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Archive for February, 2012

Social Landlord Gets Tough With Tenant After Warnings Are Ignored

Wednesday, February 29th, 2012

A social landlord has been granted an anti-social behaviour injunction against a tenant who continually failed to keep the garden of her property tidy. It is thought to be the first time a social landlord has taken such drastic action.

Manchester County Court granted Trafford Housing Trust, who have thousands of properties protected by cheap landlord insurance in the North West area, an injunction against Carla Robinson after she allowed bags of rubbish and old furniture to build up in the back garden of her rented property over a period of seven months. In July 2011 Trafford Housing Trust were alerted to the condition of the garden and despite several warnings from both her landlord and the council she failed to clear the mess from her garden. When the housing trust returned to work after the festive period they applied to the court for an anti-social behaviour injunction against Ms Robinson on the grounds she was breaching her tenancy agreement which clearly states the garden has to be kept tidy.

Matthew Gardiner, Chief Executive of Trafford Housing Trust, said: “For more than seven months we have been talking to Ms Robinson about the condition of her garden and have offered her different options to help her remove the rubbish, but she took no action. It is a condition of our tenants’ tenancy agreement that they keep their gardens tidy and that they must not store rubbish, household furniture or appliances there. The condition of this garden was appalling. We are a firm but fair landlord and help is available to our tenants if they find themselves in a situation where things have got out of control, but we will not tolerate it if this help and support is ignored.”

At the hearing the judge was satisfied that Ms Robinson had breached her tenancy agreement and had ignored all contact made by her landlord. The injunction says that Ms Robinson has two weeks to clear everything from the garden of her home and she must also maintain the garden to a standard expected by her landlord. Trafford Housing Trust confirmed that they will not hesitate to take action against any tenant who breaks the tenancy agreement.

Tags: cheap landlord insurance, landlord insurance, Manchester County Court, social landlord, Trafford Housing Trust
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Landlords Taking up the Mortgage Slack

Tuesday, February 28th, 2012

Buy-to-let mortgage providers and landlord insurance brokers are experiencing record levels of interest in their products as property investors continue to pour into the housing market.

Figures from a report by Paragon mortgages show that mortgage brokers allied to their products saw an increase in buy-to-let mortgages of over 35%, while brokers across the UK now say that 1 in 4 mortgages are taken out by prospective landlords. The figures show a remarkable change in the demographic of people taking out mortgages in the UK and really epitomise the rapid change in financial fortunes of the UK population.

Interestingly the figures also show that whilst professional landlords are taking advantage of better mortgage deals to either add to their portfolios or to re-mortgage on better terms, it is the first-time buy-to-let buyers who are really making their presence felt. According to Paragon there are twice as many first-time buy-to-let investors buying mortgage products than there was just four short years ago.

Managing Director of Paragon, John Heron, said, “The final quarter of 2011 was for many intermediaries a successful one, with increased optimism about the coming months and a steady improvement in the level of buy-to-let business being written. With record levels of rental demand being reported it is good to see that existing landlords are increasing the size of their portfolios but it is particularly notable that the proportion of new landlords is also increasing.”

The burgeoning property investment market has also seen buy-to-let insurance providers find innovative ways of marketing their products and just like mortgages the number of insurance options for landlords is now at a record high, with companies often offering special deals for customers who organize their cover online or over the phone.

Tags: buy to let insurance, landlord insurance, Mortgage providers, mortgages, Paragon
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Housing Association is Delighted with New Homes

Monday, February 27th, 2012

Work has been completed on twenty-two homes on the site of what was once a public house. The site was run-down before being transformed into a new affordable housing scheme where the first residents are about to move in.

The development has been undertaken by the Two Castles Housing Association who have been landlords in the local area for many years. The scheme will see property insurance organised on properties to rent and for sale, as some homes will benefit from the Government’s HomeBuy shared ownership scheme. They will add these new properties to their mix of two-bedroom bungalows and two and three-bedroom houses.

