Recent data suggests that the market in leases for office space outside of the capital will improve in 2010. Many within the property sector believe this is mainly because companies are not as motivated to cut costs or close offices. This has lead to a less fluid supply of suitable rental offices and in turn should have a positive upward effect of commercial property yields for this sector.
Buy to let in 2010 looks to improve as property investors put their money back into the property market
February 16, 2010
Buy to let lending increased in the final quarter of last year as property investors look to buy houses at the bottom of the property market cycle. Property Investors many not believe that the market has hit the bottom, but many believe that even if we have not hit the bottom yet, we are not far away. The best bargains are always achieved prior to a housing market recovery, and as the more seasoned and experienced property investors are back in contact with estate agents it show that the sentiment is improving.
The UK housing market is driven by sentiment and as with the boom years, as soon as people see property as a sure bet it is a sure thing that property prices will rise. It might not be a steady curve but it will be an upward curve in time.
Cash waiting for property finders
February 14, 2010
Professional Referral Scheme
Introduction
Amber Valley Homes Ltd is a property trading company operating in the Amber Valley area of Derbyshire. We source property for development and onward sale or letting.
We pay a ?1000 finder?s fee for all deals which proceed to completion. However, we also have a Professional Referral Scheme suitable for an individual or organisation who is in a position to source multiple deals for us.
Professional Referral Scheme (PRS)
Individuals and organisations registered with us under PRS receive a finder?s fee of ?1000 for the first deal that proceeds to completion. The fee then steps up as follows, on a rolling basis based on the number of completed deals sourced within the previous 12 months:-
0 deals ?1000
1 deal ?1100
2 deals ?1200
3 deals ?1300
4 deals ?1400
5 deals ?1500
So, an individual who brought us a deal approximately every 2 months would receive a ?1500 finder?s fee per deal on an ongoing basis, ?9000 per year in total. For further information go to www.ambervalleyhomes.co.uk
Building Quotes, Building tenders, Building companies, all continue to fall.
The UK construction industry continues to see the price of their saleable commodity fall, as the price of building quotes and building tenders continues to fall. The knock on affect of these falls in building quotes and tenders is the fall of many building firms. The long period of uncertainty in the property market and the lack of suitable development funding have lead to many long established building companies falling by the way side.
Data has now confirmed the belief of many of the construction industry professionals that the construction industry sector continued to contract in the last quarter of 2009. Many believe we will leave 2010 before there are any signs of positive growth in the construction industry.
There is no doubt that the construction industries work load has been in decline for some time, many new planning schemes and speculative property developments have been either abandoned or placed on hold. The world of speculative property development is being held to ransom by the banking industry which in turn leaves the builders with nothing to build.
Property developments stay on track!
February 13, 2010
In considering commercial and residential developments with a railway connection, it is soon apparent that there is a wide range of railway connected developments that have taken place, and are still taking place. A small development can be just a new build house, or old railway station conversion to either a home/s or a business building. Such small developments can be, and have been progressed on closed (disused) railway branch lines, or even on an existing operational active railway line where a railway building, or small or large sized plot of land is sold, or it could be a redundant level crossing keeper?s house which is no longer required for railway purposes because the level crossing is now an unmanned automated level crossing.
A medium sized development with a railway connection can be a residential development such as the one built at York on the site of the former railway Carriage Works (Train Building Factory).
A very major building/railway development can be something like St. Pancras Railway Station in North London. This was a major development when the station was first built, as it is said to have taken 60 million bricks to build before the first ever train could leave in October, 1868, let alone the recent extremely large development making St.Pancras a major international travel facility of which more is referred to below.
The relatively recent major conversion of St. Pancras to ?International? status is very good news for the Midlands and Yorkshire as not only does this railway station continue to serve Derby, Leicester, Nottingham, and Sheffield, and other intermediate locations with its inter-city services, and with local passenger trains providing various connections to many other locations, but also now provides a fast Eurostar train service to Europe. This makes those locations mentioned above, and surrounding locations, extremely attractive areas to live and work and conduct business from which consequentially is likely to cause increasing demand on housing and business developments in the Midlands.
Better yields for property investors but the rate of property price growth slows
February 12, 2010
Some early data released has shown that the growth in UK property prices is still on the increase but the rate of growth has slowed. If these first figures are to be believed many professionals in the property sector will be sighing a breath of relief. No one knows more that unsustainable property price growth can damage both the market and their careers than property professionals. Many in the industry did enjoy the good times during the boom years but have been forced to cut their cloth as market conditions have tightened.
Property investors look for high yields and better returns as the first signs of falling commercial property yields.
February 11, 2010
Many in the world of property closely follow the results of auctions as a good prediction of where the market will go. Those who take this to the highest level closely watch the London commercial auctions following single let retail as their indicator of choice for the futures market.
The lower the yield the more capital values have increased, unless of course rents have fallen, which they have not. So perhaps the fact that these yields are falling, will be enough to increasing positive sentiment which ultimately drive the property market and UK house prices.
Property developers need to build more new homes
February 10, 2010
Data suggests the number of new homes coming to the market could be at its lowest levels since 1923, this news comes as housing charities struggle to cope with the demand for housing in the UK. The increasing levels of repossessions and householders facing financial difficulties will further burden the waiting lists for houses.
The private rented sector is becoming an increasingly important source of affordable rental property as more and more people find it a struggle to obtain mortgages. It is a painful coincidence that the number of new homes coming on the market has also been restricted because of tighter criteria for property development funding.
Future of UK house prices
February 9, 2010
The British public is becoming increasingly positive about the future of UK house prices; this is encouraging some of the more positive of property developers, to start to venture back into the market.
Those that are feeling more cautious are waiting to see what happens after the general election, many believe that whatever the results the new political term may bring tighter economic measures. The first could be an increase in interest rates and then higher taxes? This could be enough to stall the current fragile housing market recovery and continue the squeeze on the property sector.
Property Investors look for great returns from buy to let
February 7, 2010
There are rumors in the treasury that there could be alterations to the property ?Reits? in an attempt to encourage institutional investors to invest in residential property investments. There is also talk of encouragement and possible tax breaks for property investors in an attempt to improve the private rented sector.
One issue is the tough time that the buy to let investor has faced in recent times. With one in five of all new builds being purchased by buy to let investors at one time, they are a valuable source of both private equity and private rented accommodation.
