House prices fall

Despite all the optimism shown earlier this year that house prices were due to rise noticeably both this year and next year these forecasts have proved well wide of the market reports Andrew Oulsnam, Managing Partner of Robert Oulsnam & Company.
The most recent surveys for the second quarter of this year are showing price falls.

The amount varies from area to area of the country but it is becoming very clear in the Birmingham and Worcestershire areas that unless properties are priced competitively they are unlikely to affect a sale.

There has been a significant increase in the number of properties coming onto the market in May and June with a number of available homes for sale now almost 50% more than they were in January this year, this is despite the fact that was actually an increase in the number of sales transactions from May to June.

The key factor in driving up prices in 2009 was the shortage of properties available and as this is now being corrected, we are unlikely to see substantial prices rises for some time to come. What is more important there are many optimistically priced houses on the market which will have to reduce to be able to affect sales.

The one good piece of news has been a very slow but steady increase in the mortgage market with more mortgages arranged in the last two months and with much better products being made available to would-be buyers, many more are now able to find a mortgage.

Cheaper Mortgages?

After all the reports on how difficult it has been to get a mortgage, the reduction in interest rates in the recent months has gone almost unnoticed reports Andrew Oulsnam, Managing Partner of Robert Oulsnam & Company.

Mortgage borrowers who are looking for the security of fixed monthly repayments or are still undecided whether to move off their Standard Variable Rate (SVR) should now consider fixing their mortgage as average fixed rates have fallen across the board to their lowest levels since 2007 according to moneysupermarket.com.

Since April 2008, the average rage for two-year fixed details has fallen significantly by 3.36% with rates at a current low of 4.62%.

This reduces a fixed repayment on a £150,000 mortgage by £316 to £853. Three and five year fixed deals have also seen their averages reduce steadily since September 2009 after originally rising off the back of the last base rate reduction in March 2009. The average rate for three year fixed mortgage is now 5.3% from a July 2009 high of 5.86%. Five year average rates now sit at 5.83% from a high of 6.41% in September 2009.Cheaper Mortgages?
Cheaper Mortgages?

After all the reports on how difficult it has been to get a mortgage, the reduction in interest rates in the recent months has gone almost unnoticed reports Andrew Oulsnam, Managing Partner of Robert Oulsnam & Company.

Mortgage borrowers who are looking for the security of fixed monthly repayments or are still undecided whether to move off their Standard Variable Rate (SVR) should now consider fixing their mortgage as average fixed rates have fallen across the board to their lowest levels since 2007 according to moneysupermarket.com.

Since April 2008, the average rage for two-year fixed details has fallen significantly by 3.36% with rates at a current low of 4.62%.

This reduces a fixed repayment on a £150,000 mortgage by £316 to £853. Three and five year fixed deals have also seen their averages reduce steadily since September 2009 after originally rising off the back of the last base rate reduction in March 2009. The average rate for three year fixed mortgage is now 5.3% from a July 2009 high of 5.86%. Five year average rates now sit at 5.83% from a high of 6.41% in September 2009.

A picture speaks a thousand words

Ignorance over inventories can cost a landlord time and money, but the digital revolution has resulted in more landlords logging lists of possessions correctly...

The most mundane of moving-in procedures can mean the difference between a stressful drawn out close to a tenancy agreement or a hassle-free changeover.

Digital cameras can provide landlords with a fail-proof solution to accurately log and store evidence, ensuring in more reliable inventories being undertaken.

Kerry Parker, manager of Oulsnam Lettings said, "The majority of tenants are respectful of the properties they live in so it is easy to become complacent after a few regular tenancies and fail to put in place the appropriate provisions in case of a dispute."

If a tenancy is escalated to a dispute resolution service, a landlord needs to be able to demonstrate that they are entitled to claim some or all of the deposit.

Check out these tips on how to handle evidence submission for a dispute:

Submit your evidence on time as you only get one chance
Minimise breakable items by keeping clutter to a minimum
Provide durable items; take wear and tear into account and kit out the property accordingly
Submit relevant and accurate evidence: photographic evidence can be an effective tool in proving a case
Ideally photos should be signed and dated by both parties; relevant and validly dated receipts/quotes are required
Take time at the beginning and end of the tenancy to accurately log the condition of the property
Vacating Instructions: it is advisable to supply the tenant with written guidance on how to present the property on vacation
Time is of the essence for a check-out report: it is advisable to conduct your check-out as soon as is practical during daylight hours
Wherever possible, both parties should be present for any issues to be raised, and detailed notes (signed and dated by both parties) must outline any disrepair or damage
Keep your paperwork in order including estimates, invoices and receipts

Kerry Parker added, "Pictures are increasingly used in inventories and check-outs as a comparison tool, so taking accurate, jointly verified photos before the tenant crosses the threshold could help you to avoid a dispute in the future.
"The burden of proof lies with the landlord to show that they are entitled to claim some or all of the deposit if the termination of the tenancy is escalated to a dispute service," she said.

The Good News Keeps Rolling In

The national news may have told us that the country is still in recession with unemployment still rising and things could not be much worse but on the property front the good news just keeps rolling in.

Two recent reports from the Land Registry and from Nationwide Building Society have indicated that prices are still rising although only by nominal amounts which are hard to discern. Another report has indicated the cost of moving has actually fallen in the last ten years. This is this mainly a reduction in the cost of Conveyancing, surveys and removals all of which are down between 10-25% although there has been an added cost from the much maligned HIP. In addition up until the end of this year there is a stamp duty holiday for properties up to £175,000.

Another report out from the RICS has indicated that demand for first time buyers is rising whilst buy to let investors are now gravitating towards houses rather than flats. The latest RICS survey from chartered surveyors has reported a positive net balance for 11 consecutive months. Andrew Oulsnam commented “house price falls and lower interest rates have gone a long way to tempting first time buyers back into the market, however buyers still need to have great deposits to access the market with lenders remaining generally cautious. This is making it hard to translate this interest into hard transactions. Meanwhile the firmer tone to the market has also rekindled enquiries from buy to let investors, albeit in a more measured way than was visible prior to the onset of the credit crunch”.

Another successful month

The Bromsgrove office of Robert Oulsnam & Company have won the shield for the most successful office or department in October. The sales team are seen here receiving the company shield from partner Ian Williams. For the second consecutive month running, the Bromsgrove office had an exceptional sales month beating stiff competition from several other offices who all produced an excellent level of sales in October. Don't be discouraged from bringing your home to the market NOW as we still have many buyers looking to purchase. At Robert Oulsnam & Company we don't just focus on selling one type of property or location, we are interested in selling all types of property across all prices! Why don't you join in our success and contact Robert Oulsnam & Company to sell your home.