Monday, 7 October 2024

% of UK Rented in the Regions

 The latest Census data reveals the percentage of homes that are privately rented across various UK regions, providing insight into the distribution of private rental housing. Below is a list of each region by the percentage of homes privately rented: 

  • London: 30.0%
  • South West: 19.7%
  • Yorkshire & Humber: 19.4%
  • North West: 19.2%
  • South East: 19.2%
  • East Midlands: 18.7%
  • East Anglia: 18.2%
  • West Midlands: 17.9%
  • Northern Ireland: 17.2%
  • North East: 17.2%
  • Wales: 17.0%
  • Scotland: 12.4% 

London continues to lead with the highest percentage of privately rented homes at 30%, indicating the strength of the rental market in the capital. The South West, Yorkshire & Humber, the South East and the North West are above the national average of 19%, reflecting regional demand and supply, together highlighting any investment opportunities for landlords seeking to expand their portfolios?

 

It’s clear that private renting remains a significant part of the housing market across the UK, with regional variations influenced by national economic factors, property values, and local market conditions. 

 

If you're a Huddersfield landlord or considering becoming one, it’s vital to understand these national and local trends and what they mean for long-term profitability. 

 

Demand for Huddersfield rental properties remain robust, making this a favourable time to explore opportunities.

 

If you're looking for advice or further insight into the market, please read our updates on the Huddersfield property market or feel free to reach out on 01484 452314.

 

Whether you're an experienced Huddersfield landlord or exploring new investment opportunities, we're here to help you make informed decisions

Friday, 4 October 2024

1 in 9 Huddersfield Home Sellers Lower Their Asking Price Every Month

 

1 in 9 Huddersfield Home Sellers Lower Their Asking Price Every Month

As the property landscape in Huddersfield continues to evolve, many homeowners who have been on the market for a while find themselves navigating the complex decision of when and how much to reduce their asking prices to attract buyers.

 

With an increasing number of properties on the market in the Huddersfield area, rising from 1,169 in August 2022 to 1,806 in August 2024, the competition is becoming fiercer, making strategic price adjustments more crucial than ever.

 

(Huddersfield HD1-5, HD7-8)

 

Mastering Property Portal Price Bands for Optimal Exposure

Understanding and utilising price bands on the portals (Rightmove, Zoopla and OnTheMarket) can significantly enhance the visibility of your property listing. These bands are predefined price ranges that buyers often use to filter their search results. Positioning your property’s asking price in one of these bands will strategically draw more views, and thus more interest, viewings and ultimately increase the chances of achieving a sale.

 

The Importance of Rightmove Alerts

A critical factor in the timing of price reductions is their impact on buyer visibility. Homeowners need to reduce their asking price by at least 2% to ensure their property reappears in Rightmove and OnTheMarket’s email alerts, while for Zoopla it is 3%, capturing the attention of active buyers.

 

Current State of Play in the Huddersfield Property Market

Several Huddersfield home movers have said to me recently that they believe there are a greater number of price reductions happening at the moment, compared to a couple of years ago.

 

As I explained in the initial part of the article, the number of properties for sale has substantially grown in the last couple of years in the Huddersfield area. If there are a greater number of properties for sale, I would expect a great number of price reductions.

 

In 2022, there were an average of 125 price reductions a month in the Huddersfield area, today it’s 224 per month. The average Huddersfield price reduction in the last 3 months was 6.3%.

So, the statistics for the Huddersfield area reveal that while the number of properties for sale is on the rise, the number of reductions has increased. In fact, the percentage of Huddersfield properties undergoing price reductions has remained roughly consistent in recent years, with an average of 1 in 9 Huddersfield homes (11.1%) reducing their asking price each month over the last five and a half years.

 

The Ideal Pricing Strategy for Huddersfield Homes

The initial pricing strategy plays a pivotal role in the speed and success of your property sale. Huddersfield properties priced too high at the onset tend to linger on the market, eventually requiring more significant reductions to generate interest. In contrast, Huddersfield homes priced realistically from the beginning are more likely to attract offers quickly, reducing the need for substantial price cuts.

 

For Huddersfield homeowners considering a higher initial asking price, it’s advisable to be prepared to make an adjustment swiftly. A reduction within the first 2 to 4 weeks can prevent your property from stagnating on the market, whereas waiting 2 to 4 months might diminish your chances of securing a prompt sale.

