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Tag: Property

Buying a home: common questions asked by first-time buyers

Posted on by Sophie Winter

Starting the journey to becoming a first-time homeowner means navigating through a maze of industry jargon, documents, and processes. For those new to the home-buying process, it can be a big learning curve.

We’ve spoken to our team of experts to find out what reoccurring questions our buyers have asked – and then we’ve listed out all the answers for you in this helpful guide.

How do I make an offer on a property?

Your offer will need to be submitted to the selling agent, and we would always recommended to do so in writing as well.

You should provide as much detail as possible to support your offer; this helps the current owner of the property to make an informed decision. This will need to include information about your deposit (including proof of funds, such as a bank statement or accountant’s letter), whether you have a mortgage offer secured, your desired timeframe, and details of your solicitor.

It’s worth noting that in some cases sellers may have multiple offers all equating to the same value, so it’s worthwhile expressing your love and enthusiasm for the property.

Can I offer on two properties?

In principle, you’re free to make offers on as many properties as you wish. Offers don’t carry legal obligations, and are often only chargeable after an offer is accepted, prompting the hiring of surveyors and similar services.

However, it is worth noting that submitting multiple offers may portray you as indecisive and unreliable as a buyer.

What is a good opening offer?

Different buyers approach their initial offer differently: some may propose an amount below the seller’s asking price, while others might offer the full amount right away.

A recommended strategy is to offer between 5% and 10% less than the market price, ensuring there’s room for negotiation by staying below your maximum limit.

It’s also wise to research house prices in the area, considering factors like square footage and number of rooms. This information will help you make sure you are putting in a fair offer.

Do I need to have a mortgage before making an offer?

Although you cannot finalise your mortgage application until after your offer has been accepted, you can obtain an agreement/mortgage in principle (AIP/MIP) before starting your property search.

An AIP/MIP shows the amount a mortgage lender may potentially loan you for purchasing a property. This is used as evidence to sellers that you’re a serious buyer with good prospects of securing the necessary financing.

Obtaining an AIP/MIP is a quick and straightforward process, our partnered Mortgage Broker, The Residential Mortgage Hub will be able to assist you with this if you’re looking for help.

When do I put an offer on a property?

The timing for making an offer on a property rests on two key factors:

  • The level of competition for the property you’re interested in.
  • How quick you can make a decision on the amount you want to offer.

In a market with high buyer demand, making an offer quickly is necessary. However, it’s crucial to allocate sufficient time to carefully consider the offer amount you’re comfortable with.

What are the main costs of buying a property?

Purchasing a home comes with significant expenses, particularly saving for the deposit, which is often the greatest hurdle for first-time buyers.

Typically, you’ll need to provide a deposit of at least 5% of the property price. According to Halifax’s latest data, the average deposit stands at 21%. However, aside from the deposit, there are numerous other costs to consider.

Before starting property viewings, it’s advisable to familiarise yourself with the various fees you’ll encounter along the way to avoid any unpleasant surprises.

  • Conveyancing Fees: You will normally need a solicitor or conveyancer to facilitate the property purchase. Anticipate spending between £500 and £1,500 for these services.
  • Land Registry Fee: The Land Registry maintains records of all registered properties in England and Wales. While your solicitor may incorporate this fee into their conveyancing package, it’s important to check. Fees typically range from £90 to £140, depending on the purchase price.
  • Stamp Duty: Stamp duty is a mandatory payment on properties above a certain price threshold. The amount varies depending on the property’s value. You can use a stamp duty calculator to estimate your payment.
  • Homebuyer Survey: A thorough homebuyer survey assesses the property’s condition, potentially uncovering issues and serving as a bargaining tool. Costs vary between £400 and £1,500.
  • Mortgage Fee: Lenders often charge a fee for setting up the loan, typically between £1,000 and £2,000. Some lenders may allow you to add this fee to the mortgage amount.
  • Valuation Fees: Mortgage lenders may charge valuation fees to ensure the property’s value aligns with the purchase price. Expect to pay between £160 and £600.
  • Mortgage Broker: If you are considering using a mortgage broker, they may charge a fee ranging from £300 to £2,000.
  • Moving Costs: Costs vary based on the amount of furniture and distance traveled. The average cost for a 3-bedroom house moving 50 miles is £1,181.
  • Building Insurance: Most mortgage lenders require building insurance, averaging £110 annually.

Do I need a mortgage broker?

