How To Become A Property Developer
3 pieces of advice on how to become a property developer. If you dream of making money from property development then this video is for you.
Showing posts with label money. Show all posts
Showing posts with label money. Show all posts
Thursday, 3 August 2017
Monday, 19 June 2017
Where can landlords find the best mix of affordability and rental return?
By Marc Da Silva
Fresh research using a combination of house prices, salaries and rental prices suggest that Stoke-on-Trent is the best destination to invest in buy-to-let property.
The study, which ranked Britain’s 100 major towns and cities, taking into account the average income, average property price and average rent in each area, has unsurprisingly unveiled a stark north-south divide in efficiency of local buy-to-let investments, with every one of the UK’s top 10 so-called ‘buy-to-let sweet spots’ located in the north and 10 least efficient places to be a landlord entirely dominated by the south.
Stoke-on-Trent in first place was followed by Oldham in second position and Liverpool in third, with the rest of the 10 made up of Leeds, Middlesbrough, Newcastle, Stockton-on-Tees, Gateshead, Rotherham and Rochdale.
Investors can enter the buy-to-let market more easily if their income is relatively high compared to local property prices, and will earn a stronger rate of income return if those properties command high levels of rent relative to their price.
An investor would need a deposit of £29,397 to secure the average buy-to-let purchase in top performer Stoke-on-Trent on a loan-to-value of 75%. Average property prices there have reached just £117,586.
Dan Gandesha, founder of property investment marketplace Property Partner which conducted the research, said: “What our research reveals is a clear North-South divide in the investment opportunities facing buy-to-let landlords.
“We have always been at pains to point out to investors that prime locations such as Kensington and Chelsea can offer some of the lowest yields available, because prices have raced ahead while rents have failed to keep pace.
“It just goes to show, you shouldn’t always follow the crowd and the right investment could be on your doorstep where there is far less overall demand.”
The table below shows how the south dominates the bottom of the rankings thanks to high demand pushing up prices, resulting in high capital requirements to enter the market and weaker rental yields.
Potential landlords in Poole face the most challenging investment in buy-to-let followed by Central London, and then Sevenoaks. Fourth from bottom came Bournemouth, followed by Cambridge, Oxford, Winchester, St Albans, Chelmsford and Brighton.
https://www.landlordtoday.co.uk/breaking-news/2017/6/where-can-landlords-find-the-best-mix-of-affordability-and-rental-return
Fresh research using a combination of house prices, salaries and rental prices suggest that Stoke-on-Trent is the best destination to invest in buy-to-let property.
The study, which ranked Britain’s 100 major towns and cities, taking into account the average income, average property price and average rent in each area, has unsurprisingly unveiled a stark north-south divide in efficiency of local buy-to-let investments, with every one of the UK’s top 10 so-called ‘buy-to-let sweet spots’ located in the north and 10 least efficient places to be a landlord entirely dominated by the south.
Stoke-on-Trent in first place was followed by Oldham in second position and Liverpool in third, with the rest of the 10 made up of Leeds, Middlesbrough, Newcastle, Stockton-on-Tees, Gateshead, Rotherham and Rochdale.
Investors can enter the buy-to-let market more easily if their income is relatively high compared to local property prices, and will earn a stronger rate of income return if those properties command high levels of rent relative to their price.
An investor would need a deposit of £29,397 to secure the average buy-to-let purchase in top performer Stoke-on-Trent on a loan-to-value of 75%. Average property prices there have reached just £117,586.
Dan Gandesha, founder of property investment marketplace Property Partner which conducted the research, said: “What our research reveals is a clear North-South divide in the investment opportunities facing buy-to-let landlords.
“We have always been at pains to point out to investors that prime locations such as Kensington and Chelsea can offer some of the lowest yields available, because prices have raced ahead while rents have failed to keep pace.
“It just goes to show, you shouldn’t always follow the crowd and the right investment could be on your doorstep where there is far less overall demand.”
 |
| Source: ONS income data for 2016 and Home.co.uk rental and property prices (collated 17/05/17). |
Potential landlords in Poole face the most challenging investment in buy-to-let followed by Central London, and then Sevenoaks. Fourth from bottom came Bournemouth, followed by Cambridge, Oxford, Winchester, St Albans, Chelmsford and Brighton.
 |
| Source: ONS income data for 2016 and Home.co.uk rental and property prices (collated 17/05/17). |
https://www.landlordtoday.co.uk/breaking-news/2017/6/where-can-landlords-find-the-best-mix-of-affordability-and-rental-return
Monday, 5 June 2017
HSBC cash sweetener aims to entice staff to new Birmingham HQ
By Rupert Neate
Canary Wharf staff offered up to £2,500 for each employee persuaded to relocate from London as CEO admits to ‘tricky’ task
HSBC is offering its employees cash bonuses of up to £2,500 if they can convince a colleague to move from London to the bank’s new British headquarters in Birmingham.