 

Six Things to Consider for a Price Reduction

1. A Lack of Viewings: If you haven’t received many viewings in the initial few weeks, then look at your photographs and the write up on the portals and compare them with other properties in your price range. If they are up to standard, then it may be time to reconsider pricing and time to talk to your agent in more detail to attract more viewings.

 

2. Viewings But No Offers: The UK property market ‘viewings to offers ratio’ is between eight to ten viewings per offer. If your property hasn't received any offers within the first 30 days, yet you have had lots of viewings, that could suggest the price is a sticking point. You could ask why they don’t make an offer, yet research has shown many people don’t want to make an offer that they perceive could offend. Therefore, it could be time to consider a reduction and bring your asking price closer to your bottom line.

 

3. Low Offers: Homebuyers often make low offers for a variety of reasons, primarily to secure the best possible deal. One key factor is market conditions; in a buyer's market, where there are more homes available than there are buyers, purchasers feel they have more negotiating power. Another reason is property condition—if a home requires repairs or renovations, buyers may offer less to compensate for the additional investment needed. Sometimes, buyers also make lower offers based on their own budget constraints, hoping to enter a negotiation where they can find a middle ground. Additionally, uncertainty about the future Huddersfield property market may lead them to make more cautious, conservative offers. If you are getting low offers, it’s always smart to remember that a home is worth what someone's willing to pay.  Not what you think it's worth.

 

4. Market Saturation: Look at the number of Huddersfield homes that are on the market like yours (e.g. if you have a 2-bed apartment, look at all the 2-bed apartments on the market and sold stc). Look objectively at your home, do you stand out from your competition? Those that are sold stc should have a greater influence on your decision than those on the market. Also, ask your friends to do the same. Ask them to be 100% honest with you. Adjusting your price to become more competitive could help.

 

5. Seasonal Adjustments: Be mindful of the seasonal trends in the Huddersfield property market. Periods of high market activity might require different strategies from the slower months of say November and December.

 

6. Feedback from Viewings: Consistent feedback regarding the asking price of your Huddersfield home during viewings is a clear indicator that adjustments are necessary.

 

Leveraging Expert Advice

Given the complexities of the Huddersfield property market, seeking a second opinion from an expert such as ourselves can provide you with insights tailored to your specific situation. It's essential to choose a consultant who will offer honest advice, possibly telling you what you need to hear rather than what you want to hear.

 

Are you currently on the market in Huddersfield and contemplating a price reduction? Or perhaps you're seeking to list your property soon? For a no-obligation consultation and a fresh perspective on your property strategy, feel free to contact me. Together, we can ensure that your home is positioned effectively to attract buyers and achieve a successful sale.



Wednesday, 2 October 2024

9.1m Homes for Sale since January 2019

Since the 1st of January 2019, 9.1 million homes have come onto the UK property market.

 

We at Whitegates wanted to look at the breakdown of the distribution of property types within that figure. 

 

Most of these homes, 66% of these were houses. Flats made up around 20%, and bungalows accounted for 8%, reflecting the diverse nature of housing stock available across the country.

 

The remaining 6% includes various other types of properties, such as retirement homes, mixed-use residential and commercial properties, HMO’s and mobile homes etc. 

 

This data highlights the ongoing prominence of houses in the market, but also shows a significant portion of flats and bungalows, which cater to different buyer preferences and lifestyle needs.

 

For those interested in the property market, these figures offer a clear picture of the types of homes entering the market in recent years and provide useful insights for estate agents, investors, and potential buyers alike.

 

If you would like more information on the Huddersfield, regional and UK property markets, then please do follow us on social media, where we regularly post useful information on all three property markets.



 

Monday, 30 September 2024

Update from the Labour Conference on the PRS England

 

Update from the Labour Conference

on the PRS England

 

Dear Landlords,

After the Labour conference, we wanted to update you on some feedback.

The government is set on its trajectory for the Renters Rights Bill, and they are already well underway with the background work preparing for the raft of regulations that will come with the Bill, for example, details around the Landlord Portal and the Decent Homes Standard. At times like this, the name of the game with lobbying is to focus on constructive feedback on the unintended consequences rather than fight against the concept, which we shall focus our efforts on.

There was much talk of net zero and the EPC grade C by 2030. the good news is the proposed modification of the EPC system and the MEES system that underpins the EPC grade will hopefully make things a little more sensible for the specific properties. We hope they will retain a cap of circa £10K and plan to start a consultation on this soon. They have also released details of a new Warm Homes grant scheme to local authorities which if it comes to fruition, will allow Landlords in the PRS access to a fully funded grant of up to 15K to get a property up to a C grade and a potential 15K for low carbon heating.