While it’s not mandatory, using the services of a mortgage broker can be highly beneficial, especially for those unfamiliar with mortgage processes. Mortgage brokers have access to many loan options that may not be readily accessible elsewhere, including exclusive deals and notifications of limited-time mortgage deals tailored for certain individuals needs.

Got any other questions?

Our team of industry experts are here to help and answer any of your questions about the home buying process. Simply contact our office on 01634 570057.

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How long does a valuation take?

Posted on by Sophie Winter

When looking to sell your home, getting at least one valuation is essential for determining a reasonable asking price. But what exactly is involved in a valuation? Who conducts it, and what’s the typical timeframe for a house valuation?

Our team of property experts have created this easy-to-read guide to provide you with the answers you need.

What to expect at a valuation

As an estate agent we will assess your home’s worth based on factors like its location, condition, market trends, and size.

We advise that you prepare your home for valuation much like you would for a viewing: clean, tidy, and decluttered to showcase its best features. Our property partners will take photographs for advertising purposes at a later date, but you want to showcase the full potential of your property so that we can decide on its maximum value.

During the valuation process, you can take advantage of the opportunity to ask advice on any minor repairs or cosmetic improvements that might improve your chances of making a sale.

At the valuation’s conclusion, we will provide you with an estimated value, possibly in a range (e.g., £220,000 to £227,000), giving you the discretion to set the asking price. We will also share details of comparable local sales and listings to provide context to our valuation.

An accurate valuation is important for a successful sale, and as local agents we are much better placed to provide a valuation that reflects the current market, supply and demand and local trends accurately. It’s important to note that, a property valuation differs from a mortgage lender’s valuation, which is typically less comprehensive.

Contact us today for a complimentary property valuation!

What are we looking for during a property valuation?

When valuing your home, we will take into account the following factors:

  • Location – As a local estate agent we have an excellent understanding of the area, including knowledge of the most sought-after road and postcodes. Factors such as proximity to amenities, transportation links, flood risk, and access to green spaces are all taken into consideration.
  • Property type – The demand for different types of properties varies across time and regions. Period properties might be highly sought after in some areas, while modern homes are more popular in others. As an estate agent, we understand the local market and current trends which is crucial for accurately valuing your property.
  • Number of bedrooms – Generally, a property with more bedrooms will be valued at a higher price, even if another property in the same area has more floor space or a larger plot. However, if a property has a lot of bedrooms but limited living or outdoor space, the asking price may be lower than a comparable property with a better balance. Families searching for ample space throughout the home are often drawn to properties with multiple bedrooms.
  • Parking – Off-road parking is a valuable feature that can increase a home’s value by approximately 10%. Not only does it offer convenience, but a parking space or drive can also lower insurance costs.
  • Property condition – Significant issues like damp or a damaged roof can reduce a property’s valuation. Buyers often factor in the estimated cost of necessary repairs or improvements when making offers. Therefore, the asking price should align with the property’s condition and the costs associated with improving it.
  • Recent sales of similar properties – As an estate agent, we rely on information about recent sales of comparable properties in the area to determine the appropriate asking price. These sales reflect current market conditions, buyer preferences, and demand for various property types.
  • Plot size – If you have land with your property, our experts will offer an insight into the value of land and property per square foot in your specific location. Typically, the larger the plot of land on which a property stands, the higher the asking price.

If you have land that you are looking to sell, please get in contact with our Land and New Homes Department on 01634 570057.

How long does a valuation take?

We typically recommend allocating about thirty minutes to an hour for a house valuation. Although it may be completed in as little as 15 minutes!

We always recommend allocating some extra time, so you have the opportunity to ask any questions regarding the sale. Remember a valuation is not only about getting an idea of the price. It’s also an opportunity to get some tips on how to help your home sell and to see if you like an estate agent. Consider asking the following questions to help in your decision-making process:

  • Have you recently sold any properties similar to mine?
  • What is the average duration for selling a property in your experience?
  • Have you sold any homes on my street or nearby?
  • Can you suggest any repairs or enhancements that could benefit the saleability of my home?
  • What services are included in your fee?
  • Do you provide professional photography services?
  • Do you have any client testimonials or reviews available for reference?

How long is a valuation valid for?

A property valuation typically remains valid for six months. The housing market can change quickly. So, if you do not sell within six months of having your home valued, it’s a good idea to get it valued again. Additionally, it’s advisable to request a fresh set of valuations if significant changes are made to the property. Even minor home improvements have the potential to impact the property’s value positively.

