Property advice & a market update

We start this month's newsletter with information on buy to let mortgages. Lenders are providing increased options to the market as activity continues to increase. The stamp duty holiday will also help those wanting to invest.

Next we offer a first time buyers guide to support those who have continued to save to take their first step onto the property ladder. We also share ideas for creating the perfect home office.

To end our newsletter we feature our top pick of UK staycation hotspots for you to enjoy a well deserved weekend break! We hope you enjoy this months edition.

First Time Buyers Property Search Guide

Those who have managed to continue saving during the coronavirus pandemic may be thinking of taking their first steps onto the property ladder and purchasing their first dream home. The good news is, mortgage lenders have reintroduced high LTV mortgages back to the market, providing first time buyers with a big boost to help in their property journey. If you are one of the thousands of people who are looking to get on that first rung of the property ladder, then finding the right home can be a daunting process. However, we’ve included some advice below to guide you through the process so that you could be moving in to your first home in no time at all!

1) Know your limits
Starting your search with a clear idea of what you can afford is a key aspect in terms of finding the right home. Often, first-time buyers are so excited at the thought of starting their property search that they begin with expectations soaring. Knowing your financial limit is key; before you start your search, we would recommend having a mortgage-in-principal approved so that you know exactly what you can afford. In the current climate, a mortgage in principal can be a requirement prior to being able to go on a physical property viewing. This is to help reduce the number of people visiting properties. Starting your hunt by looking at homes twice your actual budget will only end in disappointment and will unduly extend your search – be realistic, set your limits and keep those finances in mind!

2) Mortgage Availability
More mortgage products have been made available in the market allowing first time buyers to consider property purchase with just 5 – 10% deposit. This is known as a high Loan To Value (LTV). Now that physical valuations and surveys can go ahead, more lenders are offering products to cater for first time buyers, such as Virgin Money and Barclays, but providers may restrict the number of applications per day to ensure their services can be maintained. Contact a mortgage adviser to find out your options.

3) Don’t go it alone!
One of the biggest mistakes that first-time buyers make is trying to manage the whole process alone. Finding a good estate agent who will help you not only in the property search, but also during the financial process of buying a property, will be the difference between peace of mind and undue stress. Our sales team are happy to help with any questions you may have and can guide you through the entire process keeping you informed at each stage. Remember, it is the sole purpose of an estate agent to match properties with people, therefore as suitable properties are brought to market which suit your requirements you will be the first to receive property details if you’re registered with us – giving you the edge.

4) The physical viewing
When you are new to the property game, it can seem awkward to spend too long looking around; however, if you are serious about the property, it is important to stay as long as you feel you need to. One of the most difficult things to do when looking for a property, and often cited by even the most seasoned property purchaser as a difficulty, is to look past the current decoration. This can work in two ways; if you view a property with elegant decoration it is easy to fall in love with the aesthetic; however, keep in mind that the chic furniture will all be gone when you move in. The second way in which decoration can put a dampener on your search is that you dislike the taste of the current owners and can’t see through it. If you don’t like the presentation of a property, then try to look past the individual components such as curtains and carpets and instead focus on the bones of the room underneath; looking at the features of the room and the overall size as there could be a fabulous space just waiting to be uncovered.

Check everything around the property and ask plenty of questions about all of its features including electrics, windows, the loft. Having this in-depth look into the property will hone your mind onto the minutiae and take you away from the excitement of wanting to make an offer. If you feel like you still have more to see around the property then arrange another viewings; seeing the property at a different time will give you a better feel for the neighbourhood and your immediate neighbours.

5) Don’t take all of the credit
You have your mortgage-in principal, you’ve worked with an estate agent to find that perfect home within your budget and you have visited the property a couple of times. The dream is practically complete; you have that contract signed and the countdown to completion is on – so now you’re on the home straight to first-time property bliss. How to celebrate? A new car that will look lovely on your new driveway, a large television to adorn your living room wall or an expensive sofa to relax upon? Whatever happens, before your property purchase completes do not take out any other credit lines whatsoever as this could put the property purchase in severe jeopardy. Some mortgage lenders will pull one final credit report before completion in order to ensure that your status has not changed – taking further credit out will endanger this so wait until your purchase completes before splashing out the cash.

