Category: News

New homes in England to have electric car chargers by law

 

The Bank of Mum and Dad – How to help your child buy a home

Homebuyers are increasingly turning to the Bank of Mum and Dad for help. Here’s how you can help your children get on the ladder, and everything you need to know about gifted deposits, tax implications and Bank of Mum and Dad mortgage options.

Analysis by property group Savills shows that gifts and loans from the Bank of Mum & Dad (BOMAD) will hit a new high in 2021

 

How can I help my child buy a home? 

There are several ways parents can help their children buy their first home:

• A financial gift
• A loan
• Putting your savings in a linked account
• Acting as a guarantor on a mortgage
• Getting a joint mortgage

 

What are the advantages and disadvantages of the Bank of Mum and Dad?

Gifting money to help your child buy a house can be wonderfully generous, but it can throw up some problems. Here’s the pros and cons of using the Bank of Mum and Dad.

Pros of using Bank of Mum and Dad

• A tax-free gift. Provided the parents live for seven years after the gift the money will be tax-free. It also helps parents reduce the size of their estate, which can reduce a future inheritance tax bill.
• Lower monthly repayments. The Bank of Mum and Dad can help people put down a bigger deposit on their first home. This means they can borrow less and possibly get a lower interest-rate, which means lower monthly repayments.
• A better home. By helping boost the deposit the Bank of Mum and Dad could help their child buy a better property. Whether it is a slightly bigger home, or in a better area this could mean your child doesn’t need to move again in a couple of year. This could save them thousands in the cost of buying and selling property.
• Better mortgage choices. A bigger deposit can open up the mortgage market with more deals to choose from.

Cons of using bank of Mum and Dad

• Reduced mortgage options if loaning rather than gifting. Loans from the Bank of Mum and Dad can have repercussions on your mortgage. Some lenders won’t accept lent deposits as it means someone else has an interest in the property.
• Additional information required by lenders. Mortgage lenders, estate agents and solicitors can all request to see proof of funds. Parents can have to show evidence of where the money they are gifting has come from. This can mean presenting numerous bank statements and certified ID.
• Relationship breakdowns. These days most people buy a home with a friend or partner. In the event of that relationship breaking down you could find your child’s ex waltzing away with half your money. Prevent this by getting a deed of trust drawn up.
• Family friction. If the Bank of Mum and Dad lends to one child in a family it can cause friction with other children which overshadows their relationship forever more.
• Smaller savings. Gifting money to your children could leave you struggling in the future. Before you open up your own branch of the Bank of Mum and Dad assess your finances and work out how you can afford to help.

Stamp duty holiday extension: how to make the most of it?

Chancellor Rishi Sunak has announced the stamp duty holiday will be extended for a further three months until the end of June. Whether you’re a buyer or a seller, we have the information you’re looking for.

The extension of the holiday means nine out of 10 people buying a property will not have to pay stamp duty, saving them an average of £4,500 each and a maximum of £15,000 for those purchasing a home costing £500,000.

 

Why has the stamp duty holiday been extended?

The Chancellor announced the stamp duty holiday in July 2020 to help kickstart the housing market in England and Northern Ireland.

The tax break triggered a mini home-buying boom. The spike in housing transactions led to a congested sales pipeline and the home buying process taking longer than the average time.

It is estimated that around 70,000 people who agreed sales in 2020 were in danger of missing the 31 March deadline. A petition calling for the stamp duty holiday to be extended received more than 100,000 signatures, triggering a debate to be held in Parliament in February.

 

What happens when the stamp duty holiday ends?

Once the stamp duty holiday ends on 30 June, there will be an interim period until 30 September when the tax-free threshold will fall to £250,000. The move means that nearly half of housing sales in England will be free of stamp duty. Last year, some 46% of all home sales were for properties of up to £250,000.

 

When do you pay stamp duty?

You must pay stamp duty within 14 days of completing your property purchase. Your solicitor or conveyancer will usually file this return and transfer the money on your behalf.

Government support is also available

During the second lockdown, the government extended its offer of mortgage payment holidays. Borrowers who need help paying their mortgages can still request a holiday of up to six months until 31 March 2021.

Meanwhile, the government’s Help to Buy scheme offers an equity loan to buyers with a 5% deposit. The initiative will close on 31 March and be replaced with a new version, which will only be available to first-time buyers.

Our Guaranteed Rent service means your rent is paid on time, every single month ✓

Guaranteed Rent can be a life-saver for landlords. One of the biggest problems of being a landlord is that it’s virtually impossible to find a tenant that is guaranteed to always pay rent on time every month.

