Buy to let deal of the day - Hampton flat

This morning I did a search on the portals for properties in Teddington and the surrounding areas and immediately went to the ones that had been on for a long time (filter your search by 'most recently added' and go to the last page). 

This one caught my eye as I think it is still a good £10k over-priced despite starting on the market at £335k back in early September. Decent size 2 bed flat, yes, its over a grocery store but its only you that would be bothered by that, not most tenants!

    
Say you get it for a nice, round £300k, you don't need to spend anything on it and people would be queuing up to give you £1200 pcm for it. That's a gross yield of 4.8% so pretty decent. 

It has a recently renewed lease so just need to check out the ground rent/maintenance charges.

http://www.rightmove.co.uk/property-for-sale/property-32179143.html

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Buy to let deal of the day - easy Teddington investment

This one has just come on to the market and is a nice easy one to start yourself off in the world of buy to lets or simply to add to your portfolio. Purpose built 2 bed flat in central Teddington that should get you around £1400pcm. If you end up having to pay the full asking price then that will be a gross yield of 4.5%. Not amazing but the capital appreciation has historically been very good in this area. (This flat last sold in 2005 for £192k - almost doubled in value in 9 years)!

No internal shots as its currently rented. Don't forget to check out the lease length and ground rent/maintenance charges - they have a habit of wiping out profits!!

  

http://www.rightmove.co.uk/property-for-sale/property-33027732.html

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Where do you sit, Teddington Landlords, compared to other property investors?

So, this popped into my inbox the other day which I thought made very interesting reading. If you are an investor already or are thinking about becoming one then I think the main thing that comes out of it is that the majority of people aren't hardcore investors with a portfolio of 50 or 100 properties as we are often led to believe. Most are like you and I.......75% own 5 or less properties.

Also interesting is the fact that the passion for property is definitely not waning with 85% of investors looking to EXPAND their portfolio in the next 5 years!

So, if you want to join the investing gang, maybe you've been a bit nervous about it and don't know where to start, then please do give me a call or drop me an email. I'm happy to help.

Rebecca Smith
rebecca@rebeccasmithpropertyservices.co.uk 0208 398 9333
http://www.rebeccasmithpropertyservices.co.uk/

Buy to let deal of the day - Isleworth Beauty!

I love this one! Its been done to a lovely standard - perfect for the rental market. It's not badly priced either compared to the other 2 beds on the market in the same area. I KNOW its Isleworth and not Teddington but, seriously, you'll have to get over that fact if you want a net yield better than 3%! And who's to say Isleworth won't outperform Teddington on capital appreciation in the next few years?!

      
So, it's a 2 bed maisonette on at £275k with allocated parking. Not far to walk to the train station either which is pretty important to get the commuter tenants.

You'd get in the region of £1250pcm for it giving you a gross yield of 5.5%. I'd take that! Just need to check out the length of the lease and also the ground rent costs.

http://www.zoopla.co.uk/for-sale/details/35211628#tJH1YreGU9sv7t6k.97

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Care Act set to ruin even more legacies....

During my usual trawling of the property blogs/websites I came across this article which will be relevant to many of you and therefore definitely worth sharing!

Care Act Set to Ruin Even More Legacies

Care fees can decimate any legacy that property owners hope to leave to their loved ones, likewise with any legacy they might have expected to receive from their own parents. The new “Care Act” is set to make things much worse. Some industry experts are suggesting that the window of opportunity to get things sorted may be as little as 9 months! 

The Care Act 2014 when it is implemented will make it even easier for Local Authorities to grab property …..or just a share of it!

Local authorities already have a wide range of powers and under the Deprivation of Assets Rule and can “claw-back” cash or property that has been given away. For example some authorities like the quick and easy method of bankrupting the individual and to claw-back the property under receivership law.

Currently the best legal methods of holding on to your equity involve changing how you own your property and how much share is in each spouses name. Even these legal means depend greatly on WHEN you made the changes. Left too close to the time of requiring care and all the local authority has to do is suspect it was for reasons of deprivation, the burden of proof lies with the home owner.

It looks likely that The Care Act will also allow local authorities to assess the person who receives the gift and hold them liable for the fees!. Likewise the Care Act may well do away with the position that a part share of property has no value. This has much logic when you consider that a part share could be worth many thousands of pounds.

The good news is that Care Act is not yet law and may not be fully implemented for a few years yet, but there exists is the very real possibility that any of it could be enforced retrospectively! The best guess of some industry experts is that home owners may have as little as 9 months to a year to take action to protect their equity.

