Well, the post Brexit bubble has definitely popped; the fatigued market has been awoken and spring is around the corner. We predicted that there would be a bounce back after the general election and we were not wrong. We have seen record breaking numbers of valuation for January and so far, February is also on track to beat all previous years.

Family houses are still the most in demand and we simply can not get enough of them, larger period family properties are proving to be a big hit as well as buyers looking for the larger size accommodation that builders have not been building for many years. Traditional is best and remains head and shoulders above modern new builds.

First time buyers are hot on the heels of families when it comes to buying three or four bed houses and the up-take form the under 30’s is a fantastic sign that 2020 will be a very good year for the housing market.

Currently there are over 500 flats and apartments available online to buy in the Plymouth area. This is having a bit of a knock-on effect for onward purchases and some sellers are now looking at renting their properties out in order to be in a position to buy on. New home builders are offering so many large incentives to entice buyers to purchase their leasehold new builds that the second hand property sellers cannot compete with this and unless they look at more competitive pricing on these homes they are remaining on the market for prolonged periods of time.

With all the new build student properties being built and with Plymouth University encouraging all first, second and third year students to use these over the traditional Victorian and Georgian house shares that are in the locality, we have seen an increase in older HMO’s (Houses Of Multi Occupancy) coming to the market. As these are no longer filled to capacity, sometime only having 50% occupancy rates, families are considering buying these city houses and refurbishing them back in to lovely family homes.

Here at Cross Keys Estates we have taken on larger numbers of higher end and fine homes since the general election than in previous months. This tells me that the market had been stagnated by the indecision of Brexit, indeed the forecasters are telling us that initial signs of an independent United Kingdom are good. Cross Keys has had its fingers crossed that this would be the case and it looks to be so.

The North of Plymouth is becoming increasingly popular with buyers now, as the end of the road improvements and the Derriford roundabout widening scheme have been completed for the higher levels of commuting traffic from the Woolwell, Roborough and Tavistock areas. Having Border Terriers, I love going out on the moors for walks and this has been made so much easier now and I can see the attraction of buying here. The new eco village is almost complete, many of our resale homes are being snapped up within days of them coming to the market.

Finally, I have to say a big thank you to all of the Cross Keys Estates customers that left reviews for us on www.allagents.co.uk ranking us the “Best Estates Agent in Plymouth” again, and also the “Best Estates Agent in Devon” and the “Best Estates Agent in The Southwest” As if that wasn’t enough, we also won the award for the  “Best Letting Agent in Plymouth”as well. It has been the best start to the year that we could have wished for and we are really looking forward to what this year may bring.

As most of you dedicated readers will know, there is nothing I love more than talking about property and property issues. I am sure that I must need to find a hobby or something else to help occupy my time, which is a good link to the subject for this article.

Usually most people think that a new year must mean a new fitness regime or gym membership and most of us start with really good intentions but then find it difficult to keep it up, so here is a thought for you, what about using your home and the things in or around it to help you maintain your levels of fitness, for instance, if you have a first, second or even a third floor apartment, try using the stairs instead of the lift. If you have a garden, gardening is a really good and gentle way to keep fit and surprisingly therapeutic as well.

If like me, many of you use a local car wash, have you thought about changing it up and occasionally doing it yourself. I have seen some people using bags of sugar or filling jam jars up with water to be as weights, in general, there are a lot of things that you can be doing to try to have a less sedentary lifestyle.

I am one of those highly annoying people who gets up at 5.30 most morning and go to a spin class at my gym, thankfully it is only five minutes away but this year I intend on cycling to and from instead of using the car. I will also be trying to eat less pizza, but that might be pushing it a bit far.

So, what will the new year hold install for you, will a move be on the table? Now that we have had the general election, and it seems that the United Kingdom will be leaving the European Union on January 31^st, will we see the general condition of the housing market improve? Normally, in September of each year, the housing market, sees an uplift as buyers want to be in their new homes ready for Christmas, however in September 2019, due to the fact that there was so much uncertainty surrounding Brexit and weather or not it would even happen, we did not see this uplift, indeed across the board on most of the retail markets, the uncertainty made most people hit the pause button on their plans to spend any money. Investment buyers, especially, have decided to wait as not only Brexit but also the 3% stamp duty imposed on all second home up to £125,000 or even the 5% on any second properties between £125,001 and £250,000 have certainly been one of the nails in the coffin for the (usually) flat or apartment type property market.

