Landlords are being reminded to make sure their properties and tenants are ready for the winter weather.
Burst pipes are a common problem, according to the National landlords Association (NLA), as tenants sometimes do not know how to shut off the heating system if leaving the home empty during the festive period.
The NLA says landlords should make sure tenants are shown how to shut off water to the property or how to set the heating system thermostat to prevent pipes from freezing.
Then tenants should be shown how central heating systems work and where the gas boiler is located, along with where the emergency gas shut off valve is located.
The NLA is also encouraging landlords to make energy improvements to their properties.
Tips include:
- The loft insulation should be a minimum depth of 270mm to stop heat loss through the ceiling.
- Install cavity wall and floor insulation to stop heat escaping where possible.
- Fit lagging to hot water pipes and tanks to reduce heat loss and stop pipes from freezing.
- Draft-proof the property by filling gaps between floorboards and skirting boards.
David Salusbury, the NLA’s chairman, commented: “It’s important that tenants know how the heating system works in their property.
Newham Council has launched a consultation on compulsory borough-wide licensing. Inviting views, the council says: “Newham has a thriving private rented sector that provides affordable housing options for local people; but the council is concerned about possible overcrowding and anti-social behaviour in some properties.
“Therefore, the council is thinking of licensing private landlords and properties in the borough – in order to ensure that landlords, managing agents, tenants and owners operate legally and professionally.”
The consultation runs until December 4.
Newham estimates that around one-third of households in the borough are in the private rented sector, numbering around 35,000 homes. It has already piloted a smaller scale licensing scheme for over a year.
Sir Robin Wales, mayor of Newham, said: “We want to ensure that private sector rented properties are well managed and meet a good standard. We also want to deal with the crime and anti-social behaviour that is sometimes associated with bad private sector rented housing.
“There are good landlords in Newham and we want to work with them. Unfortunately there are also some unscrupulous ones – which these proposals would target.”
Shelter welcomed the Newham move. Kay Boycott, director of communications, policy and campaigns, said: “We urge other local councils to follow Newham’s lead in sending a clear signal that enforcing the law against rogue landlords is a priority.”
Landlords are being reminded to make sure their properties and tenants are ready for the winter weather.
Burst pipes are a common problem, according to the National landlords Association (NLA), as tenants sometimes do not know how to shut off the heating system if leaving the home empty during the festive period.
The NLA says landlords should make sure tenants are shown how to shut off water to the property or how to set the heating system thermostat to prevent pipes from freezing.
Then tenants should be shown how central heating systems work and where the gas boiler is located, along with where the emergency gas shut off valve is located.
The NLA is also encouraging landlords to make energy improvements to their properties.
Tips include:
- The loft insulation should be a minimum depth of 270mm to stop heat loss through the ceiling.
- Install cavity wall and floor insulation to stop heat escaping where possible.
- Fit lagging to hot water pipes and tanks to reduce heat loss and stop pipes from freezing.
- Draft-proof the property by filling gaps between floorboards and skirting boards.
David Salusbury, the NLA’s chairman, commented: “It’s important that tenants know how the heating system works in their property.
Landlords are in demand of buy to let remortgages to help them add properties to their portfolios. Many homeowners are using remortgages to fund their entry into the buy to let market. With landlords adding properties and many investors coming into the buy to let market it would appear that there would be a good supply of rental homes available. However, the supply of adequate rental homes is so low that many are calling for the government to assist landlords in adding more properties to the market to meet the high demand.
According to a recent index of rental properties it showed that rental costs had risen to a record high for the second month in a row. As demand for rental property has increased so has the cost to rent a property. Without easing in the lending market there is bound to be a continuing flow of households looking for rental property and demand will only increase without more input to the supply.
The Association of Residential Lettings Agents (ARLA) reported that there is definitely a lack of supply when it comes to rental properties. Of the 6,000 members of the Association 75 per cent believe there is now more tenants than there are properties with the demand in London and the southeast at all-time highs.
Tim Hyatt, president ARLA, says: “There is a finite amount of rental property and unless both housing supply and mortgage availability improves, renters will find their options in the market are reduced. The government is doing little to encourage landlords to invest in new properties; therefore we are running out of quality stock to offer to tenants. This is reflected in rent increases and a lack of choice for consumers.”
Increasing rents isn’t just a phenomenon exclusive to the property market in London.
The latest buy-to-let index from LSL Property Services reveals that landlords in all areas of England and Wales saw an increase in their rental income in September.
The figures were the largest since records began with the average rent rising by 0.7 per cent to reach £718, exceeding August’s previous record high of £713.This represents a 4.3 per cent increase on the same period last year.The south-east and the East Midlands saw the biggest rises, with 1.8 per cent and 1.1 per cent respectively compared to August.