Do you have a property in Coventry, Leamington Spa or Warwickshire?

 

Our enhanced Guaranteed Rent service offers you:

✓ Guarantee Rent paid on time, every single month

✓ Rent Guarantee protection (up to £2500 per month)

✓ Access to free specialist advice on late rents

✓ Hassle free claims handled on your behalf

✓ Free rental advice from a professional

✓ Monthly account statements

✓ Deposit protected via DPS

✓ Comprehensive full tenant referencing

 

Offering peace of mind for busy landlords

 

From our experience, a small percentage of landlords don’t opt for Guaranted Rent, and it’s usually because of the following reasons:

✓ Because the tenant’s they’ve chose don’t meet their requirements e.g. If you haven’t conducted efficient tenant referencing and credit checks

✓ They don’t want to pay extra for this service

✓ They don’t know much or anything about the policy

✓ They’re willing to take a chance with their tenant

✓ They have good tenants

 

Say goodbye to void periods and contact our team today

With more and more Brits wanting to move to Spain, here are a few things you may want to know

 

Moving to Spain can be an exciting thought but there are numerous things you should be prepared for. Spain continues to be one of the most attractive European destinations for British families and retirees.

According to government figures, 69% of British citizens living in the EU live in Spain (37%).

Home ownership is 78% in Spain, higher than in the UK and well above the average across the EU. A large proportion of Spanish property is owned by foreign investors and this includes British expats, drawn by low interest rates in the coastal regions.

 

 

There are many positives about moving to Spain, including:

1. Competitively priced villa’s and apartments

2. The warm Mediterranean climate

3. Relaxation and slower pace of life

4. Lower cost of living compared with most of the UK

5. Eating out is cheaper

 

 

Renting property

For those relocating to Spain from the UK and looking to rent, the rental market is very similar. Rental agreements in Spain don’t legally have to be put into writing but it is always advisable to do so.

Short term contracts (contrato de arrendamiento de temporada ), which can run up to a year, generally have less legal protections than longer-term contracts (arriendo de vivienda).

A three bedroomed studio apartment in the capital of Madrid will cost you in the region of €1578 (£1378) in the city centre.

A similar-sized apartment in the heart of Barcelona will set you back around £1495 (£1306) with prices declining the further outside of the city centre you venture.

 

Searches for gardens on the rise for those wanting to buy and rent

 

We are seeing a huge trend in both the sales and rental sector with more and more people wanting an outdoors space they can enjoy. When putting your property on the market we advise to cut your lawn, trim those hedges and prune those flowers so we can show off your garden for both marketing photos and videos.

Pictures of the kitchen had previously been considered key to attracting the attention of browsers however this has now been followed with a rise in people specifically asking about garden spaces.

Lockdown has definitely changed the priorities of buyers and renters, many of whom have been working from home, research by property portal Rightmove suggests.

 

 

What are the top 5 search priorities?

The below statistics have been sourced from Rightmove showing what people now want in their next property.

1. Access to a garden

2. A bigger home

3. Access to a garage

4. A better home workspace

5. A property closer to nearby parks

 

 

At present, interest in property is high in some areas. Lockdown break-ups, job losses and urgent relocations are thought to have led to a surge in the rental sector.

Online estate agents save you money

 

Buying or selling your property can be an exciting time. You feel every emotion there is and your imagination goes wild thinking about decorating your house. The questions are endless; how big will my drive be? What cushions should I buy? Should I buy curtains or blinds? The list goes on …

 

Then reality hits; you actually have to sell your property and buy your new house.

 

The house selling and buying process can be slow and dated. The key to a successful and smooth process is clear and regular communication to ensure homebuyers and sellers are in the loop. This relieves unwanted and unnecessary worrying and reduces stress. However, with offline estate agents, this isn’t always the case.

 

Often, when your in-house estate agent has multiple homebuyers to liaise with, they are not always readily available. This is where stress starts. You are constantly having to call the office to chase up the status of your case and sadly, the dated process of buying a house means it takes an average of 10 months to complete the process; a long time to spend worrying.

 

By welcoming technology into the property market, online estate agents like Prominence Estates are able to bring the archaic industry up to speed which benefits all homebuyers and sellers. This means there is a singular portal where all individuals involved in a transaction can quickly and easily monitor and get all of the information they need; minimising the need for excessive calls and unnecessary hold-ups.

 

With more and more people now relying on estate agents to quickly move them up the property ladder, the pressure is on for sellers to reep as much value from their homes as possible. This highlights the cost of moving, the research and admin that goes with it which in turns means higher commission fees from offline estate agents. However, online estate agents reduce this unnecessary cost by charging a one-off fixed cost. The migration of customers to online estate agents is always increasing and this is why at Prominence Estates love doing what we do.