The bank has created a special bonus scheme to encourage staff to “help us find the right people for Birmingham” because it is struggling to entice enough of its staff to make the 120-mile move before its new office opens in January.
Staff who manage to convince a friend to make the move to Birmingham will be rewarded with a cash bonus of between £750 and £2,500 depending on the seniority of the new Midlands recruit.
Britain’s biggest bank has only convinced just over half of its target of 1,040 people to make the move more than two years after announcing it would switch its UK banking operations from Canary Wharf to Birmingham.
The new cash bonus comes on top of the bank already attempting to sweeten the change by making its standard relocation package “more attractive” with “support for housing and children’s schooling”.
António Simões, HSBC’s chief executive, told reporters last week, during a visit to the bank’s new 10-storey 210,000-sq-ft office building in Centenary Square: “We have had some challenges but today we are ahead of where we thought we would be, with around 53% of the roles filled.”
Simões, who took over as HSBC’s chief executive in 2015, said it had proven “trickier” than expected to convince some specialists, particularly in areas like marketing and communications, to make the move, which he described as “quite a big task still”.
“We’ve made the standard package more attractive by offering for example support for housing and children’s schooling,” Simões said. He did not mention the cash bonuses, which were later found to be offered on HSBC internal staff website.
A HSBC spokesman said that despite the difficulties in convincing staff to move, the bank was convinced that its new £200m office would open on schedule.
The reluctance of the bank’s staff to move to the Midlands comes despite much lower house prices and a cheaper cost of living in Birmingham compared with London.
According to the property prices index provided by Hometrack the average home in Birmingham costs £152,000, less than a third of the average price in London. But house prices in Birmingham are rising much faster than in the capital, with prices up 7.7% in the year to April compared to 3.5% in London.
The new Birmingham office will contain HSBC’s UK retail and commercial bank, which is being split from the riskier parts of the group under the government’s ringfencing rules, which come into force at the start of 2019.
The continuing difficulty in recruiting staff for the Birmingham office may concern the bank’s official monitor, who was last year reported to have described the move as “a programme in crisis”. Michael Cherkasky, a lawyer who was installed as the bank’s official monitor following HSBC’s £1.2bn fine for money laundering offences from the US in 2012, was said to have expressed concerns to executives about the lack of staff willing to make the move. He said a delay could lead to the bank’s UK division lacking the ability to maintain proper money-laundering controls.
HSBC, which has 16 million customers in the UK, selected Birmingham for its British headquarters partly because of its purchase of Midland Bank in 1992. About 48,000 of HSBC’s 257,000 staff work in Britain.
Many British banks and other businesses are trying to relocate parts of their operations out of London because of the rising cost of office space in the capital. Of the 2.2 million people employed in financial services jobs in the UK, two-thirds now work outside London, according to data from the industry lobby group TheCityUK.
Financial jobs in Birmingham rose by 6.9% between 2013 and 2015, the group said. Other large financial employers in the city include Deutsche Bank, which has increased its Birmingham staff from 35 in 2007 to about 1,500 today.
https://www.theguardian.com/business/2017/jun/04/hsbc-cash-sweetener-aims-to-entice-staff-to-new-birmingham-hq
Canary Wharf staff offered up to £2,500 for each employee persuaded to relocate from London as CEO admits to ‘tricky’ task
 |
| HSBC’s new UK headquarters under construction in Birmingham, March 2017. Photograph: Darren Staples/Reuters |
The bank has created a special bonus scheme to encourage staff to “help us find the right people for Birmingham” because it is struggling to entice enough of its staff to make the 120-mile move before its new office opens in January.
Staff who manage to convince a friend to make the move to Birmingham will be rewarded with a cash bonus of between £750 and £2,500 depending on the seniority of the new Midlands recruit.
Britain’s biggest bank has only convinced just over half of its target of 1,040 people to make the move more than two years after announcing it would switch its UK banking operations from Canary Wharf to Birmingham.
The new cash bonus comes on top of the bank already attempting to sweeten the change by making its standard relocation package “more attractive” with “support for housing and children’s schooling”.
António Simões, HSBC’s chief executive, told reporters last week, during a visit to the bank’s new 10-storey 210,000-sq-ft office building in Centenary Square: “We have had some challenges but today we are ahead of where we thought we would be, with around 53% of the roles filled.”
Simões, who took over as HSBC’s chief executive in 2015, said it had proven “trickier” than expected to convince some specialists, particularly in areas like marketing and communications, to make the move, which he described as “quite a big task still”.