In the past 12 months as a whole, rents in London have risen at the faster rate, increasing by 5.8 per cent.
David Brown, commercial director at LSL Property Services, said: “In areas of the highest demand, such as the capital, competition is driving up rents at a faster rate than elsewhere, but no region has been immune to the growing demand for rental homes from frustrated buyers.”
The figures follow comments made by Greg Kinnear of Landlord Assist, who estimated that a rise in living costs would prohibit people’s ability to buy property and further drive the rental market.
Landlord and Tenant News
Landlords looking to invest in student accommodation in London should do their homework before splashing the cash.
This is the advice from Stuart Cook, acquisitions manager at Freshstartliving.com, who suggested would-be landlords look at the size and type of university in a city and work out how many students would be looking for residences each academic year.
“Our research has found that there was a shortfall of accommodation for students in all cities across the UK, with around 100,000 units needed urgently. So long as the investor invests in a property close to the university with good transport links, they will be able to let it and see a good return,” he noted.
Such property has, in the past, been “highly lucrative”, meaning it was harder for landlords to secure.
“But the recession and increasing demand have changed much of that. Student accommodation is now a highly sought-after commodity,” Mr Cook added.
London Property to Rent
Propertywire reports that international tenants are taking 60% of prime London lettings, driving rents in the capital to new highs, according to the latest index from Knight Frank.
Rents in the sector have hit record highs having risen by 26.3% since June 2009, highlighting the dramatic turnaround in landlords’ fortunes on the back of new tenant demand from Asian and European tenants.
It shows that prime London rents have been rising for over two years and since January have risen by nearly 7%, including a 0.2% rise in August.
Despite the high levels of capital value growth in London over the past two years investors have been securing higher investment yields. Average prime gross yields have been pushed higher by rapid rental growth, moving from 3.3% to 3.6% in central London between June 2010 and August 2011.
Landlords are beginning to see increased competition, with new rental instructions higher by 23% in the three months to August, compared to the same period in 2010.
There is scope for more substantial increases over the next few months, with inspections of potential new rental properties up by 45%, according to Liam Bailey, head of residential research at Knight Frank.
Demand has also risen, offsetting the growth in supply, with an annual rise of 16% in new tenant registrations and a corresponding 17% rise in viewings in the three months to August.
>Individuals considering buying a house to rent out should think about landlord insurance to prevent against the risk of flooding .
This is the view of Malcolm Tarling, media relations officer at the Association of British Insurers, who noted that scientific research points to the likelihood of a higher flood risk in coming years.
“What we have seen is an increase in the cost of flood claims; in the UK the predictions are that flooding is going to get more severe,” he said.”We’ve commissioned independent research that shows the implications of rising sea levels will put many more properties at risk in the UK.”
In this case, cover against water damage may be one of the many health and safety issues for landlords.
Mr Tarling’s comments come after research from Munich Re found that 2010′s insurance claim losses totalled $130 billion (£84 billion) after the 12-month period reported the second-highest number of natural disasters on record.
Residential Landlords News
>Owners of buy to let buildings may be sensible in keeping their rental rates at the current level, LettingFocus.com has advised.
David Lawrenson, private rented sector expert at the organisation, commented that any landlord who pushes the rent too high could get stuck with long void periods.
“The sensible landlords will always try and be a bit cheaper than the market [average] if they have got any sense; if you get too greedy then people will just leave and then you have got the property being empty, the hassle of having to recruit a new tenant or you might have the costs of hiring a letting agent,” he pointed out.
It “makes sense” not to be greedy “because ultimately it ends up costing you more than you had planned”, Mr Lawrenson said, so looking at the typical prices for property to rent in London and other areas will help landlords work out “what the market will bear locally”.
London Property to Rent
>Individuals considering buying a house to rent out should think about landlord insurance to prevent against the risk of flooding .
This is the view of Malcolm Tarling, media relations officer at the Association of British Insurers, who noted that scientific research points to the likelihood of a higher flood risk in coming years.
“What we have seen is an increase in the cost of flood claims; in the UK the predictions are that flooding is going to get more severe,” he said.”We’ve commissioned independent research that shows the implications of rising sea levels will put many more properties at risk in the UK.”
In this case, cover against water damage may be one of the many health and safety issues for landlords.
Mr Tarling’s comments come after research from Munich Re found that 2010′s insurance claim losses totalled $130 billion (£84 billion) after the 12-month period reported the second-highest number of natural disasters on record.
Residential Landlords News
