Showing posts with label real estate. Show all posts
Showing posts with label real estate. Show all posts

Jun 8, 2021

Four Things to Know About the Housing Market in 2021


Due to the Covid-19 pandemic, the increase in the number of people working from home as well as the initial ban on property transactions in the first lockdown, the housing market in the UK was majorly affected. After the first lockdown, the housing market restarted in the UK and was allowed during the second and third lockdown. The government introduced the stamp duty holiday which definitely helped boost the housing market as well as the buyer's confidence, and due to its overwhelming success, this scheme has been extended till July 2021. Even though the demand for homes increased, the average price of property rose in certain areas and government schemes worked like a charm, the housing market was nowhere close to where it was before the pre-Covid era. While no experts can predict with any amount of certainty the future of the housing industry in the UK, here are the four things that you need to know about the housing market in the UK in 2021.

Increase in demand for properties in the suburbs and boroughs

Due to the number of people who started working from home during the pandemic, there has been a tremendous shift in the housing priorities of homeowners and potential buyers. As more and more people are spending time at home, homeowners are choosing to upgrade their homes and their lifestyles. They are now looking for spacious properties with gardens and open terraces, and maybe spare bedrooms which can be converted into home offices. So, instead of living in a smaller apartment in the city centre, homeowners and potential buyers are choosing to buy more spacious homes in the suburbs and boroughs. Since the average price of property is relatively cheaper in the suburbs, and the homes in these areas are bigger in comparison, it only makes sense for homeowners and buyers to make the shift. So, if you’re looking for new housing developments in Bracknell, get in touch with a local  estate agent as soon as possible. 

Supply will continue to remain low

While there is certainly an increase in demand for houses and real estate, the supply remains low. For starters, residential projects and upcoming developments that were in the pipeline were delayed due to the Covid-19 pandemic. Also, due to the uncertainty of the pandemic, the buyer’s confidence had drastically decreased. So, very few homeowners and property investors were actually willing to put their homes on the market! Experts feel that the sales could be much higher, but the lack of supply is the real problem. In the near future, it seems that the supply will remain low; either until the pandemic finishes or the buyer’s confidence increases, or both.

Lack of low deposit mortgages in the market

Previously, first-time buyers and investors could get mortgages with a deposit as low as 5 or 10 per cent. Now, due to the uncertainty around the pandemic and the instability in the employment status, lenders and bankers have become very strict about their mortgage lending criteria. As the number of low deposit mortgages in the market reduces, first-time buyers and budget investors will be unable to purchase properties in the near future. Of course, this will have a devastating impact on the housing market in the UK. In order to prevent this, the government has announced a mortgage guarantee scheme that will allow first time buyers, homeowners and property investors to get mortgages by giving just a 5 per cent deposit. Leading lenders and banks in the UK have come aboard this scheme, which should make the demand for ownership rise considerably. 

Change in buyer priorities over the years 

The last few years have certainly brought about a major change in the priorities of the buyer. One such trend is that most buyers are looking for homes that are eco-friendly and environmentally conscious. For example, properties that have LED lighting, photovoltaic solar panels, programmable thermostats and have energy-efficient fixtures have become very popular among conscious buyers. Also, since more and more people have started working from home and will probably continue to do so for the next few years, potential buyers and existing homeowners have started looking at properties with work from home spaces. Some buyers are looking at properties with extra bedrooms, an outhouse or maybe even a garage which can then be converted into a home office. The increase in the number of people working from home has also led to an increase in the demand for properties in the countryside, as professionals no longer have to worry about commuting to work.

Apr 29, 2021

Learn how real estate agents value properties for sale

value properties for sale

How do you get into real estate sales?

Every owner wants to sell his property for its maximum value. And all too often they end up choosing a real estate agent simply based on who gives them the highest initial valuation. However, this will be a costly mistake.

How your home is valued. If you make a mistake in the estimate, it is possible that it will be sold for a price that is less than the real value of the property. On the other hand, even overpriced homes will discourage potential buyers from viewing your home. Also, high selling prices can even result in a long wait before a good deal comes in or does not sell at all. Therefore, titration is recommended as a suitable agent.

Here are some things that real estate agents consider during property valuation. But, few factors real estate agents consider when valuing a property.

1. Local services: 

During property valuation, one of the main factors that can drive the sale price up is the actual area where the home is located. Aspects like how close the home is to schools, shopping centers, banks, restaurants, and parks affect the bottom line. sale price. A property that has good transport links will fetch a much better price than a house that is in remote locations.

2. Sizes: 

When it comes to valuing your property, the size of your home is another vital aspect that real estate agents consider. The number of bedrooms the property has affects the marketability of the property. Even the size of each individual room largely determines buyer demographics.

3. Curb appeal: 

Real estate agents believe that the appearance of their property from the outside is just as important as the interiors. After looking around your property, the agent will determine if your front yard looks clean and well-maintained and if your property stands out from the rest. A home with great exteriors will certainly be priced better than those without.

4. Aesthetics: 

Aside from the obvious considerations like keeping your home looking good, neat, and clean, there are a few other aesthetic factors that can help you increase your property's value. Properties that offer great views or are close to bodies of water will always achieve a better sale price. Just as hotel rooms with panoramic views cost more, so do houses near a river or sea.