“We’ve made the standard package more attractive by offering for example support for housing and children’s schooling,” Simões said. He did not mention the cash bonuses, which were later found to be offered on HSBC internal staff website.
A HSBC spokesman said that despite the difficulties in convincing staff to move, the bank was convinced that its new £200m office would open on schedule.
The reluctance of the bank’s staff to move to the Midlands comes despite much lower house prices and a cheaper cost of living in Birmingham compared with London.
According to the property prices index provided by Hometrack the average home in Birmingham costs £152,000, less than a third of the average price in London. But house prices in Birmingham are rising much faster than in the capital, with prices up 7.7% in the year to April compared to 3.5% in London.
The new Birmingham office will contain HSBC’s UK retail and commercial bank, which is being split from the riskier parts of the group under the government’s ringfencing rules, which come into force at the start of 2019.
The continuing difficulty in recruiting staff for the Birmingham office may concern the bank’s official monitor, who was last year reported to have described the move as “a programme in crisis”. Michael Cherkasky, a lawyer who was installed as the bank’s official monitor following HSBC’s £1.2bn fine for money laundering offences from the US in 2012, was said to have expressed concerns to executives about the lack of staff willing to make the move. He said a delay could lead to the bank’s UK division lacking the ability to maintain proper money-laundering controls.
HSBC, which has 16 million customers in the UK, selected Birmingham for its British headquarters partly because of its purchase of Midland Bank in 1992. About 48,000 of HSBC’s 257,000 staff work in Britain.
Many British banks and other businesses are trying to relocate parts of their operations out of London because of the rising cost of office space in the capital. Of the 2.2 million people employed in financial services jobs in the UK, two-thirds now work outside London, according to data from the industry lobby group TheCityUK.
Financial jobs in Birmingham rose by 6.9% between 2013 and 2015, the group said. Other large financial employers in the city include Deutsche Bank, which has increased its Birmingham staff from 35 in 2007 to about 1,500 today.
https://www.theguardian.com/business/2017/jun/04/hsbc-cash-sweetener-aims-to-entice-staff-to-new-birmingham-hq
Thursday, 18 May 2017
The Landlord Law Conference takes place tomorrow
By Marc Da Silva
Despite recent tax changes, buy-to-let property remains an attractive investment at a time of low interest rates and volatile stock markets, but some investors fail to recognise that becoming a landlord comes with added responsibilities, which are constantly changing.
Failure to comply with the rules can result in prosecutions, fines and the inability to evict non paying tenants, and that is where the Landlord Law Conference could potentially help you.
The conference, which will take place at the Sprowston Manor Hotel on the outskirts of Norwich tomorrow, will feature a number of legal talks from specialist lawyers and trainers, as well as an exhibitors area, with specialist companies there to talk to and advise you, including Anthony Gold solicitors, the Property Redress Scheme, Aston Shaw Accountants and the Residential Landlords Association, among others.
The day should prove to be a good opportunity to network with other buy-to-let landlords and property professionals.
To attend the event, you will have to buy a ticket, at a cost of £204. To do so, click here.
https://www.landlordtoday.co.uk/breaking-news/2017/5/the-landlord-law-conference-takes-place-tomorrow
Despite recent tax changes, buy-to-let property remains an attractive investment at a time of low interest rates and volatile stock markets, but some investors fail to recognise that becoming a landlord comes with added responsibilities, which are constantly changing.
Failure to comply with the rules can result in prosecutions, fines and the inability to evict non paying tenants, and that is where the Landlord Law Conference could potentially help you.
The conference, which will take place at the Sprowston Manor Hotel on the outskirts of Norwich tomorrow, will feature a number of legal talks from specialist lawyers and trainers, as well as an exhibitors area, with specialist companies there to talk to and advise you, including Anthony Gold solicitors, the Property Redress Scheme, Aston Shaw Accountants and the Residential Landlords Association, among others.
The day should prove to be a good opportunity to network with other buy-to-let landlords and property professionals.
To attend the event, you will have to buy a ticket, at a cost of £204. To do so, click here.
https://www.landlordtoday.co.uk/breaking-news/2017/5/the-landlord-law-conference-takes-place-tomorrow
Friday, 12 May 2017
Buy-to-let landlords contribute £15.9bn a year to UK economy, study finds
By Marc Da Silva
Buy-to-let landlords currently contribute £15.9bn per year to the British economy through pre-tax spending on running their portfolios, which is more than double the estimated £7.1bn in 2007, owing to the rapid growth of the private rented sector and rising cost of acquiring property, according to a new report from Kent Reliance.
