Chichester Property News: letting agent

Showing posts with label letting agent. Show all posts

Thursday, 10 December 2020

CRJ Lettings named ‘Best Letting Agent in Chichester’ four years in a row

I’m pleased to say that for the fourth year in a row, CRJ Lettings has been named ‘Best Letting Agent in Chichester’ by allAgents; a respected name in the property industry.

When I set-up CRJ Lettings I did so because I felt I could do a better job of serving Chichester’s landlords and tenants. I didn’t aim to be the biggest letting agent, stretching myself as I moved from one property to the next. Instead, I wanted to be the best letting agent, focusing solely on Chichester’s rental market. I aimed for quality over quantity; working with discerning landlords who appreciate a more personal level of service (and yet at a fair and transparent price).

This meant from day one I have always been most interested in the feedback I receive from my landlords and tenants. After all, whilst lettings may be seen as a ‘property’ business it’s really more about people and personality; because who would you trust to look after your best interests - someone in it purely for the money, or someone prepared to dedicate the time and effort to build a relationship with you such that trust, confidence, and ultimately a smooth transaction will naturally follow?

As a small independent letting agent I don’t have targets for how many valuations I should get, nor do I calculate my conversion rate for signing landlords up to my service. I’ve even told people I’m not right for them if I believe that to be the case (student lets, for instance, is something I don’t normally take on). Providing a quality service gives me far more personal satisfaction than simply focussing on the bottom line of the balance sheet.

It’s nice to pat yourself on the back sometimes, but it’s even nicer when my landlords and tenants do so (how many letting agents actively seek reviews from their tenants I wonder?) I’ve now clocked up 54 Google reviews from my landlords and tenants and 53 reviews on allAgents - all of them a resounding 5-star!

It’s also great that the majority of my newest landlords are coming to me via word of mouth. A personal recommendation is always the best way for you to choose a reputable business. Second to that should be a company’s reviews and testimonials in my opinion - but only if they can be trusted! That’s why receiving this accolade from allAgents means something, what with them being the UK’s largest customer review website for the property industry.

So, whilst I don’t normally use this space as self-promotion, I’m a little chuffed about being named Best Letting Agent in Chichester (again!). Thanks to my great customers, tradespeople and service providers who helped make it possible.

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Thursday, 26 March 2020

Do you trust your letting agent?

Having met a couple of new landlords for a cup of tea and a chat about their options in purchasing their first buy-to-let, they posed me the question “why should we use you?”

It was a fair question and one that I hoped I’d covered in the previous hour I’d spent chatting with them about the market, the type of property that might best match their circumstances and my own experience with buy-to-let.

Not because I’d been spouting out my qualifications, property redress scheme membership or the excellent value for money I believe I offer. More by way of the natural conversation we had, which I hoped would’ve demonstrated my honesty, openness and the passion I have for property and helping people.

Ultimately, it all comes down to trust. Like with any service provider, wonderful promises can be made but ultimately you need to trust that they can deliver upon them.

I use, and recommend to others, my accountant, insurance broker, mortgage broker, solicitor and tradesmen because I trust them. I know they are qualified to do the job and offer a good service. I’ve done my best to find those that offer the best value, but ultimately it all comes down to repeatedly using those I trust will act in my best interests.

Similarly, as I don’t sell properties, I often get asked which estate agent I’d recommend. There are a couple I’d happily suggest because I’ve used them myself and I trust their advice. I’d always recommend contacting a few and seeing who you build the most rapport with and can trust to do the best job for you (as well as searching for reviews and testimonials).

A trusted agent should have an open line of communication with their client, regardless of whether or not there’s ‘something in it’ for the agent. A trusted agent should have expertise on their local property market. They will know their business, their client’s business, and they should have enough general knowledge about how things work to offer advice worth taking.

Letting agents should remember that it is the people (both landlords and tenants) that are the lifeblood of their business and that they should be treated accordingly.

