Currently viewing the tag: "Savills"
Political Parties Focus On Housing To Win Election

Political Parties Focus On Housing To Win Election

Political Housing Policies Could Have A
Major Impact On Landlords

The May 2015 General Election could have a major impact on the UK’s private rental sector (PRS), with each political party promising something different for the reform of the UK housing market and the private rental sector.

Each political party has their own propaganda to attempt to influence voter sentiment ahead of the May 2015 General Election, but do they really have landlord and tenant interests at heart?

All political campaigning promises something different for home owners and landlords with some political parties focussing on real issues that could make a difference whilst others continue to apportion blame and responsibility on to local authorities and private rented sector landlords.

Continue reading »

Expect 1 Million More PRS Tenants In 5 Years

Expect 1 Million More PRS Tenants In 5 Years

UK PRS should prepare for a million more tenants, say Savills

Giant UK estate agency, Savills are predicting a massive increase in the number of tenants living in the UK private rented sector (PRS) over the next five years.

The company is also predicting that more UK housing associations will seize upon a fantastic business opportunity and that these associations will add to increasing competition for private rented sector landlords.

Savills say there were 4.3 million tenanted households in the private rented sector in the UK during 2011 and tenant demand remains strong despite the recent upturn in the UK economy and recovering housing market, leading to the prediction of at least another 1 Miliion additional tenancies being required over the next five years.

Continue reading »

 

Where Will Property Investors Get The Best Return From In 5 Years Time?

Where Will Property Investors Get The Best Return From In 5 Years Time?

Where Will Property Investors Get The Best Return From In 5 Years Time?

Savills have released their UK property price predictions for the next 5 years identifying what they think are the best UK regions to purchase properties in based on expected Capital Gains.

Residential properties in the South East region are predicted to increase in value by as much as 31.9%, whilst the East of England could see property prices rise by 30.4%.

In the South West region of the UK, Savills expect property prices to jump by 29.4% with increases in property values not increasing by as much in more Northern parts of the UK.

According to the 5 year forecast, East-Midlands property prices could increase by as much as 24.6%, however, London property prices are only expected to rise by 24.4%.

West-Midlands property prices are also expected to increase by up to 23.4% according to the forecast, but property prices in Wales are only predicted to increase by 21%

The city of York in the Yorkshire & Humber region could expect property price rises around 20.5% according to Savills and over the Pennines in the North West, property prices are estimated to increase by 19.3% in next 5 years, as is also the case in Scotland.

North East property price predictions are the worst of the company’s forecast only expected to grow by 17.6% over the next 5 years.

The property price predictions do not appear to take into account the effect of the Help-To-Buy scheme on the UK property market, nor do they allow for the prospect of another property price bubble or even another huge property crash.

Continue reading »

UK Buy-to-Let Needs New Landlords

UK Buy-to-Let Needs New Landlords

The demand for rental property in the UK is such that many experts are predicting that as many as 1 in 5 households will be living in rental property as tenants by 2016.

In order for this estimate to be accurate there will need to be an additional 1.1 Million more rental properties made available in the UK private rented sector.

Experienced property investors are expanding their rental property portfolios and the demand for rental property is so strong that many new property investors are being encouraged purchase property for longer term rental yields and become landlords.

UK PRS landlords are reported to control as many as 4.8 Million PRS rental properties throughout the UK, up from the reported 2.5 Million in 2002.

PRS rental properties in London account for 27% of all residential properties while social renting now accounts for just 24%.

Continue reading »

UK Newpapers Creating Property Investment Speculation

Buy-To-Let Investors Need To Plan Ahead

Buy-To-Let Investors Need To Plan Ahead

Newspaper headlines last weekend suggested that PRS rents are expected to soar 18% over five years with property investors able to secure an annual 8% return by putting their cash into buy-to-let property.

Apparently according to newspaper reports, rents in London are scheduled to increase even more (up to 26% in 5 years) due to demand by younger people unable to get on to the property ladder.

It has always been true that by putting your money into property, you will be assured of a great rental yield destined only to increase and as we know property market is cyclical and property values will eventually go back up.

Continue reading »

The UK may need an extra 1.1 Million private sector rental properties within the next 4 Years

The number of people renting homes in the UK Private Rented Sector (PRS) has almost doubled over the last ten years, increasing from 2.5 Million tenants in PRS properties in 2002 to 4.8 million tenants today.

‘Rental Britain’ – A new report from Savills estate agency and the property portal Rightmove, predicts that one in five households could be in Private Rented Sector (PRS) property by the year 2016.

That would require an additional 1.1 Million rental properties to be made available for rent to new tenants.

The report may be gloomy reading for the UK Government but it is great news for thousands UK landlords who have already secured their rental incomes using specialist products and services for landlords, such as, Rent Guarantee insurance.

The ‘Rental Britain’ report forecasts that £200 Billion (GBP) investment in property will be needed, but says that only £50 Billion (GBP) of this is expected to come from buy-to let-funding, with the gap filled by institutional investment in new purpose built rental accommodation, but the report says that this needs to be recognised by the planning system.

The report also states that a shortage in supply is making some regions of the UK unaffordable, with PRS rent rises averaging 5.2% across the UK during 2011.

The report estimates that during 2011, working tenants paid around £48 Billion (GBP) in rent to private landlords, and this is expected to rise to around £70 Billion within the next five years.

Lucian Cook, director of Savills residential research, said: “Meeting the growing demand for private renting and the changing profile of tenant demand are perhaps the greatest challenges facing both the housing industry and policy makers. The dynamics of supply and demand make a great case for investment in this sector, and rising rents and lower capital values have begun to attract private investors back into the market. Investment returns relative to other asset classes will dictate the pace of investor entry to this sector.”

Tagged with:
 

There Will Never Be A Better Time To Invest In Property

MyPropertyPowerTeam.co.uk helps property investors and landlords build their own property power team to enable them to profit from property - Visit our main site now!