But as their tax burden increases, more than a third - 36% - of landlords surveyed by BDRC Continental on behalf of Kent Reliance are looking to cut their annual spending, a move that could reduce overall spending by more than £500m in total, which would hit the tradesmen and professionals that support the buy-to-let industry, the study by the specialist mortgage lender, which forms part of OneSavings Bank plc., shows.
Property upkeep and maintenance was the most popular area identified by 17% of landlords for potential cost cutting, followed by letting agent fees and mortgage costs - both 10%.
Those landlords anticipate they will reduce spending on letting agent fees by 28%, property maintenance and servicing by 21% and mortgage costs by 15%.
The new ‘Tracking landlords’ costs and economic contributions’ report, part of the lender’s ‘Buy to Let Britain’ research series, states that spending per property stands at £3,632 before tax or mortgage interest - a third of rental income - with the cost of property upkeep, maintenance, and servicing the largest outlay at a combined £5.5bn.
Landlords typically spend £2bn in service charges and ground rent, £963m on insurance, £904m on utilities, and a further £1.1bn on other associated costs of letting a property.
Spending on letting agents’ fees totals £4.7bn each year, with £644m spent on legal and accountancy fees, and £218m on administration costs. Altogether, landlords provide £5.5bn of revenue for these sectors.
John Eastgate, sales and marketing director of OneSavings Bank, commented: “Landlords may seem like an easy target for political point scoring, but they play a vital role in the economy. Not only do they house a huge proportion of the country’s workforce, bridging the housing demand and supply gap, their spending supports thousands of jobs - whether builders, cleaners, lawyers and accountants or letting agents.
“Trying to tackle the housing crisis by targeting landlords with punitive taxes is very simple and politically highly palatable, but has unintended consequences. Either it means less work for all those who support the property industry, or it means tenants will have to foot the bill for the government's tax raid, or both.
“One side effect of the recent changes, and rising running costs, will be the professionalisation of the sector as amateur and accidental landlords leave the market. There is nothing wrong with having fewer, bigger landlords, but that alone will not help more young people get homes.”
https://www.landlordtoday.co.uk/breaking-news/2017/5/buy-to-let-landlords-contribute-15-9bn-a-year-to-uk-economy-study-finds
Buy-to-let landlords currently contribute £15.9bn per year to the British economy through pre-tax spending on running their portfolios, which is more than double the estimated £7.1bn in 2007, owing to the rapid growth of the private rented sector and rising cost of acquiring property, according to a new report from Kent Reliance.
But as their tax burden increases, more than a third - 36% - of landlords surveyed by BDRC Continental on behalf of Kent Reliance are looking to cut their annual spending, a move that could reduce overall spending by more than £500m in total, which would hit the tradesmen and professionals that support the buy-to-let industry, the study by the specialist mortgage lender, which forms part of OneSavings Bank plc., shows.
Property upkeep and maintenance was the most popular area identified by 17% of landlords for potential cost cutting, followed by letting agent fees and mortgage costs - both 10%.
Those landlords anticipate they will reduce spending on letting agent fees by 28%, property maintenance and servicing by 21% and mortgage costs by 15%.
The new ‘Tracking landlords’ costs and economic contributions’ report, part of the lender’s ‘Buy to Let Britain’ research series, states that spending per property stands at £3,632 before tax or mortgage interest - a third of rental income - with the cost of property upkeep, maintenance, and servicing the largest outlay at a combined £5.5bn.
Landlords typically spend £2bn in service charges and ground rent, £963m on insurance, £904m on utilities, and a further £1.1bn on other associated costs of letting a property.
Spending on letting agents’ fees totals £4.7bn each year, with £644m spent on legal and accountancy fees, and £218m on administration costs. Altogether, landlords provide £5.5bn of revenue for these sectors.
John Eastgate, sales and marketing director of OneSavings Bank, commented: “Landlords may seem like an easy target for political point scoring, but they play a vital role in the economy. Not only do they house a huge proportion of the country’s workforce, bridging the housing demand and supply gap, their spending supports thousands of jobs - whether builders, cleaners, lawyers and accountants or letting agents.
“Trying to tackle the housing crisis by targeting landlords with punitive taxes is very simple and politically highly palatable, but has unintended consequences. Either it means less work for all those who support the property industry, or it means tenants will have to foot the bill for the government's tax raid, or both.
“One side effect of the recent changes, and rising running costs, will be the professionalisation of the sector as amateur and accidental landlords leave the market. There is nothing wrong with having fewer, bigger landlords, but that alone will not help more young people get homes.”
https://www.landlordtoday.co.uk/breaking-news/2017/5/buy-to-let-landlords-contribute-15-9bn-a-year-to-uk-economy-study-finds
Subscribe to:
Posts (Atom)