These are the things you should be looking for when instructing an agent. Only then can you be sure they have both the competence to do the job well, whilst trusting they’ll have your best interests in mind.

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If you are looking for an agent that is well established, professional and communicative in Chichester, then contact us to find out how we can get the best out of your investment property.

E-mail me on clive@crjlettings.co.uk or call 01243 624 599.

Don't forget to visit the links below to view my previous buy-to-let deals and Chichester Property News articles:

^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 23 January 2020

How did property fare in the last decade?

Nationwide have released their house price averages for December 2019, which means another decade of data from them is complete. Having started the decade at £162,887, UK house prices increased an average of 33% in the 2010’s to finish at £215,925.

In nominal terms an increase of just over £50,000 seems like a huge jump. In percentage terms though, that 33% rise in ten years is actually the lowest house price growth in a decade since the 1990’s, which is currently the weakest performing decade on record (with a rise of 21%). When you consider house prices in the 1980’s rose 180% and in the 2000’s they grew by 117%, you might wonder why the media portray house prices as out of control.

The problem is that wage growth only rose by 20% in the 2010’s i.e. around a third less than house prices. So, whilst rocketing house prices aren’t necessarily the problem, affordability very much is. In fact, the UK first-time buyer house price to earnings ratio currently stands at 5.0, up from 4.4 at the end of 2009, and is edging ever closer to 2007’s record high of 5.4. This means saving for that all-important deposit has become increasingly difficult; a typical 20% deposit is now equivalent to the entire pre-tax income of an average earner.

The last decade also saw a significant widening in the gap between the least affordable and most affordable regions. Whilst the whole of the UK was hit by the 2007-2009 financial crisis, London was quicker to recover, whereas many regions (particularly up North and in Northern Ireland/Scotland/Wales) have struggled. This is demonstrated by London being the top performer in the 2010’s, with house prices rising an average of 66% i.e. twice as much as the UK average. In contrast to this, house prices in Northern Ireland are a mere 2% higher now than they were at the end of 2009.

The only saviour to rising house prices has been a strong fall in interest rates. At the beginning of the decade the average new mortgage rate was around 5%, whereas by the end of 2019 this had more than halved to 2.4%. This meant first-time buyer mortgage payments as a percentage of take-home pay dropped throughout the decade in every region except London and the Outer Metropolitan area.

So, buying a property definitely became tougher in the 2010’s, with house prices accelerating higher than wage growth. And because of this rise in nominal terms, the amount of money needed by way of a deposit grew, making home ownership seem further away for many. If you could get over that hurdle though, huge drops in interest rates meant servicing the mortgage on a monthly basis became cheaper. And it seems first-time buyers are fighting back, with more than double the 155,000 recorded in 2009 jumping onto the property ladder in 2019.

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^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 16 January 2020

What’s in store for Chichester’s landlords in 2020?

Last year the government rolled out new laws enforcing the ‘fitness for human habitation’ of rental properties, along with the multi-faceted Tenant Fees Act. Due to the political toing and froing of the past 12 months a lot of new legislation is now up in the air, but it seems there are still many changes afoot for the lettings market:

Final tax relief reductions - confirmed
Until a few years ago a landlord could offset the interest on their buy-to-let mortgages against rental income. This relief has slowly been reduced, whilst from April 2020 it will be removed entirely (in place of a reduced ‘tax credit’).

Changes to capital gains tax also come into effect from April, whereby some lettings reliefs have been reduced and the time you have to pay the tax has been shortened to 30 days.

Minimum energy efficiency rules extended - confirmed
From April 2018 all new tenancies could only go ahead in a property with at least an ‘E’ rating according to their EPC (Energy Performance Certificate). There was a two-year grace period for existing tenancies…which means the rules apply to ALL tenancies from April 2020. Ignoring this can lead to steep fines (starting from £2,000), so check whether any energy upgrades are required to comply with the new laws.

