The latest news from Durrants

The latest news from Durrants


Welcome to the Durrants Newsletter, where we bring you the latest property news to keep you informed about the marketplace and ready to make the right decisions. As well as property news, we bring you some local events and offerings that we think you will enjoy.


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Update on Government Guidelines For Property

From May 13th 2020, the property market has been released from lockdown in order to allow for transactions to take place once more and this critical industry to restart. Of course, operations will be undertaken with strict social distancing guidelines in place in order to ensure the safety of all parties.
 
Housing Secretary Robert Jenrick explained “Our clear plan will enable people to move home safely, covering each aspect of the sales and letting process, from viewings to removals. This critical industry can now safely move forward, and those waiting patiently to move can now do so.”

As well as estate agencies being able to operate once more under new guidelines, the housebuilding sector was also gifted new measures to help it operate through the current period.

The Government guidelines can be seen in the bullet points below;

• Initial viewings should be done virtually wherever this is possible and property agents should help you to do this.
• All physical viewings should be limited to members of the same household and open house viewings should not take place.
• When physically viewing properties, where possible, you should avoid touching surfaces, wash your hands regularly, and bring your own hand sanitiser. The number of people on a viewing should be minimised to those from your household that absolutely have to be there. If you need to be accompanied by small children, you should try to keep them from touching surfaces and ensure they wash their hands regularly.
• If people are being shown around your current home, you should open all internal doors and ensure surfaces, such as door handles, are cleaned after each viewing with standard household cleaning products.
• As most people choose to, we recommend that you vacate your property whilst viewings are taking place in order to minimise your contact with those not in your household.
• Anyone involved in any aspect of the home moving process should practice social distancing in line with public health advice.
• When moving between properties, you and those in your household should try to do as much of the packing yourself as you can. Where this is not possible, you should speak to removal firms in advance. There is further advice about this below.
• If you are particularly worried about the risk of infection, then speak to the professionals involved, your landlord, estate agent or removers as they may be able to put in place extra measures.

David Cox, Chief Executive of ARLA Propertymark and Mark Hayward, Chief Executive of NAEA Propertymark commented:
 
“It’s great news for consumers and the industry that the housing market is being opened up and people can let, rent, buy and sell properties again. The new regulations provide clarity to agents and will allow them to deal with pent up demand from consumers. It’s also a step to reinvigorating the housing market and will be a boost to the economy.

"Safety, of course, will be paramount, and we would encourage everyone to ensure that they follow Government guidelines closely to protect others and themselves.”



Stamp Duty Announcement Causes Surge In Property Searches

One of the key announcements in the Chancellor’s summer statement was a holiday on stamp duty from 8th July 2020 to 31st March 2021, with first-time buyers and existing homeowners paying no stamp duty on purchases up to £500,000 during this period. 
 

With potential savings of up to £15,000 available, it should come as no surprise that this change created an immediate surge in activity, with potential buyers seeking to make the most of the savings on offer. 

 

Traffic to Rightmove jumped by 22% during the first 30 minutes of the announcement being made, demonstrating the efficacy of the announcement in providing a boost to the property market. With recent volumes of sales agreed increasing to levels seen in early March, the momentum which has been built following the easing of lockdown restrictions on the market should continue thanks to this impetus. 

 

Savings by region can be seen in the table below;

 

Region

Avg asking price June 20

Stamp duty saving

North East

£157,291

£646

Yorkshire and The Humber

£202,502

£1,550

North West

£206,909

£1,638

East Midlands

£236,110

£2,222

West Midlands

£238,123

£2,262

South West

£321,996

£6,100

East of England

£363,066

£8,153

South East

£419,595

£10,980

London

£628,284

£15,000

 



What Does The Stamp Duty Cut Mean For Landlords?

The buy to let sector has seen a tremendous amount of change over the past few years in order to help rebalance the property market, with key pieces of legislation such as the Tenant Fees Act and the recent Electrical Safety Standards regulations. The changes to stamp duty will go some way to reigniting the buy-to-let market and offers landlords a tremendous opportunity to make the most of the tax changes.

With the temporary increase on the stamp duty threshold to £500,000 until 31st March next year, first-time buyers and existing homeowners are set to save up to £15,000. For additional and investment properties, stamp duty is also removed up to this value, however the 3% surcharge remains.

Charlotte Nixon, mortgage expert at Quilter, believes that the changes to stamp duty could have the consequence of more investors returning to the market;

“Buy-to-let investors have left the market in their droves over the last few years after tax changes have made it an untenable investment for many. The stamp duty holiday may serve to entice some of these investors back to the market."

“Not only will this cut help to reignite the property market but also improve the supply of rental properties, which has been dwindling over the last 12 months."