Who can value my property?

Property valuations can be conducted by either an estate agent or a qualified surveyor. It’s advisable to obtain valuations from two or three professionals to gain an accurate understanding of your home’s value.

It’s important to note that opting for the highest valuation isn’t always the wisest decision. Some estate agents may inflate property values to secure your business, and overpricing can result in underselling.

Are you looking for a property valuation?

If you’re thinking about selling or want an estimate of its potential value, feel free to reach out to our experts today. Fill out this quick and easy online form and our team will be in touch.

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Our top tips to finding new tenants quickly

Posted on by Sophie Winter

The surge in rental home demand has created an unprecedented situation where every home listed on the market experiences high demand. Consequently, landlords are faced with an elevated volume of rental applications to sift through in order to choose a suitable tenant. In this blog post, we will explore five effective strategies that landlords can use to speed up the tenant selection process. These tips will help increase the chances of finding the perfect tenant, and reduce the time and effort needed to do so.

Detailed property listings

Creating thorough property listings is one of the most important aspects when renting out your property. Dedicate some time to investigate the frequently asked questions about similar rental properties in Kent, and incorporate the responses into your property description. By proactively providing all the information upfront, including details like the number of bedrooms, available amenities, and proximity to local transportation options; you can assist potential tenants in assessing whether the property aligns with their requirements even before they express interest. This approach ensures that prospective tenants come prepared for viewings, saving valuable time for both parties involved.

Pre-qualify potential tenants

You can simplify the tenant selection process by pre-screening applicants. Prior to arranging viewings, request potential tenants to complete a pre-qualification form. This enables you to assess their eligibility for the property and understand their readiness to undergo reference checks.

This method reduces the risk of investing time in applicants who may not meet your criteria and allows you to focus your attention on those who have a genuine interest and a higher likelihood of successfully passing the reference checks.

Organise block viewings

Conducting separate viewings for every applicant can become a time-consuming and less efficient process, particularly when a property generates high interest. Instead, consider organising group viewings, wherein multiple prospective tenants are shown around the property in intervals of 10-15 minutes. This approach not only saves time for everyone but also creates a competitive atmosphere among applicants. Therefore encouraging them to make quicker decisions and submit their applications promptly.

Confirming attendance

Focus your efforts on confirmed viewings to reduce the likelihood of no-shows and to optimise your time. Prior to the scheduled viewing, send a reminder to the applicants and request their confirmation of attendance. By taking this approach, you can diminish the chances of last-minute cancellations and ensure that you are making the most efficient use of your time during each viewing.

Prepare your tenants for check-in

After you’ve narrowed down your pool of prospective tenants, assist your selected applicants in preparing for the next phase of the rental process by offering them detailed guidance, such as a step-by-step guide. This will help them grasp the requirements for a seamless check-in. This proactive approach not only minimises the need for extensive back-and-forth communication, but also demonstrates your dedication to delivering a positive rental experience.

Want to discuss your property?

We understand that as a landlord the surge in tenant demand can present opportunities and potential difficulties. If you’re feeling daunted by the prospect of securing a new tenant or if you’re interested in learning more about our comprehensive property management solutions in Kent, don’t hesitate to reach out to us by calling 01634 570057 or submit an online enquiry to our lettings experts.

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Why reducing the price of your property could help you sell

Posted on by Sophie Winter

In previous years, decreasing your property’s price was viewed as unfavourable. It projected an image of desperation, potentially allowing buyers to exploit this and present unreasonably low bids. However, with the evolving property market, does this perspective still hold true?

Price reductions and the property market

Well, no not really. Since the last recession in 2008, attitudes toward reducing property prices have significantly eased. Given the dynamic nature of the property market, achieving absolute precision right from the start can be nearly impossible. Determining the appropriate market value for a property is essentially an approximation; there are no fixed guidelines or no crystal ball, just a rough estimate based on the seller’s and agent’s assessment of the property’s selling potential. Occasionally, adjustments are necessary, and in this age of technological advancement, a price reduction can, in fact, yield favorable results in your sales strategy.

It’s no longer stigmatised and won’t generate unfavourable perceptions about the property. Buyers may notice that the price has dropped; but they may view it positively, recognising your commitment to selling rather than interpreting it as a sign of desperation.

Why do some see it as a negative?

