Chris John & Partners

News & Comment

• February 2012: New Tenancy Deposit Scheme for Landlords

  The Tenancy Deposit Scheme (TDS) protects £1 Billion of deposits and is regarded as the Scheme of choice for regulated letting & managing agents such as Chris John & Partners. TDS have just announced that they can now offer a similar service to self-managing landlords.

  In the new scheme, called DepositGuard, the landlord holds the deposit and TDS only becomes involved should a dispute arise at the end of the tenancy. Landlords pay an insurance premium so that they can hold the deposit in a UK bank account for the duration of the tenancy agreement. They can then quickly deal with the refund at the end of the tenancy unless there is a dispute in which case it goes to TDS for resolution.

  At Chris John & Partners all our managed clients will continue to benefit from having tenancy deposits protected with TDS at no charge. We pay the insurance premium and will negotiate the deposit settlement within the terms of our management agreement.

  Call 029 2039 7152 now for a free valuation of your rental property, or use the contact form.

• January 2012: Buy-to-let still thriving!

  With rentals in high demand and house-building sluggish, private sector landlords continue to be the main growth source for UK housing provision. From a low point of 7 or 8% some years ago, the sector now represents around 16% of housing stock with more growth predicted.

  Investors have been attracted to regular income and the prospect of long-term capital appreciation, and have been joined by others who have decided to let rather than sell and found that becoming a landlord suits them well. When other asset yields are poor, property still looks like one of the better investments to be made.

  Whilst the downside risk is that income could be unreliable if tenants get into difficulties with the rent, using a good agent who knows their way round the legal issues can certainly help, and could be crucial. Selecting the right tenant in the first place and maintaining that all important cash-flow takes experience and professionalism. A wise property investor will always use an experienced and fully qualified managing agent.

  Chris John & Partners are licensed members of the Association of Residential Letting Agents (ARLA)

• January 2012: House prices level and interest rates to stay low in 2012

  There may be unanimity on interest rates but forecasting house prices can be a hazardous occupation.

  There are differences of opinion amongst the experts for 2012 and this is not unusual. You can see it in their analysis of what actually happened in 2011:- The government's own index says prices fell by 0.4%; the Halifax reckons they dropped 1%; and the Nationwide says they rose 1.6%.

  As far as Wales is concerned, the Land Registry says that prices fell 1.6% last year. However there may well be regional differences, with the capital fairing better. We certainly had a fairly brisk Autumn here at Chris John & Partners, with completed transactions up on the same period in 2010. Sensible pricing, proper marketing and good professional advice can get a result - even in a difficult market.

  However what happens in 2012 may partly depend on the Euro and also on unemployment levels. We may not be in the Eurozone,and we may never be, but as a country we certainly do a lot of trade in Europe. There could easily be knock-on effects for our economy if things should go wrong.

  So against that backdrop, what do the experts say? Nationwide predict level prices; Halifax say the same (plus or minus 2%); Rightmove says 2% up; RICS say 3% down. Take your pick.

  However the good news is definitely on mortgage rates. Just about everybody you could ask thinks that interest rates will remain at a very low level for the foreseeable future. Landlords should also have another good year, with high demand for quality rental properties across the board.

  Whatever 2012 may hold, we would like to take this opportunity to wish all of our current and future clients a very happy New Year!

• December 2011: New Rules for Tenancy Deposits

  Cardiff letting agents Chris John & Partners have welcomed the government’s clarification of the law on Tenancy Deposits.

  In new rules that are due to come into effect next year, it has been made clear that the landlord or letting agent will now have 30 days to protect the deposit compared to the current 14 days.
  Also, instead of a mandatory penalty of three times the deposit for non-compliance, the revised legislation will allow for this to be varied to between one and three times the value, to be awarded at the court’s discretion.

  Chris John & Partners, on behalf of their landlord clients, welcomed the announcement in Parliament. “We are pleased about the new regulations which are straightforward and fair. They also make it clear that tenancy deposit protection is here to stay.”

