254 or 01798 874033

Click here to read Another way to buy and sell with GL & Co Online Auctions!.

UK house prices make a stable start to 2023

House prices are not as important as many analysts like to suggest! If you are selling, you may get a little less, and if you are buying, you may pay a little less. Equally, if prices rise, you may get more for the home you place on the market, but then the house you buy will cost you more!

However, house prices give a good indicator as to the state of the UK property market. What we really want is stability, and it appears that after years of soaring prices, there is evidence to suggest that the property market is reaching a plateau.

According to the Halifax, average house prices in January 2023 have hardly changed since December 2022, while average house prices are still £5000 higher than in January 2022.*

Price growth and price increase are not the same

What appears to be happening is a dip in growth, which is very different from a dip in prices. It’s no secret that prices have increased a bit too rapidly over the past few years. A softer, slower market is a more stable market. Buying a home is a long-term investment, and slow and steady wins the race! Some analysts shout "crash" like a nervous passenger in the front seat of a speeding car, but now that the market is driving forward at a slower pace, a crash is unlikely.

The law of averages

Many of the figures and stats we hear about are based on averages. It’s important to take these with a rather large pinch of salt! If you are a first-time buyer or looking to move, when you turn on the news and hear the average house price in the UK, you may feel somewhat intimidated, perhaps even frightened! For example, in November 2022, the average price of a property in England was £315,073.** However, there is no substitute for getting online, talking to your agent, and exploring physical viewings to see how far your money can really go!

The market is settling down

Another good sign that the market is settling down is the return of more competitive mortgage interest rates. Many lenders are now offering deals hovering around the 4% mark. Stable house prices and stable lending rates create nicer conditions for settling down in the home you want.

You accept the price, but you love your house

Price is something you must accept when selling or buying. Who knows, you may love the price if it’s right! Ultimately, you are investing your time and emotion in a house that you want to be the best version of your home. House prices in the long term will inevitably rise, and you don’t want to accept anything less than the right home.

To see how much property, you can really get for your money, get in touch.

Halifax*Office for National Statistics**

Looking to Let?Things that landlords need to know in 2023

This year is proof that life as a landlord is not as simple as it used to be. Reforms for tenants along with new laws and legislation will make it a bit more complex. That said the great news is that demand for rented properties is still extremely strong. There is a chance you could pick up a bargain as property prices slow. These changes help protect landlords and tenants so it should be another good year where standards across the industry rise.

Better protection for tenants

The renter's reform bill could become legislation this year if the government have their way. Giving more rights to tenants will also force unscrupulous landlords to up their game and stop cutting corners. This will raise standards and rights for renters and stop your properties to let potentially suffering from bad landlords undercutting you.

Higher capital gains tax

The tax-free allowance for landlords selling a property will be reduced significantly from April. This means you could pay more capital gains tax, so if you want to avoid it, and you are thinking of selling, better to sell sooner rather than later. There will be further cuts in 2024, meaning your tax relief when you decide to sell will be halved.

Buy-to-let mortgage rates

Mortgage rates while higher than they used to be, are now much more stable than last year. This means you can plan for the future once again and calculate costs more accurately.

Higher demand

In 2022 demand for rented accommodation was huge. This year demand is still very strong. Fewer people can afford to buy due to the cost-of-living crises and the hike in interest rates. It’s expected that landlords will increase rents in order to cover costs but also to reflect the huge demand and get a better rental yield.

Add to your portfolio

With house prices levelling out and falling now is the time to add to your portfolio. Rental yields are good, and demand is very high. Some landlords will choose to sell, while savvy investors will seek new properties to develop as buy-to-let businesses. Asking prices are much more open to lower offers than last year so you might just acquire something that before was not as good as an investment.

Financial help for energy efficiency upgrades

Landlords who meet certain criteria might be eligible for government assistance with £1bn to help homeowners to insulate their properties. The aim is to improve energy efficiency which will help landlords with providing energy-efficient, appealing homes.

Outlook

There is a lot going on in 2023, and if you are a landlord you are most likely to incur more costs. With rental demand growing now is the time to invest while providing great places to live for tenants. As the industry becomes more regulated, standards rise in so many ways, elevating the industry and creating a more stable investment prospect.

Tennant demand has never been better. Browse our properties.