I would strongly suggest that anyone with elderly home owning parents to find out NOW if they are serious about wanting to leave their home as a legacy. If they are, talk to me NOW and we can quickly assess what legal means, if any, would be appropriate for them. I would add the options on offer do include a unique trust arrangement that includes a money-back guarantee which can also reduce or even eliminate probate!

Like it or not the Care Act is coming, whether it affects your family is all a question of timing and acting.

Written by Gary Streeter

Definitely one NOT to ignore! No-on wants to give more money to the government than they have to!

Rebecca Smith

http://www.rebeccasmithpropertyservices.co.uk/

How can you turn a rogue property in Teddington into a HOT property...?!

With Halloween well and truly over for another year (thank goodness!), its not just those knocking on your door that can frighten the life out of you! A property that is the victim of a difficult history can have the same effect for a landlord. This can therefore pose problems for letting agents in getting it off the market and into the hands of that perfect tenant.

Houses that have been used by previous tenants as brothels or cannabis factories, or have been home to squatters, can cause problems when trying to find a new tenant. Even properties that have been owned by uncaring or corrupt landlords can develop a long-lasting stigma that will stay with the property long after it has been sold on to a new investor.

Although, thankfully, few and far between in the Teddington area, it is by no means impossible to come across a rogue property and I've seen a few in my time!  Whilst it can be difficult to manage a property with a rogue reputation, it is possible to raise its profile within the community. Often the stigma can be very much in our own minds and will naturally pass away quickly. Even if the story of the property gets in the press, tomorrow there will be more exciting news, which over time, helps locals forget.

If a landlord is faced with a property like this, my suggestions would be to change the front door or paint it a new colour. Develop the front garden to make it look and feel different, then give the house a new name and display it. It would also be helpful to keep the rental price aggressive to ensure lots of potential tenants are interested. It may also be a good idea to give new tenants a good behaviour reward (or something similar) for their first year or so to help encourage a sense of responsibility.”
But, of course, the best solution is to avoid a property gaining a bad reputation to begin with...

My first advice to landlords is to use a reputable agent. Most criminals find properties using the private landlords advertising in local papers, knowing they are unlikely to conduct credit checks and inspections. Agents will carry out routine property visits and report back to the landlord as well as undertaking proper references. In this climate a lot of small reference agencies are opening up offering very cheap fees, but how reliable are they? Owner-run businesses, in my opinion, will give a far superior and honest service. My personal belief is that we need to push the government to regulate letting agencies and have fines in place for negligence or complete incompetence.

So, here are my five top tips to let ‘rogue’ properties...
1) Paint the front door a different colour or change it completely
2) Give the property a new name and invest in a sign
3) Transform the front of the house by adding trellis and plants, or re-designing the front garden
4) Ensure lots of interest by keeping the price competitive
5) Inform locals that a professional lettings agent has taken over the property and allow the agency’s good reputation to eclipse the property’s bad one.

Overall, time, as they say, is a great healer. As long as you manage your property professionally, conduct all of the relevant checks and work with a professional and reputable agent then you'll turn it around!

Now here's my picture of the day!

I bet you tried to copy it...!! :o)

Rebecca Smith

http://www.rebeccasmithpropertyservices.co.uk/

Buy to let deal of the day - two bed in Hampton

Now, I drive past this block of flats regularly as its not far from where I live. For a couple of weeks now there has been a Dexters Sold sign outside so I'm not sure if it has already gone or not (agents are devils for leaving properties as for sale or to rent on the property portals to generate more leads which means you can never be sure whether its still available until you call to enquire - annoying)!

Either way, lets take a look at it....

  

Its a pretty big two bed in a gorgeous building. The good news is it needs some work doing which means you are immediately adding value. On at £315k, I reckon you can get some money off the price and spend on the refurb to still keep your total investment at the £315k mark. Done up I reckon this would be worth £340k, maybe even £350k. Given your rental would be £1400pcm, that gives you a decent gross yield of 5.3%.

http://www.rightmove.co.uk/property-for-sale/property-32775729.html

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Buy to let deal of the day - Teddington 5% yield

So, everyone in Teddington knows Waldegrave Road. Nice, yes?! This little (being the operative word) one bed flat has been on the market for over 2 months and so a good chance of a deal to be done. The reason it caught my eye is that, aside from the fact there's an opportunity to get it below the asking price, it's also really quirky. Tenants LOVE quirky! :o)

  

Its on at £295k and should achieve around £1250pcm. That would give you a gross yield of 5% which, by itself, is pretty decent for Teddington. Don't forget though, you may be able to get an extra £10-15k off the asking price, particularly if you've got your finances in place and can progress quickly. AND you're in a prime area for capital appreciation which makes it pretty low risk in my book. Happy days! 

http://www.rightmove.co.uk/property-for-sale/property-32117304.html

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Buy to let deal of the day - easy Teddington rental for over 5% yield

If you're after the easy life then this one is a bit of a no-brainer. Lovely 2 bed flat in high demand rental area of Teddington which needs nothing doing to it. It's big as well which always helps attract tenants and keep them for longer....