Plans for the housing were granted after both the council and local community raised concerns about the derelict pub which was a fire risk, a drinking and drugs den and an eyesore on the area. The pub was once the hub of the community, but like many others throughout the UK, it had to close when it stopped making money. The new properties have all been designed to meet the Sustainable Homes Level 4 standard. The council worked closely with the developers and the neighbouring ATAC (Area Training and Activity Centre) throughout the design period.

Two Castles Property Services Director, Rob Brittain, said: “This development is providing much needed affordable housing for this area and is bringing back into use the former pub site, which due to a lack of demand had been unused for five years. There is a demand in villages like this for high quality affordable homes to rent and buy and we are very pleased to announce that this fantastic new development will go some way towards meeting that need in the area. The provision of affordable housing is a high priority for Two Castles and we have worked closely with our partners on this development for the benefit of the local community.”

The development has been named Beaumont Court and although it took many months to create a plan for the site which met local approval, residents and builders are both delighted with the final outcome.

Tags: Housing Associations, property insurance, Sustainable Homes
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Barratt Offer Unique Deal to Southampton Landlords

Friday, February 24th, 2012

A developer has offered any potential landlord the chance to own a new Southampton home which comes with a rental income that is guaranteed for six months. Barratt are offering landlords the chance to own a two-bedroom apartment for £155,000 with a promise that they will then immediately rent it back from the landlord for £650 per month.

Barratt feel investors are starting to return to the local property market and believe the area has not seen this level of demand from buyers outside of London since the credit crunch of 2007. Landlords will appreciate the scheme as it will give them time to source a suitable tenant and affordable landlord insurance. The landlord will also benefit from the Barratt guarantee that will see the developer keep the property in pristine condition as they are the only major house builder who offers a five year internal fixtures and fittings guarantee.

Rents in Hampshire are rising rapidly and are expected to carry on increasing in the coming years. This means that rental homes are increasingly in demand from landlords who take the view that the direction of prices means they should expect to be sitting on a profit in four or five years’ time. Having a minimum six-month agreement with Barratt means they can get off to a good start with the apartment.

Barratt senior sales manager, Zak Long, said “At the moment they are being used as sales offices. This represents a fantastic opportunity for someone to invest and then we will rent it back for more than they are likely to receive if they rent it privately. The apartment will continue to be used as a sales office until all of the properties are sold at Hollybrook Lodge. The lucky buyer will receive a guaranteed income on their new investment and we believe it’s an offer that cannot be matched.”

Tags: Hampshire, landlord insurance, property, Rental Market, Southampton
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Landlords Put Their Faith in the Rent Book

Thursday, February 23rd, 2012

A survey by a leading landlords association revealed that most property investors plan for retirement rather than the present day when they look to expand their portfolio.

The National Landlords Association (NLA) questioned over 500 of their members in the last quarter of 2011 to get the statistics and they do reflect figures from at least one Government department. Over 80% of the respondents said they now saw their property portfolios as their main income in retirement as they had lost all faith in conventional saving because of the dire financial situation in the UK.

This backs up figures from the Department of Work and Pensions who in the same period reported a drop in people taking out private pensions of 8%. There is no doubt that interest rates are no help at all for people looking for a safe, but rewarding place for their cash at the moment whereas the private rental market is booming. Property investors in many parts of the UK have never had it so good.

David Salusbury, chairman of the NLA, viewed the situation thus: “Landlord confidence in the financial market is at an all-time low. This combined with record low interest rates means that many individuals are looking for alternative ways to secure their financial future. Private-residential property can be a sound long-term investment for those planning their retirement. But potential landlords must realise that letting property is a lot more complicated than contributing to a pension.”

He went on: “Becoming a landlord is just like starting any other small business. Anyone considering using property to bolster their pension plans must make sure that they put together a long-term business plan, taking account of the various regulations governing the letting of property including adequate property insurance, as well as their responsibility to tenants.”