The term Green Shoots suggest that there are slight signs that an improvement is on its way. Here at Cross Keys Estates, we are already seeing some of those Green Shoots of recovery that now fills me with some hope that 2020 will be a more prosperous year than 2019. We left last year with a splurge of sales that lead be to believe that the general public had either had enough of the hesitancy in the market or that they think this year will be a better time for them to buy their dream property.

I, myself, am currently in the midst of looking for my forever home and I am certain that this will be the year for me find it.

Before you all cringe at the thought of late night shopping and the crowded shops, getting dark at 4pm, forgetting which relations to buy for and which ones disappointed you with their present for you last year, spare a thought for your house.

Many people take the festive season to consider if it is time to move. Some families actively look for a new home at this time as it is the only time some couples / families have off together.

If you are looking to place your home on the market over Christmas, remember these few pointers to help you market your property successfully.

1. Make sure your photographs are done before you put up your Christmas decorations – If your property does not sell in the time period expected and is still on the market in the New Year, the photos will tell that the property has been on the market for some length of time.
2. If your chosen agent is coming to take the photos, ensure that they are there in plenty of time to make sure that the photos are done in natural daylight – there is nothing worse than photos with all the lights on or when you look at the windows, they are all dark outside.
3. Even though it is now winter conditions, your garden is another room of the property – If your outside space looks untidy or unkempt it will give the impression that you either don’t use it or that your maintenance is lacking and could lead them to have a less than positive impression of the property overall. Kerb appeal sells properties.
4. Check that your gutters have not filled up with the autumn falling leaves – This could lead to overflows that can cause damp to come in to the property. Nobody likes the sound of water splattering down on you from up high. Some properties have lead lined valley gutters, if these fill with leaves and begin to overflow, the water usually comes over the lead and into the property directly causing considerable damage.
5. If you have any viewings booked on your property or if you are going to view property yourself, try to get there during the daylight hours – You will see more of the property and also be able to see if there are any obvious defects which might not show up in darker evening conditions such as damp patches or staining.
6. If you have a big Christmas tree, remember that it does take up a lot of space in the room – Lots of Christmas decorations tend to make rooms look and feel smaller than they really are. If you have a small property, try to keep your festive decorations to the same proportions as the room. If you have ceiling decorations they can also make the room feel lower and sometime slightly claustrophobic, also if you have low ceilings with decorations and tall people coming to view then the two don’t go together very well.
7. If you are lucky enough to be able to get away for a festive break, remember to let your agent know so that they can book appointments accordingly – Another good reason not to put your wrapped Christmas presents under the tree too early as this can say a lot about your property and your plans, remember there are some not so honest people out there that will target properties that have trees with lots of lovely looking gifts under them.
8. If you are moving property around the Christmas / New Year period, try to plan your packing ahead – Take it from me as one who has moved in the first week of January, trying to pack a house is difficult enough as it is let alone trying to clear up and pack away from the Christmas season. I for one don’t think that I will move again during the festive period.
9. What opening hours your solicitors are working – Yes even solicitors deserve some time off over Christmas. If you have to go to your solicitors to sign any documents or to fill in any forms, remember that they may have differing opening hours to normal due to the Christmas holiday period or having staff off during this time period.

As Plymouth’s gold award winning agent for customer service, Cross Keys Estates will always be happy to advise and guide you on this journey. Buying or selling can be one of the most stressful times of your life, trying to remember all the things that you need to do, informing the utilities companies of your move, meter readings, removals, finances, redecorating that may be required, cleaning or even signing documents at your solicitors can be quite demanding as it is, but add the stresses of Christmas and family commitments to that and you might find it a bit more challenging than you initially imagined, your agent should be understanding and as helpful as can be.

For any advice or even if you just want to talk about your property or plans for moving, please feel free to give our dedicated staff a call, we are here to help.