• November 2011: Building on Trust

  Here at Chris John & Partners we recognise that quality of service and a knowledgeable, helpful and practical approach is the key to success in sales and lettings. A good proportion of our business is gained by recommendation and we work hard to reinforce the reputation that we enjoy. We invite you to review this month’s client endorsements:-

  'Thank you for the professional and courteous service you have provided' - Mr M, Pontcanna

  'I would like to take this opportunity to thank you for a continuing excellent service over many years' - Mr & Mrs J, Llandaff

  Thinking of buying, selling or letting? Call now on 029 2039 7152 for your free valuation & expert advice.

• September 2011: Securing your new Rental Property

  With demand for rented homes at an all time high, a Cardiff letting agent has issued advice on securing a rental property in a tough climate.

  Chris John & Partners said "With prospective buyers currently turning to rented property as a more flexible option, the rental market is highly competitive. However it’s still possible to find that ideal home if the search is carried out in a well-informed and realistic manner."

  Work out your true priorities
  Before booking viewings, think about your 'deal-breakers' as well as areas for compromise. Knowing what you're willing to be flexible on can aid the decision-making process and help your agent select properties to suit your specific needs.

  Be prepared to make a prompt decision
  With the best properties often being let quickly, you may have to make a swift decision. However, it's important not to feel pressured into accepting a property that does not fit your requirements – a quick decision is different to a rushed decision.

  Don't go it alone
  Using an agent can make the process easier. Licensed ARLA members such as Chris John & Partners have industry-leading market knowledge. They are also regulated, giving you access to client money protection and a redress scheme.

  Get a flavour of the local market
  If you are moving to a new part of town, check it out on foot to get a feel for the area before you begin your search. It’s also a good idea to conduct online research into asking rents and be prepared to adjust your expectations - or budget - accordingly.

  Get your house in order
  To minimise delays once you have found the property you wish to rent, try to get your references and deposit ready before you begin your search.

• August 2011: Great news for borrowers

  The Bank of England has kept interest rates on hold at a record 0.5% for the 29th consecutive month to nurture economic recovery. That’s great news for borrowers, with the price of a fixed rate mortgage now at an all-time low. Nationwide became the latest lender to drop rates on both fixed-rate and tracker mortgage deals.

  British Chambers of Commerce believe that the Monetary Policy Committee should keep interest rates on hold until early next year, and many financial experts now think a rise is unlikely for some time, with just one or two rate increases possible by the end of 2012.

• July 2011: Protecting Tenancy Deposits

  Recent reports of a rise in bad landlords in a time of soaring rental demand have led the Tenancy Deposit Scheme (TDS) to remind tenants to be careful and to protect themselves by checking their deposit has been correctly registered.

  Registration and protection of tenancy deposits has been mandatory for over four years since 2007 and TDS currently has nearly a million tenancies registered (protecting over £1 billion in deposits). According to TDS a properly registered deposit can be seen as a first indicator of the likelihood for a successful and satisfactory tenancy.

  For landlords, failing to protect a deposit is a serious matter and one where the courts can award a penalty of up to three times the deposit value,” warned Steve Harriott, Chief Executive of the Tenancy Deposit Scheme. “The landlord or letting agent who provides tenants with the details of tenancy deposit protection at the outset is most likely to be conducting the business of letting in a professional manner.”

• June 2011: Landlords Optimistic about the Future

  Landlords are showing increasing optimism about the buy-to-let market according to a recent survey. With growing demand for rental accommodation some 49% of landlords think now is a good time to invest.

  185,000 fewer first-time buyers entered the property market in the last 12 months and the vast majority are remaining in the private rental sector instead. As a result over half of the landlords surveyed have seen a rise in tenant demand and 68% expect demand to grow further in the future.

  With the Bank Rate now forecast to remain at historically low levels until well into next year, landlords can plan for future growth.