Tags: landlords, property insurance, Property Portfolio, rent, tenants, The National Landlords Association, uk landlords
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Calls for more landlords to accept tenants with pets

Wednesday, February 22nd, 2012

Animal shelters who are struggling to cope with the increased number of animals are pleading with landlords to be more relaxed with their rules in a bid to combat the growing numbers of unwanted pets.

Jane Shepherd and her group of volunteers have run The Algernon Animal Trust in Whittlebury for over a decade, and they are currently running at double capacity. Unfortunately she expects her intake to increase again this year. Ms Shepherd is calling on all private landlords to help pet owners who are suffering in the current economic climate.

Jane said: “One of the problems people face is having to leave their homes and not being allowed to take beloved pets into rented accommodation. Landlords need to rethink their restrictive policies to avoid splitting families up and creating more strays. I’ve dealt with people who have told me they’ve offered extra money or a larger deposit.”

Landlords who exclude pet owners from their properties are missing out on a large number of possible tenants as 46% of the population have some form of pet. If landlords adopt a more pet-friendly approach they can easily increase demand for their property and have a better chance of attracting long-term, responsible tenants. Property owners do appear to be more relaxed about pets now and a recent survey by the Dogs Trust revealed that landlords are becoming more inclined to accept pets than many letting agencies realise. Many are now not just taking out buy to let property insurance but also adding a pet clause to tenancy agreements. This type of clause can easily be incorporate into the tenancy agreement and on signing this, the tenant pays a deposit to cover any damage caused by their pet to the property or furnishings during the term of the tenancy.

Tags: landlords, Pet animals, property insurance, Tenants with pets
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Students Becoming More Discerning When Looking For Rental Properties

Tuesday, February 21st, 2012

Landlords looking to expand their portfolios by buying properties to rent out to students have been told to carefully consider where and what they buy.

Research shows that many property investors are looking to buy property insurance on buildings that are ideal to rent out to students. Although the recent hike in student university fees has dissuaded some not to study for a degree, letting agents across the UK report massive demand from students looking to find decent housing for their years away from home.

The research also shows that students are becoming more conscious about the accommodation they require, with geographical position and IT access becoming the most important prerequisites when they start a search. It is thought the massive hikes in the cost of motoring has meant that many families can no longer afford to buy a car for their offspring when they go to university and so renting a home close to their seat of learning is now much more important for the average student. They also look for a property that is close to bus and rail links with another key element being high speed internet access.

Peter Mindenhall, who did part of the research, advised landlords to look before they leap, saying: “Most students want to be situated close to campus and have good internet access. Other factors to consider are security and transport links, both of which are typically vital to students and will result in a home being more appealing to potential tenants. If all of these can be provided by a student development near a university that does not have many other purpose built properties and it represents better value for money, (then) demand will be higher.”

The research also showed that landlords letting homes to students were now routinely taking out income protection as part of their landlord insurance as their tenants struggle more and more with their increased fees.

Tags: landlord insurance, property insurance, student accommodation, student lets
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Developer predicts bumper year for property investors

Monday, February 20th, 2012

Miller Homes East Midlands has forecast that this year will be the year of the investor. The builder has a portfolio of developments throughout the region and they expect another buy-to-let boom as rental values in most of the East Midlands are at an historic high.

Recent research seems to back up Miller Homes’ confidence in the market as the findings suggest that almost a quarter of landlords expect to buy additional properties and protect it with cheap landlord insurance sometime this year, while just 8% are considering reducing their portfolio. First time buyers in 2012 are facing difficult challenges and many believe they face the prospect of years of saving up for a deposit. Builders including Miller Homes along with the coalition are working hard to make home ownership easier to achieve with schemes such as FirstBuy, but there is still a widespread perception that owning a home is not achievable and as a result, many are turning to renting as the only long-term solution.