5. Potential: 

Although the size of the home plays a vital role in property valuation, so does the flexibility of the property being valued. Agents even check to see if a particular property can be expanded. A home that has potential for improvement can help a lot with the sale price. Properties with the scope of upgrades and renovations can drive up sales prices significantly.

Now that you know the considerations, what are you still here for? It is time for your property to be appraised by qualified real estate agents!

Jul 3, 2018

3 Things You Need to Know Before You Finance a New Home

3 Things You Need to Know Before You Finance a New Home
Financing a home may seem like a daunting prospect when we think about all the paperwork that is sure to be involved. The truth is that while the process is undoubtedly thorough, it need not be intimidating at all. Preparation and readiness can help remove most anxiety about home financing.

Here are three things you should know before you finance a new home

1. Personal finance homework saves time and money

Gather your credit information. All lenders will look at your various documents – savings, taxation, outstanding loans – and decide if you are creditworthy. Make sure all your documents are to hand. Also, ensure that you are up-to-date on payments with any loans you may have including credit card bills.

Next, work out the cost of the home purchase process. The purchase price is one thing but work out all the other expenses as well. Interior work, taxes, stamp duty, repairs, additions, remodeling, furnishing, moving charges, exterior work, all these need to factor into your total cost of home ownership. Once you know this, you have a right ballpark for how much home finance is required.

After that, see how much you have in savings for the deposit. Is it enough to get you financing? How much more do you need? How much time will that take?

One outcome of this is that you might reevaluate the type of home and the location of the house that you wish to buy. This is not a bad thing. Buying a home is not something you have to do today. If you are not prepared, it is better to wait before entering into such a significant financial commitment.

2. Evaluate various home finance options

Work out which home buyer financial aid program that suits you best. In the UK, for example, you can get home buying assistance from the Help to Buy plan wherein the government loans up to 40% (in London) of the property price at a low-interest rate. If you have saved for the 5% deposit, you need home finance for the remainder only. You can even choose the Starter Homes scheme and get 20% discount on the property price after paying the deposit.

When approaching banks/lenders for the housing mortgage, make time to understand what they are offering entirely. Loans have to be repaid over several years. It is a commitment you cannot back out of without losing your home. Get professional help, if need be, to understand which loan scheme is most manageable for your financial status as on date and the change you expect in it in future.

3. Professional help from a trusted real estate agent can save you from heartache

Buying a new house is not just a matter of saving for the deposit, taking a loan and making the purchase. Buying a house involves contracts, negotiations, evaluations, inspections, appraisals, preparation of documents, dealing with local government authorities, ensuring that sellers give the home in the promised condition.

A real estate agent can help you navigate all stages from viewing the house to evaluating finances to getting government aid to getting loans to dealing with contractors. Remember, a seller’s representative does not have to protect your interests since you are the buyer. Buyers are best served when they employ their estate agents. To find a real estate agent that you can trust, a search on the internet will give you a list of real estate agencies.

Find out what you can about the performance of the agencies and their estate agents. You can even give each a call or meet with representatives and choose one with whom you feel comfortable. Remember that it will be a long-term association. Find a real estate agent whom you like and whom you find competent and professional.

A professional real estate agent will keep open lines of communication and will get back to you as quickly as possible about all queries. They will also not dismiss any question as trivial.

A real estate agent is invaluable even before you decide on a house. Take the help of your real estate agent to work out your finances, to understand what is the best home for you and how to get a house that is suitable not just for your life today but the house for your future life.

An estate agent will also help you understand in detail about the available financing options. Financing a home is a multi-year commitment; make a decision using professional help to protect your financial interests.

Financing a new home can seem like a paperwork-filled process. A few simple preliminary steps like understanding your personal finance and evaluating various home finance options can ease the burden by quite a bit. Asking for professional help from real estate agents makes the process even more comfortable.

May 15, 2018

5 financial preparation tips for buying a new house in 2018

Tips for buying a new house in 2018
Buying a house is one of the biggest purchases that you will make in your life. Once you decide to buy a house, the next thing is to be well prepared financially. The purchase process seems simple: 1. Like house 2. Put in an offer 3. Offer accepted 4. House owned. In truth, the process of “How to buy a home” involves quite the details. Specifically revolving around finances.

Here are 5 major financial preparation tips to note when buying a house in 2018.

1. Save for the deposit

The minimum requirement for a deposit is 5% of the property value. The higher the deposit you set aside, the better the deal you get when borrowing money from lenders like banks. Home buying tip number 1 is, save for the deposit. Start now.

One of the best ways, for those under 40, is the Lifetime ISA or LISA account. £4,000 a year and when you buy your first home, the government will add a 25% bonus. Which means you have £5,000 (before interest) to use as the deposit.

If you are 40 and above or don’t want to wait for the minimum 12 months that you need to have a LISA, you can use the Help to Buy ISA. You can apply for the government bonus once you have saved £1,600. For full benefit though, even Help to Buy ISA is effective only in the long term.

Understand your requirement and choose accordingly.