  Cardiff letting agents Chris John & Partners said:- ‘There is a significant problem in the supply of rental properties, with demand currently outstripping supply. It is crucial that lending criteria loosen further to encourage professional investors into the market so that we can grow the Private Rented Sector.’

• June 2011: Professional Photography

  At Chris John & Partners we are pleased to announce that we have teamed up with the photographers at ffotogenus.com to provide a premium service on selected properties. Ffotogenus are professionals who will use their property experience and photography expertise to ensure that your home is shown to it’s very best advantage. Call 029 2039 7152 now to discuss how we can tailor a marketing package to suit your requirements

• May 2011: Buying more affordable than renting

  According to new research by conducted by Halifax, the monthly cost of buying a home in the UK is now 14% lower than when renting a property. Just three years ago the situation was very different when the cost of buying was 43% more than the typical rent paid.

  The average monthly cost of buying a three bedroom house in the UK stood at £608.00 in March 2011; 14% (£98) lower than the average monthly rent of £706.00 paid on the same property type.

  The interest paid on an average mortgage has fallen to 3.59% from 5.82% (March 2008) and monthly payments are down by nearly 40%.

  For up-to-date advice on the best mortgage deals available, call in to Chris John & Partners at 95 Pontcanna Street Cardiff or contact Steve Chadwick on 07811 948618

• April 2011: Homeowners should grab opportunity to reduce mortgage

  Eight out of ten homeowners could be missing out on the opportunity to shave years off their mortgage by overpaying relatively small amounts, research by Barclays has revealed. The lender is urging those homeowners who are not overpaying to start if they can afford it, while interest rates are still low.

  An ‘overpayment’ of £200.00 each month on an average mortgage of £150,000 over 25 years could see the term reduced by seven years and three months.

  Steve Chadwick of ISCA Mortgage Solutions, said ‘even as little as £50 can have a huge impact - an extra £50 per month on the same typical mortgage would reduce the term by over two years. Alternatively there are still some good fixed term deals available for re-mortgage.’ Steve is available for mortgage advice by appointment at our offices in Pontcanna Street or on: 07811 948618.

• March 2011: Agency upbeat about spring Housing Market

  Estate agents in Cardiff are reporting a leap in the number of people putting their house up for sale, with stock levels up 25% year-on-year. According to the NAEA, the number of house hunters registering with their members is now the highest since last summer.

  Cardiff estate agents Chris John & Partners said :- ‘Vendors are being realistic about the price they can expect to achieve when they put their house on the market, considering all offers very carefully. When trading up they are often able to recoup much of the difference in negotiations. This has helped to break the log-jam we were experiencing in the housing market in the latter part of 2010.

• February 2011: Top Tips for “greening” rented properties

  The Government’s new Green Deal (due to launch in 2012) will encourage landlords to take advantage of up-front financing to make their properties more energy efficient. Measures such as loft insulation, double glazing and installing a thermostat on the boiler will be covered. However properties which retain very low energy ratings could be subject to enforcement action later.

  Cardiff letting agents Chris John & Partners said: ‘the coalition government have committed themselves to a big reduction in carbon emissions by 2020. To achieve this they will need all property owners including landlords to play their part’.

  With the existing Energy Saving Allowance (LESA) residential landlords can already take advantage of a tax break of up to £1,500 for improvements. Meanwhile tenants on income-related benefits can also have insulation and other measures installed with a grant under the Warm Front scheme.

• February 2011: Cardiff Landlord Open Day 2011

  Cardiff Landlord Open Day has been confirmed for 4th April 2011 at City Hall (commencing 3pm).

  This free event will offer an opportunity for landlords to meet staff from Cardiff Council Private Sector Housing, Benefits, Council Tax and Tenant Support departments. The event will also feature a range of organisations with innovative new schemes and services in deposit protection, health and safety, energy efficiency and dispute resolution.

  A number of speakers including the Deputy Leader of Cardiff County Council will offer their perspective on key issues affecting landlords. Contact 029 2087 1762 or privatesectorhousing@cardiff.gov.uk for details.