 

How are Prominence Estates different?

 

Prominence Estates welcome and thrive off technological advances which save our homebuyers money in the process. For a fair fixed fee, typically lower than most High Street and online estate agents, our local property experts offer an honest, transparent and more importantly hassle-free way for you to sell or rent property.

 

Find out more about how we can help here.

Make your home irresistible

You’ve overcome the biggest hurdle by deciding to sell your home and you’ve probably heard it a thousand times, but selling the process of selling your house can be stressful. Whilst you’re busy worrying about striving to get the best price possible for your home, the last thing you want to do is miss out on these simples tips to help you achieve just that.

 

The first thing you want to happen when someone comes to view your home is that you want them to instantly connect with your home that they will envision their family and lifestyle in. This isn’t down to luck; it’s about creating the right atmosphere and environment which makes your home irresistible for them.

 

Check out these 10 simple tips to sell your property:

1. Selling your home starts before they enter. Good landscaping or a pretty exterior can transform the feel of your home before they have even opened the front door.

2. Your front door is the focal point of your home when buyers are coming to visit. Make this as appealing as possible with tasteful colours, a dash of paint if needs be and some potted plants and nice lighting.

3. Your hallway creates the first impression of the interior of your house; make sure it is the right impression. Lighten up your hallway with neutral and pastel colours and move any bulky furniture out of the way.

4. The wrong lighting can make your house seem smaller and darker than it is. We appreciate that you might not be able to change the lighting, but open up any curtains or blinds to let the light in and make your home look cheerful and up to date.

5. Try and make each room appear as it is intended to be used. Make up your rooms, even if it has become a little bit of a storage room. Help the buyer to envision the potential of each room.

6. Keep bathrooms and your kitchen up to date. Make sure your bathrooms and kitchen are free of any bulky appliances. Consider refacing your kitchen and bathroom cabinets as this is much cheaper than installing new ones.

7. Declutter, declutter, declutter. Ask yourself if you really need that stuff on show and more importantly, ask yourself if your buyer needs to see it.

8. Pets. If you have pets, consider that your viewers may either love them, hate them or are allergic to them. Having a pet around can distract attention away from your home for the right or wrong reasons.

9. Your back garden sells your property just as much as your interior. Make sure your garden looks like it is a space for entertaining and let your viewers envision themselves there.

10. Keep your house clean. This might seem like an obvious one, but making sure your house is clean can help potential buyers to imagine themselves living in your home and they might not be able to do that if your house has things all over the worktops and floors.

 

For more information on how to sell your home confidently and quickly, contact us today.

What’s in and out in 2019?

2019 is in full swing and even though some things may appear the same, interior design trends are ever changing. The coming year promises new inspirations and developments of existing trends and styles for every home and whether you’re looking to sell your property, buy or stay put, Prominence Estates dive into new trends that are big on the home front and the ones that have overstayed their welcome. We’re setting our sights on the design trends that are set to sweep their way into our homes and across social media throughout 2019.

 

2019 is all about sustainability and unlike previous years, less is actually more. The art choosing the perfect statement piece is taking over and becoming more of a focus when it comes to decorating your walls at home. Move away from eclectic choices and declutter where you can. Long gone are the days where filling a space with too many things adds to the atmosphere in your home. It creates chaos and this can make your space look smaller than it is. A complete turn off for any potential buyers if you are selling your home.

 

To make space look bigger and more in tune with nature, introduce and emphasise biophilia throughout your home. When you place natural and organic materials like wood, stone and plant life, you are constantly reminded of your exterior surroundings and lets nature in. Of course, nature isn’t gender bias so gendered rooms are on their way out. Putting emphasis on styles, palettes, colours and shapes to match a certain gender dampens the creative potential of your home and in turn, means you are more likely to decorate again after a short amount of time.

 

Tones are a great way to appeal to the whole household and with the use of neutral and pastel tones; updating any dated room immediately. To complement the of these tones, you could introduce boldly patterned backsplashes into your kitchen. Simple, monochromatic kitchens always have a good run and create an elegant entertaining space. Though simple is effective, you do not want to go too simple. Ensure your rooms are enriched with colour and texture and create a space that you will love every time you walk in. A well presented and up to date home can also increase the value of your property. Get an instant valuation here.

 

Prominence Estate knows that inspiration is plentiful on the internet, but in order to find the best, you have to see what you can do with the space you have at home. Your home designs can shift as quickly as the trends so make sure you keep up to date with the latest interior design trends.