Nixon is supported in her opinion by David Whittaker, Chief Executive of Keystone Property Finance who believes;

“The Chancellor’s decision to cut stamp duty will have positive implications for homebuyers across the country and will certainly help to stimulate the housing market. Importantly, this latest cut will also go some way towards providing a much-needed boost for the buy-to-let sector.”

“As a result of this measure, many portfolio landlords across the UK will now be considering new buy-to-let purchases."
 
The numbers can be useful to bare out the extent of the potential savings for landlords looking to increase their portfolios – before the stamp duty holiday was introduced you would have paid £26,000 in stamp duty but now that is reduced almost by half to £13,500.

If you are thinking of investing in an additional property or looking to increase your property portfolio, then making the most of the stamp duty holiday is advised – contact us today to see how we can help you.



Eat Out To Help Out - 50% Off Restaurant Bills This Month

Throughout this month, diners will be able to make the most of the Chancellor’s “eat out to help out” scheme whereby a 50% discount is available at participating restaurants. We look at what the vouchers can be used for and how to make the most of them this month. 
 

As part of a series of measures to kick-start the economy and help businesses across the country, Rishi Sunak has introduced the “eat out to help out” scheme – what this essentially means is that people can get up to £10 off per head if they eat out from Monday to Wednesday. For a family of four with a food bill of £80, this would be reduced by half to just £40, using these vouchers. 

 

There is no method needed in order to claim the vouchers as customers –  it will be up to participating establishments to claim back the 50% discount from the government directly via an online portal. This is to reduce the risk of fraudulent vouchers and also for ease of use for diners themselves – you will just have to look out for participating restaurants. 

 

What are the restrictions?

  1. They can only be used on Mondays, Tuesdays and Wednesdays
  2. Alcoholic drinks are not included in the vouchers
  3. They cannot be used for takeaway food – just eating in
  4. There is a limit of up to £10 per person discount
  5. It can be used on top of other discounts which an establishment may be running
  6. Hot drinks like coffee are included, as long as they consumed on-site and not taken away



What Is The Green Energy Grant And How To Claim It

As part of Chancellor Rishi Sunak’s summer statement, green energy grants up to a possible £10,000 will be available from September in order to pay for green home improvements such as a new boiler, loft insulation or double glazing.

For the majority of homeowners, grants of up to £5,000 will be available but for those from low income households, this amount doubles in order for the cost of energy-efficient home improvements to be fully covered.

The Chancellor confirmed: "From September, homeowners and landlords will be able to apply for vouchers to make their homes more energy efficient and create local jobs.

"The grants will cover at least two thirds of the cost, up to £5,000 per household.

"And for low income households, we’ll go even further with vouchers covering the full cost - up to £10,000."

Measures such as loft, wall and floor insulation, double glazing, lighting, energy-efficient doors, boilers and heat pumps will all be included under the scheme, with Rishi Sunak predicting a saving a £300 per year for households who make the most of the grants.

The grant will be available from September via a Government website, yet to be launched, which will also detail an approved list of suppliers.



Five Ways To Refresh Your Outdoor Space

Outdoor space has rarely been so prized as it is now, with searches for properties with gardens and patios now much higher than prior to the lockdown period. We have put together five simple and inexpensive ways that you can perk up your outdoor space, no matter how much (or indeed how little) you may have available.
  1. Create Specific Areas

An effective way to transform your outdoor space is to create specific areas within your available area. Creating a seating area with screens, a bedding area with planters and adding hanging baskets further down your garden will create real depth as well as encouraging the use of these spaces. If you have less space available, think about using furniture which can be also be used as storage as well as items which can be folded away or stacked.

  1. Lighting

Investing in lighting for your outdoor area will not only make it more attractive when the evenings set in, it will also encourage you to embrace the outdoors even when it is a little darker. Solar lighting is an affordable, effective and fuss-free way to add some ambience to your garden, patio, balcony or outdoor space – solar nets are particularly effective as the lights can be weaved through a trellis or on a fence.

  1. Pots and Planters

If your outdoor space is a small patio or balcony area then using pots and planters is a great way to add some fresh flowers and foliage, making your space much more inviting. If your property is rented, then pots and planters are also really useful as you can take them with you when you move to a new property and you do not need to dig up a garden which could cause potential disputes. If you have more space available, add some hanging baskets to create different levels of interest across your garden.

  1. Accessories

Although investing in soft furnishings and accessories can be a more pricey way to refresh your outdoor space, because the items are intended for outdoor use they tend to last longer and so can be a worthwhile investment. Bright pops of colour can be added to any size of space with cushions, beanbags, throws and adding candles to table areas will take your outdoor space to the next level.

  1. Planting

Very few things will bring the outdoors to life as much as fresh plants and flowers – over the span of summer they also work out to being fairly inexpensive. Lavender is a particularly good option due to its hard-wearing nature and the gentle scent that is emitted. You can also purchase bedding packs of plants from most supermarkets and DIY stores, making them easy to find and inexpensive.