Letting agents must have Client Money Protection - confirmed
Introduced last year, there was a 12-month grace period that ends this April. From then on all letting agents must have this insurance, which covers the misappropriation of their landlords and tenants money, so check they have it!

Electrical safety checks - highly likely
Electrical safety checks every five years are already mandatory in larger shared houses and it stands to reason this will be expanded to the entire rental sector, much like the annual gas safety certificate.

Removal of Section 21 - likely
This has become something of a political football, as its use in evicting tenants ‘without fault’ gains traction in the media. Whilst technically correct, the reason Section 21 is typically used by landlords is to eject bad tenants, knowing that to do so via the courts and having to prove fault is a much trickier process. Supposedly rules to evict non-paying or problematic tenants are to be shored up to counteract this, but if not a lot of landlords will be worried by a significant shift in power towards tenants, regardless of their behaviour.

Impact of Brexit - who knows!!

With all these sticks being thrown at landlords, whilst few carrots get dished out, it’s no surprise that research from RICS shows a falling number of landlords (even though there’s a rising number of tenants). However, I believe those landlords and letting agents who adapt and provide a good-quality product and service to a more-demanding pool of tenants will be in a good position to bear the fruits of their hard work.

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^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 7 November 2019

CRJ Lettings named ‘Best Letting Agent in Chichester’ three years running

I’m pleased to say that for the third year running, CRJ Lettings has been named ‘Best Letting Agent in Chichester’ by allAgents; a respected name in the property industry.

When I set-up CRJ Lettings I did so because I felt I could do a better job of serving Chichester’s landlords and tenants. I didn’t aim to be the biggest letting agent, stretching myself as I moved from one property to the next. Instead, I wanted to be the best letting agent, focusing solely on Chichester’s rental market. I aimed for quality over quantity; working with discerning landlords who appreciate a more personal level of service (and yet at a fair and transparent price).

This meant from day one I have always been most interested in the feedback I receive from my landlords and tenants. After all, whilst lettings may be seen as a ‘property’ business it’s really more about people and personality; because who would you trust to look after your best interests - someone in it purely for the money, or someone prepared to dedicate the time and effort to build a relationship with you such that trust, confidence, and ultimately a smooth transaction will naturally follow?

As a small independent letting agent I don’t have targets for how many valuations I should get, nor do I calculate my conversion rate for signing landlords up to my service. I’ve even told people I’m not right for them if I believe that to be the case (student lets, for instance, is something I don’t normally take on). Providing a quality service gives me far more personal satisfaction than simply focussing on the bottom line of the balance sheet.

It’s nice to pat yourself on the back sometimes, but it’s even nicer when my landlords and tenants do so (how many letting agents actively seek reviews from their tenants I wonder?) I’ve now clocked up 45 Google reviews from my landlords and tenants and 42 reviews on allAgents - all of them a resounding 5-star!

It’s also great that some of my latest landlords are coming to me via word of mouth. A personal recommendation is always the best way for you to choose a reputable business. Second to that should be a company’s reviews and testimonials in my opinion - but only if they can be trusted! That’s why receiving this accolade from allAgents means something, what with them being the UK’s largest customer review website for the property industry.

So, whilst I don’t normally use this space as self-promotion, I’m a little chuffed about being named Best Letting Agent in Chichester (again!). Thanks to my great customers, tradespeople and service providers who helped make it possible.

This article was featured in...

^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 19 September 2019

Which month is busiest for Chichester’s estate agents?

September is often seen as a good time to sell property as the market is fresh from a summer holiday and busy with buyers looking to move in to a new home by Christmas. By looking at a monthly breakdown of property sales in Chichester for 2018, we can determine whether this is in fact accurate. It’ll also show which months are busiest for Chichester’s estate agents and whether there’s ever a good time for them to go on holiday!

