Latest Property News | Warwick Estate Agents

Details: Published: 11 September 2024; Hits: 737

House prices increased by 0.3% in August, following a rise of 0.9% in July, with the typical property now costing £292,505.

These figures are from the Halifax.

Annual growth has risen to 4.3%, the strongest rate since November 2022, but this is due in large part to the comparison with weaker growth this time last year.

Amanda Bryden, Head of Mortgages at Halifax, says: “Recent price rises build on a largely positive summer for the UK housing market. Prospective homebuyers are feeling more confident thanks to easing interest rates.

“That optimism is reflected in the latest mortgage approval figures, now at their highest level in almost two years.

“Such has been the resilience of house prices that the average property is now just £1,000 shy of the record high set in June 2022 (£293,507). While this is welcome news for existing homeowners, affordability remains a significant challenge for many potential buyers still adjusting to higher mortgage costs.

“However with market activity picking up and the possibility of further interest rate reductions to come, we expect house prices to continue their modest growth through the remainder of this year.”

Northern Ireland continues to record the strongest property price growth of any nation or region in the UK, rising by 9.8% on an annual basis in August. The average price of a property in Northern Ireland is now £201,043.

House prices in Wales also recorded strong growth, up 5.5%, compared to the previous year, with properties now costing an average of £224,433.

Scotland saw a more modest rise in house prices, where a typical property now costs £205,144, 1.7% more than the year before.

The North West once again recorded the strongest house price growth of any region in England, up by 4.0% over the last year, to sit at £232,917.

London continues to have the most expensive property prices in the UK, now averaging £536,056, up 1.5% compared to last year.

Details: Published: 11 September 2024; Hits: 694

The Government has confirmed plans to ban no-fault evictions and in-contract rent increases as it prepares to present the Renters’ Rights Bill to Parliament today.

The Bill will abolish Section 21 ‘no-fault’ evictions for new and existing tenancies and will also end blanket bans for those on benefits or with children.

An announcement this morning from the Ministry of Housing, Communities and Local Government said the Bill will extend Awaab’s Law into the private rented sector, letting tenants challenge dangerous conditions and it will also apply the Decent Home Standard for rentals.

Landlords will also not be able to include mid-tenancy increases in contracts and would only be able to raise the rent once a year, and to the market rate.  

The update confirmed rumours of a ban on rental bidding wars.

Landlords and letting agents will be legally required to publish an asking rent for their property. They will also be banned from asking for, encouraging, or accepting any bids above this price

The announcement said a new Private Rented Sector Database will also be created to help landlords understand their obligations for compliance and provide tenants the information they need to make informed choices for new tenancies. It will also enable councils to focus enforcement where it is needed most.

Earlier this week, the Housing Minister Matthew Pennycook met with landlord and tenant groups and committed to engaging with them as the Bill progresses, to ensure the sector is ready for the changes.

Housing Secretary Angela Rayner said: “Renters have been let down for too long and too many are stuck in disgraceful conditions, powerless to act because of the threat of a retaliatory eviction hanging over them.

“Most landlords act in a responsible way but a small number of unscrupulous ones are tarnishing the reputation of the whole sector by making the most of the housing crisis and forcing tenants into bidding wars.

“There can be no more dither and delay. We must overhaul renting and rebalance the relationship between tenant and landlord. This Bill will do just that and tenants can be reassured this Government will protect them.”

Details: Published: 19 August 2024; Hits: 528

A prominent rental market analyst is warning that elements of the reform legislation proposed by Labour “are casting dark shadows” over the lettings sector, with few landlords likely to sleep easy at possible threats to their investments. Doug Shephard, director of the Home website - a listings platform that also conducts respected monthly market analyses for the lettings and sales sectors - says the new government’s upcoming Renters Rights Bill may prove to be final straw for many landlords.

He cites the possibility of Metro Mayors - all but one of which are Labour - acting as guinea pigs for the introduction of some forms of rent controls, as well as the provisions of the Bill itself, covering restrictions on evictions, stronger redress rights for tenants and encouraging more pets in rental properties. Shepherd writes in the latest monthly report: “Activists’ calls for rent controls and an end to contractual tenure are casting dark shadows over the future of both the sales and rental markets. Too many landlords are already selling up, fearful that either they won’t be able to set the rent required to cover their costs or they’ll be forced to join expensive licensing schemes or both.” He fears this will add to the long term crisis in the lettings sector - a continuing excess of demand over supply. He points out that across Britain in August 2019, 96,000 properties were available for rent: this month, August 2024, the figure is just 66,000, representing a drop of 31%. As a consequence, rents have risen progressively but Home believes the current rate of rental growth across the country as a whole is being dragged down by the particularly sluggish performance of London.

The website says the annualised national growth figure for asking rents is just 1.1%. While Wales continues to lead the regional growth table, followed by the South West, with rises of 14.5% and 11.7% respectively year-on-year. Yorkshire and the North East continue also show double-digit annualised growth. Meanwhile, the year-on-year decline in Greater London rents is now -1.2%. In the capital the boroughs of Bexley and Haringey indicate the worst declines in asking rents with annualised rental falls of 16.6% and 9.4% respectively.

The East and West Midlands also show falls (-2.8% and -0.8% respectively). On the sales side of the market, asking prices rose by 0.2% during the last month across England and Wales - the seventh consecutive monthly rise - and are now up 1.2% compared to August 2023. Prices increased again in Wales, Scotland and all English regions except the North West and South East where they remain unchanged. The unsold sales stock count for England and Wales rose again over the last month to reach a 10-year high for August. Nearly 6,000 properties were added to agents’ portfolios, taking the current total of unsold stock to 494,837.

Details: Published: 14 August 2024; Hits: 408

Mortgage rates may be dropping but buyers need to act fast as product shelf-life is also falling.

Moneyfacts data shows the average shelf-life of a mortgage deal fell to 17 days this month, down from 30 days in June.

It comes as the average two- and five-year fixed mortgage rates have fallen, halting five months of consecutive rises and giving a boost to homebuyers.

Average mortgage rates on the overall two- and five-year fixed rate deals fell month-on-month by 0.18% and 0.15% respectively, halting five consecutive months of rises. These rates are now at their lowest level since March 2024.

The overall average two- and five-year fixed rates fell between the start of July and the start of August, to 5.77% and 5.38% respectively, Moneyfacts said.

Product choice overall also fell slightly month-on-month, to 6,657 options.

Rachel Springall, finance expert at Moneyfacts, said: “Borrowers will be pleased to see that fixed mortgage rates fell month-on-month, halting five consecutive months of rises.
“Lenders re-priced their deals with vigour during July due to falling swap rates, and the volatility within the mortgage market was made clear by the notable drop in the average shelf-life of a mortgage to just 17 days, down from 30 in June.

“There are expectations for rates to fall further in the weeks to come, particularly as the market reflects on the 0.25% base rate cut, the first cut in over four years.

“A variety of lenders priced their lowest rate deals even lower still over the past few weeks, leading to the return of sub-4% fixed rates towards the end of July, but borrowers must look beyond the initial rate and assess any mortgage based on the overall true cost.”