Musings of a London Property Search Agent

Property Search Agents like us have felt the soft bounce as well-priced property goes to sealed bids and we remember the heady days of 2007 when a good part of every day was spent ensuring we were given first refusal on new properties to the market.  So it is no surprise that Hometrack have produced the figures to support the anecdotes. 

A further 9.4% increase in sales agreed in May brings the 3 month increase to over 43% according to Hometrack.  The renewed market confidence is without doubt due to increased confidence and lack of supply.  The volume of property for sale has risen by 2.5% over the last 3 months but the number of would-be buyers has significantly increased as first-time buyers look to get their foot on the ladder, investors increase their portfolios and families needing more space just don’t want to wait any longer.

Hometrack report that the average agreed sale price is over 90% of the asking price for the first time since August 2008 a statistic which is in itself interesting.  Given the rather dire state of the property market last year, I am amazed that anyone paid 90% of the asking price in March 2008, never mind August.  Having said that, I am aware of two propertiesin Belgravia, which have been sold for several million over the price we discussed with vendors between March and August 2008.  In both cases the buyers were overseas property hunters mistaking additional value caused by a deflating pound for realistic prices at the time of purchase. 

 If any readers know any such people - please send them our way as this London Property Search Agency will undoubtedly save them a great deal of money!

Technorati Tags: House Prices, housing market news, London Property Search Agents, property market news

Tags: House Prices, housing market news, London Property Search Agents, property market news

London new buyer enquiries & new sales instructions Reproduced with the kind permission of the RICS

Our view about London property is similar to his because there has been a great deal of interest and activity from overseas buyers especially in and around London over the last 9 months and there is no sign of this interest slackening off.   Activity at the bottom end of the Central London market has picked up significantly over the last 8-10 weeks as first-time buyers, buy-to-let investors and parents of university students have all re-entered the market seeking bargains.  At the top end, demand is predominantly from overseas buyers or British Expatriates in our experience.  The increase in demand is matched by a shortage of supply in many areas of Central London.  With all the main house price indices showing price increases in many London boroughs over the last month or so, would-be vendors seem keen to wait for the elusive €™bounce€™ which many pundits have been predicting for next year.

Although the Bank of England kept its benchmark lending rate at 0.5% this is an exceptionally favourable rate.  Any prospective buyer would be well advised to investigate their borrowing power thoroughly and consider a return to interest rates of 5 €“ 7% as the Monetary Policy Committee will increase the Bank rate as soon as there is evidence of a recovery .  

 If you are looking for an investment or a new home give serious consideration to your move now as time for a favourable price may be running out.   London Property Search Agents like us are very busy with overseas buyers seeking bargains and the truth of the matter is that whether it is this year or next that we reach the bottom of the market, most people will miss out.

Technorati Tags: House Prices, London Property Search Agents, RICS

Tags: House Prices, London Property Search Agents, RICS

Musings of a London Property Finder

In addition to acting as Buyer’s Agents, we also act as Property Finders for tenants looking for a home to rent and predominantly at rents which fall outside of legislation requiring lettings agents and landlords to place deposits with approved deposit schemes.  However we always insist that either the deposit is registered with the Deposit Protection Service or it is placed with a lawyer.  Last week our Client fell in love with a fabulous mews house close to Hyde Park but the agent was only prepared to put the money in a ring-fenced Client account.  This is entirely legal for any property let for over £481 per week, so pretty much all property in London, but there is. 

In this case, the estate agent is well-known and reputable as is the landlord, who is a top London hotelier so the Client decided that they were happy with the arrangements suggested so it all went ahead as normal.  

Those people not fortunate enough to be renting a home for under £481 per month should ensure that their deposit is registered with an official tenancy deposit scheme.  There are two types of schemes, insurance backed and custodial.  Insurance backed schemes involve the lettings agent registering the deposit with the deposit scheme – effectively buying an insurance policy safeguarding it.  With a custodial scheme the deposit is held by the tenancy deposit company.  Only one of these Government Approved custodial tenancy deposit scheme and that is The Deposit Protection Scheme.  The other two are insurance backed schemes which the letting agents sign up to.

According to report conducted by Estate Agent Today, it turns out that another scheme known as mytenancydeposit.co.uk and run by MTD Secure Ltd,  is purporting to be an approved custodial scheme, but is not government approved and therefore doesn’t offer the protection required.

So would-be tenants, landlords and parents acting as guarantors who are about to hand over deposits. make sure your deposit is protected under one of these three schemes and not with any bogus organisation your estate agent hasn’t bothered to check out.

The three official schemes are:
* Tenancy Deposit Solutions Limited trading as mydeposits.co.uk
* The Dispute Service (thedisputeservice.co.uk)
* The Deposit Protection Service (depositprotection.com)

Of these three, the Deposit Protection Service is the only approved custodial scheme.

It may seem expensive to use a London Property Finder, but at least they should do the checks and warn you in advance if anything is amiss.

Technorati Tags: deposit protection service, deposits, London Property Finder, safeguarding tenants deposits, tenancy deposit schemes, tenancy deposit solutions, the dispute service

Tags: deposit protection service, deposits, London Property Finder, safeguarding tenants deposits, tenancy deposit schemes, tenancy deposit solutions, the dispute service