      

It's on at £335k which is about right for this location and with a rent of around £1500pcm you'll make a gross yield of 5.4%. Lovely jubbly! :o)

http://www.zoopla.co.uk/for-sale/details/35087766#Mya42idTH2JUQA33.97

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Buy to let deal of the day - opportunity for a cheeky offer?!

For those of you that read my blog regularly, you'll know that one of my tips is to 'watch' a property for a number of weeks to see what activity there is. If it stays on the market for over a month then that can be an indication that a deal can be done. Don't forget, that owner is very probably paying a mortgage on the property and it is costing them to have it sat there empty each month and as time goes by they will become more and more receptive to an offer.

The simplest, and probably most effective, way to make money in property is to buy below market value (BMV). The decision of how much you will make from a property is at the point you buy it rather than sell it, i.e picking the right property, in the right location at the right price. Get that wrong and you'll never make money no matter what you do.

I've been watching this one for a while....it's been on since 23rd September and hasn't had a price drop so could well be open to offers. A 3 bed flat, 10 minutes from St Margarets - ideal rental territory. May need a bit of sprucing up but certainly won't break the bank.

     

http://www.rightmove.co.uk/property-for-sale/property-48313625.html

On at £379,950, lets say you can get it for around £360k and spend £5k doing the cosmetic stuff. Your rental would be £1600pcm giving you a gross yield of 5.3%. Not bad and could be even better if you can get more off the asking price...!

If you're thinking of buying a property to rent then please do give me a call or drop me an email - I'm happy to give my advice and would love to hear from you. 



Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/

Who owns what in Teddington and the rise of the renter!

Last week, a couple from Isleworth, called to discuss potentially investing in the Teddington property market for the first time.

As my regular readers will know, the most important consideration you will make before investing in property is the balance between annual return and capital growth. However, what affects those two things in Teddington are very varied and complex. The quantity of property available and whether that property is owner occupied, social housing, or private renting can make a big difference on how much money you can make from it, in particular, the capital growth.

In 2001, owner occupation of property in Teddington was 72.45%. The significant change over the decade (2001 to 2011) was within the rental sector, where the proportion of households privately renting increased from 13.33% to 18.47%, whilst those socially renting had decreased from 10.29% to 8.4%.

Between 2001 and 2011, the total number of households in Teddington rose from 45,100 to 47,094, an increase of 4.24%. However, the percentage of households that were owner occupiers in Teddington dropped to 66.23%.

That doesn’t tell the full story though, whilst there was a significant drop in the percentages (72.5% to 66.2%), the actual numbers tell a completely different tale. Of the 32,683 households in Teddington that were owner occupied in 2001, that figure had actually increased to 34,014 households being owner occupied. So why the relatively significant drop in percentages despite the rise in figures?

In 2001, 6,014 houses were privately rented (13.33%) in Teddington but, roll on another ten years, and there are 8,701 households in Teddington that are privately rented (18.47%). The rapid increase in the number of households privately renting could be linked to the decline in the number of residents getting on the housing ladder, usually by way of a mortgage. This is mainly because of the increasing difficulty for first time buyers being able to raise deposits for a mortgage, which hasn’t been helped by rising property prices. This meant larger deposits, which are linked to the house price, were required. Also tighter lending requirements, especially in the wake of the recent credit crunch, meant a larger percentage of the house value was required as a deposit, as 100% mortgages became a thing of the past.

Finally, declining wage growth and rising inflation over the period exerted pressure on household spending and eroded the value of savings. This means that households have needed to save for a longer period in order to provide a deposit.

If you want any help or advice on any of this then please do feel free to give me a call on 0208 398 9333 or drop me an email at rebecca@rebeccasmithpropertyservices.co.uk. I am the founder and owner of Rebecca Smith Property Services and can help you to find your next rental property, find you a tenant AND manage it for you. The full whammy! :o)

My sister sent me this piccy - it's the simple things that make you laugh...!

Rebecca Smith
http://www.rebeccasmithpropertyservices.co.uk/