May I personally take this opportunity to wish you all a very merry Christmas and happy, healthy and prosperous 2020.

Yes it is that “B” word again, and yes I know how fed up most of you are with hearing about it, but here is the thing, what will the Brexit effect have on your home?

Some of the big financial experts in the city have readily declared that a NO DEAL Brexit will have a catastrophic effect on your house value, your house income and your household expenditure. The only figures that have been quoted though is up to a 30% drop in property values although they haven’t actually given us any specifics. I have to say that in my two decades experience of being a property professional, I have heard these scare tactics before and they have in no way ever affected property prices in the south west to this extent in the past, despite the big London experts and their opinions.

The value of the pound is already dropping to an unexpected low with it almost being on parity with the euro at this current time due to the fact that there is a real chance of a “no deal Brexit” which had previous been thought to have been taken off the table due to all of our beloved politicians not being able to work together for the good of the country. This is similar to playing a game of poker when you actually show your opponent what cards you are playing with and then wonder why you are losing the game.

Gross Domestic Production (GDP) fell in the second Quarter (Apr to Jun) following the strong growth seen in the first Quarter (Jan to Mar), this was most certainly due to companies, and the general public, stock piling and building up reserves in readiness for the March 29th original date for leaving the EU. When this didn’t happen, these people and companies had enough reserves that they didn’t need to purchase these things in the second quarter, hence the strong growth followed by the drop, surely this is simply common sense.

Even with all the doom and gloom that is being batted around like a game of ping pong by the politicians, industry leaders and so called financial experts, one thing seems to have escaped them and that is the fact that life still goes on. We are already seeing more “Staycations” than ever before meaning more of our hard earned income now actually being spent in this country supporting our tourist trade and the thousands of people employed in it.

If we cannot get certain foods from abroad, we will have to buy more UK grown produce bringing more income to our UK produce businesses and farms. If we buy and use our own services rather than relying upon foreign imports our economy will grow. It is purely that we come to expect that we can have whatever we want to buy no matter where it comes from and no matter at what time of the year, it is with no thought as to what this has already done to our country’s GDP.

As for houses, as I see it, people will always want to have babies, babies grow into children, into teenagers, into adults and then into families of their own. People will continue to marry and divorce. People will relocate for work or for pleasure and the effects of all of this is that they will need a roof over their heads. Will the property market here in Devon go down? I think that the uncertainty of Brexit will have an effect but for us in the south west, it will probably be more of a slowdown effect on the market rather than a downward effect of the value of property.

With the price of property nearly at an all time high, a lot of people are looking at the rental situation instead of committing to purchasing, this gives them some more flexibility over where they can live as they can rent a property in an area that they probably couldn’t afford to buy. With the recently introduced tenant fee ban and the limitations that this is bringing to the residential lettings industry, time and conditions have never been better for a tenant.

In the past the traditional process for a letting agent has been to make a charge for processing a tenant’s application to rent. An “Assured Shorthold Tenancy” (AST) would be put in place by the agent with a minimum term of six months. After this initial six month period, the tenancy is still in place on a monthly basis until such time as either the landlord or the tenant puts in their notice. This is the most common way, however in the past some of the corporate companies used to issue two months notice to all their tenants on the fourth month so that the tenancy ends in line with the end of the six month period, even if the tenant had no intentions of leaving. When the tenant then said that they did not want to leave and were happy to continue the tenancy, the agent would charge them another administration fee to process a new AST. If the tenant decided that they did not want to incur the additional cost and therefore leave the property, the agent would remarket the property, claim a new fee from both the landlord and the new tenant that would take the property, a win win situation for the agent.

A lot of the big national lettings firms went around acquiring many of the smaller companies, in recent years, in order to swell the number of properties that they would have on their books and give them more opportunity to multiply their income from these recurring tenant fees.

This is the situation that the government is trying to stop, unnecessary repeat fees being charges to the people that are least able to afford them, the tenants. Cross Keys Estates have never used this practice, nor do we condone the use of it by other agents. It is unfortunate that the government has brought in this blanket ban instead of targeting the repeat fee companies. We are already seeing that some rent prices are being increased in order for some of these bigger companies to try to reclaim some of this lost income and the only people who will suffer will be the tenants as cost will soon be similar to the sales side and near to record levels. A small two bedroom house used to rent for between £550 to £595 per calendar month, now the same houses are currently getting a rental figure anywhere between £650 and £695 a month.