The eligibility is based on the property falling within specific postcodes, or having a low income tenant. The funding will be in full for the first property if it also fulfils the property criteria e.g. it is a band D to G currently (amongst other criteria) but Landlords with more than one property can apply for other properties that fit the rules for 50% funding. There is a limit to this number but it is probably circa 10 – 20 properties). There will of course be an application process and limited funds for councils!

To be clear this is not accessible yet. It is at the stage for councils to apply for funding, but it is a useful message for Landlords that the government is planning support measures to help achieve their goals. For those of you who like the detail please see the Guidance note 
here.

The Decent Homes Standard as we know will be part of the new regulations but there is a consultation, being launched imminently, on how the current one will be amended. As such there is little point worrying about the current one as it stands. Labour has confirmed the social sector will have mandatory levels of competency for their staff but they have not included PRS agent competency at this point so we will watch this space on that one.

As always we will keep you informed, Regards


Chan Khangura BA (Hons) DipRLM MARLA MNAEA

Managing Director

Whitegates Estate Agents



Thursday, 26 September 2024

Analysis of Trends in UK Property Ownership (1918-2023)

 The UK property market has seen significant changes over the last century, with distinct trends emerging in the areas of owner-occupied properties, social renting, and private renting.

 

In 1918, the UK property landscape was dominated by private renters, who made up 75% of all households. At the time, only 25% of the population owned their own homes. Over the next few decades, home ownership gradually increased, reaching about 38% by 1958. This shift was accompanied by a decrease in private renting, which fell to 41% during the same period.

 

The most significant growth in home ownership occurred between 1958 and 2003, where the percentage of owner-occupiers surged from 38% to 70%. This period saw a corresponding decline in both private renting, which fell to just 8% in 2003, and social renting, which peaked at 29% in 1978 before declining to 22% by 2003.

 

Interestingly, the trend for private renting reversed around the time of the global financial crisis. Between 2003 and 2008, private renting began to grow again, rising from 8% to 10% of households. This growth continued, reaching 20% by 2023. This resurgence in private renting may be attributed to various factors, including increased housing demand, affordability challenges in the homeownership market, and changes in government housing policies.

 

Meanwhile, social renting has seen a gradual decline since its peak in the late 1970s, stabilising around 18% in recent years. The reduction in social housing reflects broader changes in government policy and the gradual shift towards promoting homeownership and the private rental sector.

 

In summary, the UK property market has evolved significantly over the past century. The initial dominance of private renting has given way to an increase in homeownership, although recent years have seen a renewed growth in the private rental market. 

 

As a Huddersfield estate agent, it’s important to recognise these trends and consider how they may impact local homeowners and landlords alike. The current levels of private renting and homeownership resemble those seen in the 1970s and 1990s, respectively, highlighting the cyclical nature of the property market. 

 

Understanding these trends can provide valuable insights for making informed decisions in the current property landscape

Tuesday, 24 September 2024

The Resurgence of the Huddersfield Terraced House: Or Has it Ever Been Out of Fashion?

The terraced house, once considered a relic of the past, is making a notable comeback. But one might wonder—did it ever truly go out of fashion? The simple, unassuming two-up two-down, a hallmark of Victorian red-brick Britain, is now being rediscovered by modern Huddersfield buyers looking for more than just a place to live. They want a home, a slice of history, and the benefits of ownership that many newer properties simply don't provide.

 

While the allure of the sleek modern flat may have dominated recent decades, the terraced house is proving to be a surprisingly attractive option for many - particularly for first-time buyers. According to recent research by Zoopla, terraced houses, in particular two-bedroom terraced homes, are currently the fastest-selling type of property in England and Wales, with an average sale time of just 27 days. So, what’s behind this resurgence, and is the same happening in Huddersfield? Also, why are terraced houses, which some may have once considered outdated, now back in vogue?

 

The Terraced House - A Longstanding British Staple

 

The terraced house has deep roots in the UK’s architectural history, dating back as far as the 1600s when it was first introduced in the aftermath of the Great Fire of London. With their symmetrical design and efficient use of space, terraced houses quickly became a go-to solution for housing in urban areas. They provided a dignified alternative to the overcrowded slums of the Industrial Revolution, offering practical yet comfortable living arrangements for workers flocking to cities like London, Manchester, and Liverpool.

 

In towns such as Huddersfield, where Victorian terraced houses are still a prominent feature of the local housing market, these properties once housed factory workers and their families.