This could be down to our shift in our consumer mindset as it operates similarly when it comes to Property. Just as we’re accustomed to High Street stores frequently offering sales or shopping at designer outlets with clearly marked recommended retail prices (RRP) and discounted rates; we don’t devalue the clothing or decide against a purchase simply because no one else bought it from the original store; we merely accept it as an item we like and wish to acquire at a reduced price.

This same adjustment in our buying psychology might apply to the property market. When we encounter a property that has adjusted its pricing, we don’t automatically assume it’s inferior or that the sellers are desperate. Instead, we perceive it as a discount, a valuable opportunity. This perspective can motivate a hesitant buyer to make an offer they might not have otherwise considered. It may act as the gentle push they needed to take action.

What can a price reduction do?

Reducing the price, when required, can prove to be a beneficial strategy and may be the key to sealing the deal.

  • Revitalising the property’s marketing and promotion, including mailing campaigns and re-matching with potential buyers. This is similar to giving a post on social media a boost.
  • This approach introduces the property to a different pricing tier. Attracting a fresh set of buyers who may not have been aware of its availability, as it was previously outside their budget range.
  • For those who previously viewed the property at its higher price, the reduction might now align more closely with their perception of its value, potentially rekindling their interest.

Want to discuss your property?

A reduction in price can often unlock the path to a successful sale. Especially when your property has been listed for several months without any positive outcomes, despite all other efforts.

If you’re facing challenges in attracting viewings and are eager to sell your home, reach out to our property specialists. They can assess your marketing strategy and provide guidance to help you start receiving those coveted offers.

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How you can boost your property value by £48k

Posted on by Sophie Winter

Do you find yourself using your garage as a storage space for clutter, or does it stay empty because the idea of constantly moving your car in and out seems too bothersome?

A study conducted by Admiral Money has unveiled that up to 51% of individuals in the UK seldom or never utilise their garage for parking their cars. Instead, they tend to fill it with tools or furniture that remains unused. In fact, the total of unused garages is so substantial that Admiral’s calculations suggest that almost 600,000 homes could potentially be in the space wasted by them!

However, by dedicating some effort and resources, this overlooked space in your home has the potential to significantly enhance the value of your property. Admiral’s research also demonstrates that a simple garage conversion could incur a minimal expense, starting at £6,000 for a single garage, while a comprehensive conversion might range from £10,000 to £20,000. But the value it could add your home is much more – estimated at around £48,000!

Why are homeowners converting their garages?

Conducted using data from the ONS, this study comes during a period when individuals aspiring to live in larger homes might encounter obstacles due to escalating mortgage rates and higher housing costs. However, as stated by Admiral, opting for a garage conversion provides an alternative avenue. This allows homeowners to tailor their residences to align with their lifestyles in the aftermath of the pandemic.

The study uncovered that a majority of homeowners who undertook garage conversions did so with the aim of expanding their living area (67%). The most favored choices were utility rooms and home offices. However, 24% chose to repurpose their space for recreational purposes, opting for features such as bars, home cinemas, and gym facilities.

Converting your garage

In addition to the potential for enhancing property value, another significant advantage of transforming your garage into a room is the low likelihood of requiring planning permission and it often avoids the need for extensive structural modifications. This can make it a highly cost-effective method to expand your living space and overall square footage.

While the initial conversion expense might seem discouraging, homeowners have the option to increase the mortgage on their property for garage renovation. Recent statistics suggest that this approach could potentially increase the average property value across the UK by over £48,000 and even up to £150,000 in certain London postal areas.

Factors to consider during a garage conversion

Prior to moving forward, it’s crucial to thoroughly consider whether you, or a potential future property buyer, might require the use of your garage. This assessment is particularly relevant if you reside in an area where parking is challenging or if your driveway has space for only one car.

If you’re seeking ingenious ways to utilize the space, enlisting the help of an architect can be beneficial. The fees for professional architects and engineers can commence at £1,500 and extend up to £3,000.

According to Martin Hitchcock, an architect, the essence of a successful garage conversion lies in assessing your current home usage and contemplating potential improvements.

We’d suggested thinking about these questions prior to starting any plans:

  • Could extending an existing room into the garage prove advantageous?
  • Is it feasible to convert a portion of the garage while retaining the rest for storage purposes?
  • Do you possess alternative parking options if you proceed with the garage conversion?
  • How would your car’s placement outside a window in the converted garage impact the natural light in your new space?

Have you recently converted your garage and want to know what your property is worth?

Why not contact our expert team today to discuss your property and its new value. We can provide you with a fully detailed sales report and local comparison to show you during the valuation.

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