One myth that most people have about landlords is that they have lots of properties and make lots of money from the most vulnerable sector of the society by charging large rents. This for a large percentage of Cross Keys landlords is simply not true. A lot of landlords have maybe only one property that they rent out, some only have this because the down turn in the sales market when prices crashed meant that they would be in negative equity if they were to sell so instead, they kept the property and rented it out so that the rent would just about cover any outlay that they had on it, thus giving them the ability to buy another home for them to live in. This is still the case in some areas. There are, of course, some landlords that do have multiple properties and indeed do make a living from this industry, but it is my experience that nearly all the landlords that I have ever met or had dealings with, are really nice, kind and understanding people that are offering a valuable service to a country that has a very real housing shortage.

Yet again we find ourselves in the situation that everyone who is in the know says that we are hitting hard times with the property market as a result of Brexit, well, Brexit is still not here and nor is the crash that the “experts” were predicting. Things went right to the wire for the March deadline but the market here did not react, if anything, here at Cross Keys Estates, we witness a substantial rise in the number of sales that we have agreed over the last few weeks.

According to the Royal Institution of Chartered Surveyors (RICS), uncertainty over Brexit is likely to have an impact on the UK housing market. RICS believe, and have come up with a report, that the number of properties being sold and the prices that they will achieve will fall next year, they say that fewer people are interested in moving, and fewer want to sell if they cannot reach the price they want for selling their property. House prices are predicted to increase this year but only by 1.5%, this is well below the rate of inflation. In essence, this equates to a price decrease.

Having multiple offices in Plymouth means that Cross Keys were able to look at all types of properties across the price spectrum and in all cases we witnessed levels of interest that were quite surprising. Our Stoke branch had no less than 12 sales in just four days last week, this certainly goes against the RICS theory of property sales and property prices going down!

The most interest and sales came yet again from the family homes sector at prices ranging from £150,000 to £300,000, but the biggest increase in buying was in properties that ranged between £300,000 and £500,000. This leads be to believe that no matter what is on the horizon for our country and whether we stay in the EU or whether we leave, family life still moves on and so does the need for quality houses.

Upsizing seems to be the way ahead for the majority of our buyers, previous first time buyers are realising quickly that with mortgages being as affordable as ever, it is quite an easy transition to move up that housing ladder sooner rather than later. We have had some fabulous sized period properties lately that have been on the market for as little as one week before being snapped up by discerning buyers looking for that perfect lifestyle change as larger properties are able to offer a more sociable lifestyle that is very much en vogue at this moment in time.

Stamp duty rates are affecting the lower end of the market with landlords still reluctant to put their hands in their pockets for the 3%, 5% or 8% rate that any buyers have to pay for any second or more properties, for instance, If they buy a flat or an apartment at £145,000 then they are looking to pay £3,750 on the first £125,000 which is at 3% then £1,000 on the remaining £20,000 (£125,000 to £145,000) which is at the rate of 5% meaning a total of £4,750 in total. This amount of money normally equate to the first 2 years profits from any rent that they may earn, so it makes the Buy-to-let market a very disappointing place to be at this moment in time.

As for houses (main residences), the stamp duty rates are as follows:-

This is how to calculate the new Stamp Duty Rate. If you bought a property for £850,000 you would pay no stamp duty on the first £125,000, then 2% on £125,000 to £250,000 = £2,500 then 5% on the remainder above £250,000. (eg: £850,000 – £250,000 = £600,000 = £30,000. Totalling £30,000 + £2,500 = £32,500).

All of these figures may seem daunting to you, but at the current rate of property price increases, these figures are being made back in the price rises in under a 12 month period. As for our silver seniors, there is a little change in their circumstances. State pensions are due to rise by around £4.25 a week or £220 a year from April 2019. This means that it will rise above the rate of inflation, thus giving pensioners a welcome boost to their earnings and help with living costs.