 

Their typical layout - two reception rooms downstairs, two good-sized bedrooms upstairs (sometimes a third off the back bedroom or a converted loft) and a small kitchen or scullery to the rear - allowed for flexible living, even if modest by today’s standards. Yet despite their simplicity, they’ve managed to stand the test of time, evolving with the needs of their occupants.

 

Why Are Huddersfield Buyers Rediscovering Terraced Houses?

 

Several factors are driving the renewed interest in terraced houses. One is price. As Huddersfield buyers feel the pinch of rising interest rates and tightening budgets, many are realising that a two-bedroom terrace often offers better value than a similarly sized flat. Buyers are attracted by the fact that they can often have an entire house for the price of a flat, complete with a garden, their own front door, and no shared floors with noisy neighbours upstairs. These are benefits that flats simply can't compete with, especially in densely populated urban areas in London, Manchester and Birmingham.

 

Post-COVID priorities have shifted the focus toward homes with outdoor space, and the humble terraced house often comes with some yard/garden space, even if it is usually on the small side. This is appealing not just to first-time buyers but also to those looking to escape the claustrophobia of apartment living. Additionally, the cladding crisis, brought to light by the awful Grenfell Tower disaster, has caused many to lose confidence in some modern flats, turning instead to the more traditional Victorian terraced home.

 

Another factor is the freehold nature of most terraced houses. Unlike leasehold flats, where buyers must contend with service charges, ground rent, and sometimes unreliable management companies, a freehold terrace gives buyers full control over their property, which is a huge plus for many.

 

Transforming Spaces and Adding Value

 

Terraced houses also offer a significant potential for customisation and renovation. Stories of buyers transforming run-down Huddersfield terraces into modern masterpieces are increasingly common. I have seen many terraced homes with the addition of a contemporary extension, the homeowner has not only made the home liveable but has also increased its value significantly (although be careful you don’t spend too much as there is a ceiling price for a terraced house). For many Huddersfield home buyers, especially those with an eye for design, these houses offer the perfect balance of history and potential for modernisation.

 

Extensions, loft conversions, and open-plan layouts are just some of the ways Huddersfield terraced homeowners are reconfiguring their homes to suit contemporary lifestyles. These renovations often add both space and value.

 

The Huddersfield Terraced ‘Scores on the Doors’

 

According to my analysis, terraced houses represent 38.0% of the homes in Huddersfield - higher than the national average of 22.5%.

 

For comparison, Huddersfield apartments/flats represent 15.1% of Huddersfield homes.

 

Next, let’s look at the house prices of the Huddersfield terraced home.

 

Between 1995 and today, the average price of a terraced house in Huddersfield has risen from £32,880 to £127,853 (an impressive rise of 289%), interesting when the overall Huddersfield average rise is 200%.

 

Finally, in the last 3 months, the average Huddersfield terraced home has taken 56 days from the property going on the market to achieving a sale, impressive when compared to 117 days for Huddersfield flats.

 

 

A Bright Future for the Huddersfield Terraced House

 

In conclusion, the Huddersfield terraced house has never truly fallen out of favour. While it may have been overlooked at times, especially as modern flats and larger detached homes grow in popularity, the terraced house has always been a reliable, affordable, and adaptable choice for Huddersfield and British buyers. With its combination of history, practicality, and untapped potential, it’s no surprise that this humble house is once again becoming a mainstay of the national housing market.

 

For first-time buyers, those seeking to downsize, or anyone looking for a flexible home with character, the terraced house may just be the perfect fit!

 

Saturday, 21 September 2024

London: Europe's Most Expensive City to Rent!

 

London has officially topped the charts as the most expensive city in Europe to rent a home, with an average price of £39 per square metre per month. But the costs can skyrocket even higher if you’re looking to live in central West London, where rents can reach a staggering £59 per square metre per month! 

 

For the rest of the UK, the picture is quite different. Outside of London, the average rent stands at a more reasonable £17 per square metre per month, yet still expensive when compared to many of the mainland European cities in the graphic.

 

A lot of this comes down to the fact that homes on the mainland of Europe are much bigger, so the price per square metre is lower.

 

This data also highlights the divide between rental prices in the capital and the rest of the country. Whether you're already in the rental market or thinking of moving, understanding these figures is crucial in making informed choices. 

 

It’s clear that while London offers unique opportunities and experiences, it comes at a price. 

 

Our question to the people of Huddersfield is, what do you think about these statistics?