Our Top Tips For Designing A Home Office

People have been working from home for a while now. With businesses offering a greater level of autonomy and flexibility to their workers for the long run, many of us will have created office spaces in our homes. These spaces are vital to our productivity, and we have therefore put some of our favourite design ideas together in order to make your home office a hotbed of efficiency.

Nail the basics
When designing a home office, it can be easy to get caught up in the design aesthetic first and foremost, but the basics of a suitable desk and comfortable chair are not to be overlooked. These two pieces of equipment could make your working-from-home bleak or blissful, so take the time to choose wisely. When choosing your seat, ensure that the height and lumbar can be fully adjusted; your thighs should be at a right angle to the floor and your feet totally flat to provide the most ergonomic seating position.

Don’t neglect storage
The old adage of ‘tidy space, tidy mind’ is prevalent for a reason – we tend to work best when we’re in comfortable, organised spaces. It’s easy to forget that a home office will need to have masses of storage in order to store your working documents, as well as any accoutrements you need on a day-to-day basis. When planning your home office, incorporate space for storage which includes shelving, cupboards and filing cabinets.

Create an oasis
Your home office should be a space that you want to visit; therefore, creating a pleasant and attractive room should be high on your priorities to encourage you to use it. Studies have suggested that using greenery in our work spaces can make us happier and improve cognitive functions, so adding plants or herbs in your office space are an easy method to incorporate some natural elements. In line with the greenery, keep the general feel of your home office light and airy by keeping walls and décor neutral, perhaps with one simple accent wall in a colour such as navy blue, which is supposed to help with concentration.

Creating space
Not everybody will have an extra room to dedicate to a home office, but don’t let that stop you. If you have an alcove in any rooms in your house, you can turn it into a mini home office simply with a fold down desk. You could also double up the use of your dressing table or kitchen table. One of the benefits of not having a dedicated fixed office space is that you can move your home office around if you feel like you need a motivation refresh.

Buy To Let Mortgages

Now that the property market is resuming activity we have seen property demand increase, especially in the lettings market. Research by Rightmove found that demand for rental homes rose by 33% in May 2020, which is higher than the same time last year! Mortgage lenders have also re-introduced many of their products to accommodate the increased activity.

The range of mortgages has expanded over the past few weeks with buy to let options re-entering the market. There are many lenders that are offering a range of mortgage products with excellent rates. If you are a landlord and have not needed a mortgage payment holiday, this could be your window of opportunity. Landlords may wish to use this time to consider expanding their portfolios as there are plenty of prospective tenants looking for their next home. Investing in property now could lay the foundations for long term capital gains. The Chancellor's recent announcement of a stamp duty is applicable to landlords and investors making it an increasingly ideal time to consider your next purchase.

How has buy to let mortgage availability changed?
The outlook for buy to let landlords has improved vastly recently. Landlords who are seeking buy to let mortgages now have more choice with Barclays, Lendinvest, and Virgin Money (to name a few) renewing their products to include increased variety. Over the past month, buy to let products have increased to levels almost the same as March 2020. If you are a landlord, now if a great time to re-assess your property portfolio and consider expanding, or recalculating your portfolio financing. There are an additional 280 further options for buy to let mortgages. This rise shows the mortgage lenders shift in focus from existing borrowers, to including new borrowers too. This means that if you have been considering renting your home the market has options available for you.

What about interest rates?
Buy to let mortgage rates are low, as with all mortgage rates currently. This is because the Bank of England’s base rate is still currently sitting at 0.1%; making rates increasingly competitive. The greatest savings have been identified with 5 year fixed rates; the greatest reductions can be found with five year fixed with 80% LTV. If you are in a position to switch your mortgage deal, or enter the buy to let market, now is the perfect time to look around.