Paul Walters, regional sales manager for Miller Homes East Midlands, said “According to recent data from the LSL Property Services Buy-to-Let Index, the average rent in England and Wales has never been higher. Demand for quality rental properties is continuing to soar and anecdotal evidence suggests there is fierce competition among tenants to secure a home – particularly in prime locations. We have begun to see a marked increase in the number of landlords looking to capitalise on the current situation and we expect this upward trend to continue throughout 2012.”

The United Kingdom is experiencing the worst housing shortage since the Second World War which means conditions are looking favourable for savvy investors. Landlords are also deciding to buy more three-bedroom houses than before as the rent they can charge will bring them high rewards. With low returns on savings and record low interest rates, buying a property looks an increasingly attractive investment proposition for landlords.

Tags: cheap landlord insurance, landlord insurance, property insurance
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Council Hands Over Keys to Brand New Houses

Friday, February 17th, 2012

A small group of delighted families have been handed the keys to their new homes in Denaby, the first Doncaster Council homes to be built for over two decades. The eight properties are the first phase of a £3 million development, which when finished will see twenty-four new homes built.

The remaining sixteen homes will be released by the council in two further phases by the end of next month. This is excellent news for Doncaster families who are desperate for a home and who have been on the waiting list for some time. The new homes are vastly different to other council properties in the town and the modern, space saving homes will help the council get to grips with the underlying demand for housing throughout Doncaster. The council hope to commission even more new homes and they have already drawn up plans for another £20 million scheme for next year.

The homes were commissioned by the council and funded jointly by Doncaster Metropolitan Borough Council (DMBC) and the Homes and Communities Agency. The council have also spent time looking at landlord and property insurance quotes to get the best deal possible for their current and new homes. These new houses are helping to regenerate Doncaster and they are exceptionally good news for families who will be awarded the newly built homes.

The first tenants to step over the threshold at the Hesley Court development were Robyn Johnson and husband Andrew, together with their children Coby and Bobbie. Mayor Peter Davies and Councillor for housing Ray Mullis handed over the keys to the happy family.

Robyn said: “The house is gorgeous. We are really pleased to live here. I was over the moon when I found out we had successfully got one of these new houses. It’s nice to have some extra space as I’ve moved from a two bedroomed home to a three bedroomed one. It means the children can have their own room and we are all looking forward to living in this house for a very long time.”

Tags: Doncaster, Doncaster Council, property insurance, Property insurance quotes
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Council Backs Away From Accreditation Scheme

Thursday, February 16th, 2012

Landlords in a town in East Staffordshire have expressed disappointment that the local council have ignored an opportunity to work with local landlords and are instead to instigate a name and shame scheme.

In the last 12 months East Staffordshire Council have investigated a number of landlord voluntary accreditation schemes in the town of Burton-upon-Trent, but in the end have decided that tenants would be better off without them. Similar schemes to the ones turned down by the council have been introduced in towns all over the UK in the last year, with tenants, councils and landlords all expressing satisfaction with them. Typically the schemes will involve the landlord ensuring that his properties are maintained to an agreed standard, that he has up to date property insurance and that the property complies with all health and safety regulations. Tenants agree to treat the properties with respect and desist from any anti-social behaviour. The council works as an intermediary between the two ensuring the contract is kept.

Explaining their decision to ignore accreditation schemes Councillor David Leese said: “We have looked at six landlord accreditation schemes and all had fundamental disadvantages. Instead we shall beef up our own enforcement scheme. We are in an economic downturn and people can fall through the net into this underworld. We need to be the ones that protect those vulnerable people. We have the teeth already, they are ours to use. This is the one that will do the job. The council will publish the names of dodgy landlords and agents of properties found to have hazards in their homes – subject to legal advice.”

Local landlord Tim Jones expressed sadness that the council had taken this approach saying: “Of course bad landlords should be exposed, they damage our profession, but accreditation schemes have worked well in many places and resulted in improved conditions and better relations between landlord and tenant.”

Tags: East Staffordshire Council, landlords, Property Accreditation Scheme, property insurance
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