Here’s the month-by-month property sales in Chichester for 2018:

January - 148

February - 136

March - 162

April - 129

May - 139

June - 187

July - 167
August - 182
September - 191
October - 177
November - 200
December - 171

So, November saw the highest number of property sales in Chichester compared to any other month in 2018. Bear in mind though that these figures (from Land Registry) are when a property sale is completed, rather than when it is first agreed between buyer and seller. With the legal process normally taking a couple of months, we can conclude that the highest number of sales are actually agreed in September.

Having looked at the figures for the past few years, I can confirm that the above pattern is typical of how the market flows throughout the year. It is reasonably steady throughout the year, rather than having wild ups and downs like some people might think. Things start off slow and build momentum as the year progresses, before tailing off again for Christmas and repeating the pattern into the darker, colder winter months.

As a side note, the totals above show there were 1,989 sales in the whole of 2018, which was 5% down compared to 2017, when 2,103 properties were sold in Chichester. Things slowed down even more at the start of 2019 though, with there being 18% fewer sales registered in the first third of the year compared to the same period twelve months prior.

Whilst the annual pattern may be the same then, it seems that Chichester’s property market, like much of the UK’s, is suffering from the general feeling of uncertainty. As the October 31st ‘Brexit deadline’ draws nearer, coinciding with the slowdown in the run-up to Christmas, it could be that Chichester’s estate agents are able to book some time off sooner rather than later and not miss out on too much of the action.

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^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 12 September 2019

Advice for landlords wanting a ‘let only’ service

Whilst many landlords will happily pay a letting agent to take care of everything, some landlords like to get stuck in and control as much of the process as possible, which leads them to a ‘let only’ service. This is where the letting agent finds the tenants and sets up the tenancy, before the landlord takes over the running of things from there.

Regardless of the service I’m instructed to undertake, my philosophy is always the same in regards to finding a tenant; it’s about getting the best tenant for the property, not necessarily the first one that comes along. That means finding ‘nice’ tenants who will pay the rent and look after the property and, where possible, who want to stay in the property long-term.

Unfortunately, some agents will do the minimum amount of work to get the job ‘done’; which to them means finding any tenant who’ll take the property. This is particularly true in the case of a ‘let only’ service whereby they may keep the better tenants for their managed stock, knowing that once they’ve moved tenants in on a let only basis they’re the landlord’s problem! Be sure you know who the tenants are and check their referencing reports to ensure you’re going to be comfortable dealing with them once they’re in your property.

Some unscrupulous agents have also worked out that by putting a short-term tenant in the property they won’t have to wait as long before being instructed (and paid) again to find the next set of tenants. Whilst the agent will make more money this way, the landlord will suffer from additional void periods and wear and tear from the greater churn of tenants.

You should watch out for agents with lots of similar (unlet) properties on their books and consider whether it is in their best interest to get your property let or the one across the street, which might start earning them a chunkier ‘fully managed’ fee.

A major reason landlords go down the ‘let only’ route rather than ‘fully managed’ is to save money. Unfortunately for these landlords they might be in for a shock when they next instruct an agent on a ‘let only’ basis, as the banning of tenant fees has seen letting agents greatly increase their price in this regard (many used to offer ‘let only’ very cheaply to landlords in the knowledge they would be in line for a big ‘admin’ fee from the tenants).

Be sure to check there aren’t any added costs or renewal fees tied into the service too. It’s a legal requirement for letting agents to list ALL the fees they will ever charge to landlords on their website, although I know a few who still aren’t doing this…

So, when it comes to choosing a letting agent, don’t be afraid to ask some tricky questions at their initial visit to weed out those in it for the short-term gain at the expense of your long-term pain!

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^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 29 August 2019

Are you thinking about buy-to-let for the first time?