• January 2011: January Jump Creates a Happy New Year for Housing Market

  THE UK housing market saw a surge in the level of enquires from both buyers and sellers in the first two weeks of January. A buoyant start to the year was recorded in a poll of almost 700 agents conducted by the NAEA (National Association of Estate Agents).

  Almost two thirds of agents said that the number of house hunters registering with them during the first two weeks of January was higher than they would normally expect for this time of year. NAEA President Mike Jones said: “These results appear to indicate renewed confidence in the housing market as we begin 2011 - we seem to have experienced something of a jump start to the year”

• January 2011: Royal Institution of Chartered Surveyors: Housing Market Forecast for 2011

  House prices will finish 2% higher this year, according to the latest RICS Housing Market Forecast

  Falling supply should provide a platform for the market to stabilise in the first half of 2011 and by the latter part of the year prices could be edging up again. A key risk is that fall out from public spending cuts will have a bigger impact on the jobless total than envisaged. However even in these circumstances the lack of supply should prevent a decline in prices.

  RICS estimates the average volume of mortgage transactions will amount to around 900,000 over the course of 2011, keeping transactions at roughly the same level as 2010.

• November 2010: Halifax reports 1.8% house price increase / Interest rates to stay low

  House prices in the UK rose by 1.8% in October compared with the previous month, the Halifax has said.

  The average home cost £164,919, according to the survey, just £71 less in October 2010 than it did in October 2009.

  "An increase in the number of properties available for sale in recent months, together with a decline in demand, has put some downward pressure on prices in recent months," said Halifax housing economist Martin Ellis.

  "Interest rates are likely to remain very low for an extended period, which will continue to support the improved mortgage affordability position for homeowners," Mr Ellis said.

• October 2010 : Rental Demand Reaches Record High

  The number of tenants seeking rental properties has reached an eight year high, according to research from ARLA. Letting agents from across the UK have reported a significant shortage of available rental properties as tenant demand far exceeds supply. The levels of demand are the highest since the ARLA survey began nearly a decade ago.

  Hopefully this unprecedented growth in the rental market will attract much needed investment into the private rental sector.

• September 2010: Chris John & Partners rated FIRST out of 45 Agents by Rightmove

  Chris John & Partners won 14 new Sales instructions during 21st August - 18th September 2010 placing us 1st out of 45 local agents. Properties advertised on Rightmove by Chris John & Partners were seen a total of 429,687 times. We also advertise on a further twenty national property portals.

• August 2010: Mortgage lending up in July

  The latest figures from the Council of Mortgage Lenders reveal that there were 56,000 loans for house purchase (worth £8.4bn) in July, up from 52,000 (£7.bn) in June.

  With the base rate still at 0.5% the proportion of income spent on mortgage payments has fallen to a six year low, and purchasers with equity in their current property are finding some excellent deals. However an increasing prevalance of repayment rather than interest-only mortgages demonstrates a more cautious approach by lenders and borrowers alike.

  More 90% mortgage deals are certainly becoming available but deposit finance can still be problematic for prospective first time buyers. Many are renting for much longer as a result - leading to a shortage of quality rental property across the UK.

• June 2010: Government releases latest UK house price index statistics.

  Latest figures show that UK house prices were 10.1 per cent higher than in April 2009 and 0.4 per cent higher than in March 2010. However, Wales outperformed all other regions with prices increasing by 11.3% (in Scotland prices are up only 2.2 per cent and in Northern Ireland they are down 8.9 per cent).

  Prices in the principality have therefore returned to more or less where they were prior to the onset of the credit crunch. The average house price in the UK stood at £207,516 whilst in Wales it was £151,079.

  An RICS spokesman said: “Surveyors are generally confident that sales will continue to pick up over the summer months. The increase in supply as a result of the abolition of Home Information Packs is helping to support this optimism despite concerns about mortgage finance availability.”