Having written these weekly articles for over five years now, I hope they have imparted some of my knowledge and insights about the property market on to you. I forget though that sometimes people will be reading them for the first time, particularly if they have only just begun thinking about investing in buy-to-let. If that sounds like you, read on…

You see, whilst most letting agents focus on slick promotional brochures to grab your attention, I choose to do things a little differently. My aim is to keep you informed about the local property market and how different types of properties in different areas are performing, whilst keeping you updated about the latest changes within the lettings market.

I’m also happy to give some impartial advice, particularly if you’re thinking about buy-to-let for the first time and are unsure what to look for amongst the ‘perfect’ buy-to-let properties the estate agents are recommending (that just happen to be in their sales windows at the time). I do occasionally wince when I’m contacted by a landlord who’s just got the keys to their first rental property, knowing that if they had spoken to me before buying it I could have helped them get a more suitable and better-performing property.

I specialise in residential lettings and have bought, sold, let and rented properties myself, so can see things from many different angles. And as I’m not affiliated with any particular estate agency, I won’t be shy to tell you whether a property is really a good buy or a lemon in disguise.

And whilst I can’t offer financial advice, I certainly have a grasp of the numbers and the different options in regards to how to buy the property depending on your circumstances (buying in a company is becoming ever-more popular due to tax changes).

I’m happy to skim through all the properties for sale and suggest a few that might make the most financial sense as an investment, along with an explanation as to how the numbers work. I can even accompany you on viewings to help you understand what to look for, assess whether anything needs doing to get it up to standard and how to cost and implement those remedial works.

You see, here at CRJ Lettings in Chichester, that’s exactly what I love to do. I don’t just advertise for new properties and let them out; I go back a stage or two and look to work with potential landlords at the start of their buy-to-let journey, right through to the letting and on-going management.

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^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}

Thursday, 22 August 2019

What are Right to Rent checks?

Since February 2016 all private landlords in England have had to check their prospective tenants right to live in the UK. The pilot scheme prior to this was responsible for finding 109 individuals living in the UK illegally, as landlords are responsible for reporting such people to the Home Office. A landlord’s failure to undertake these checks is a criminal offence that can lead to five years imprisonment and an unlimited fine (don’t worry landlords of mine - I do the checks for you).

The severity of the punishment for failing in these duties and the complexities around the issue has given rise to claims that the Right to Rent checks have led to discrimination against those without a UK passport. Indeed, a recent High Court ruling has said the Right to Rent checks are discriminatory and breach human right laws and that proposals to roll it out in Scotland, Wales & Northern Ireland would be illegal without further evaluation. Meanwhile English landlords and letting agents are still having to follow the law as is.

I made it known during a consultation before the legislation was formally announced that this was likely to happen. If there are two suitable tenants vying for the same property and one has a UK passport and the other doesn’t (meaning you have to do further detective work regarding their immigration status, which if you get wrong could land you in serious trouble) there's a good chance as to which tenant the landlord will choose to take on.

The checks involve the landlord or letting agent seeing original identification documents from all occupants of their property over the age of 18 and retaining a copy of them. There’s a list of the acceptable documentation on the government’s website, and yes seeing a UK passport is probably the easiest to verify (as you know what one is supposed to look and feel like). Plus, tenants with an expiry date on their right to stay in the country must be checked again and proof taken that this has been extended, when the time comes.

It should only take a bit of ‘googling’ though to determine whether alternative documents are authentic so, whilst I can understand landlords’ frustrations in having to undertake the checks in the first place, I don’t think the additional administration should stop them from renting to the best tenant they (legally) can, regardless of nationality.

Time will tell as to what impact Brexit will have on this process, but seeing as Swiss nationals have an unlimited Right to Rent my guess is this will remain the case with EU/EAA citizens.

If you're still worried about it all though (more than 400 landlords were fined an average of £654 for failing to do the checks in the first two years) you could always hire a decent letting agent to do things for you....

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^{_{c/o CRJ Lettings, 30B Southgate, Chichester, West Sussex, PO19 1DP}}