Property Market Insights and Supporting Our Customers

Welcome to the August edition of the Tristram's monthly newsletter, where we'll be sharing our updates and the latest news from the property market.

First up this month we offer our insights into rent arrears and share our rent guarantee insurance to help protect your investments. We want you to know that we are looking after our tenants so we also share our Premium Reward Scheme that we are offering free to our tenants.

Elsewhere we focus on stamp duty. Since the announcement there has been a surge in property searches making it a great time to get moving. The stamp duty cut also provides a welcome relief for landlords! To end we share what's on in Nottingham. We hope you enjoy this months edition. As always if you have any property queries please get in touch!

Tristram's looking after our Tenants with our Premium Reward Scheme

At Tristram's, we go the extra mile to look after our tenants whilst working hard to provide the best experience possible. That's why we have given all of our tenants Premium access to our tenant reward programme. Our tenant reward Programme is in partnership with Vaboo and we are offering this to our tenants for free. We are footing the cost of this (normally £72 a year)!

We have decided to upgrade all our tenants to Premium access of our reward scheme as part of our commitment to helping our customers in this difficult time. We pride ourselves on supporting all of our customers and that includes our tenants! As far as we’re aware, Tristram’s are the only agent in Nottingham that offer this tenant reward scheme. We celebrate all of our customers and want to make sure that our tenants are happy in their homes and happy renting with us.

Wollaton Outdoor Adventure Park

Now until 2nd September

Missed the traditional rides fair?... Never fear, the team has been working to create the Wollaton Adventure Park safely with Local Leisure ltd. Aimed at younger children aged 3 - 9 there is plenty for them to enjoy.

Click here to read Wollaton Outdoor Adventure Park.

Rent Guarantee Insurance: Protect Your Investments

Now more than ever is a great time to take out Rent Guarantee Insurance. Find out why below...

Since the start of April, the government job retention furlough scheme has contributed to the costs of furloughed employees National Insurance and pension payments. However, on the 1st September employers will have to contribute 10% of furloughed employees ages; rising to 20% in October before the scheme finishes later in that month. Due to this, it is anticipated that there will be a rise in redundancies with employers struggling to pay these costs. This in turn will lead to a rise in unemployment. If tenants become unemployed they could enter rent arrears, placing pressure on a landlord's finances.

The unemployment levels are set to rise to 2.5 million by Christmas at the end of the year. This amounts to a huge 7.5% of the workforce. Compared to early March levels, prior to the Coronavirus lockdown, this has increased from just 3.9%.

As well as this, the increasing relaxation of lockdown restrictions means that society are continuing to spend more and more in the community at their local businesses as well as on commuting. An increased expenditure will also lead to difficulties in making rent payments.

Our Rent Guarantee Insurance (also known as rent protection insurance) acts as a safeguard if your tenants come into the unfortunate situation of not being able to pay rent. It can cover missed rental payments and cover any legal expenses you may incur. If you are interested in Rent Guarantee Insurance please contact us here.

What Does The Stamp Duty Cut Mean For Landlords?

The buy to let sector has seen a tremendous amount of change over the past few years in order to help rebalance the property market, with key pieces of legislation such as the Tenant Fees Act and the recent Electrical Safety Standards regulations. The changes to stamp duty will go some way to reigniting the buy-to-let market and offers landlords a tremendous opportunity to make the most of the tax changes.

With the temporary increase on the stamp duty threshold to £500,000 until 31st March next year, first-time buyers and existing homeowners are set to save up to £15,000. For additional and investment properties, stamp duty is also removed up to this value, however the 3% surcharge remains.

Charlotte Nixon, mortgage expert at Quilter, believes that the changes to stamp duty could have the consequence of more investors returning to the market;

“Buy-to-let investors have left the market in their droves over the last few years after tax changes have made it an untenable investment for many. The stamp duty holiday may serve to entice some of these investors back to the market."

“Not only will this cut help to reignite the property market but also improve the supply of rental properties, which has been dwindling over the last 12 months."

Nixon is supported in her opinion by David Whittaker, Chief Executive of Keystone Property Finance who believes;

“The Chancellor’s decision to cut stamp duty will have positive implications for homebuyers across the country and will certainly help to stimulate the housing market. Importantly, this latest cut will also go some way towards providing a much-needed boost for the buy-to-let sector.”

“As a result of this measure, many portfolio landlords across the UK will now be considering new buy-to-let purchases."

The numbers can be useful to bare out the extent of the potential savings for landlords looking to increase their portfolios – before the stamp duty holiday was introduced you would have paid £26,000 in stamp duty but now that is reduced almost by half to £13,500.

If you are thinking of investing in an additional property or looking to increase your property portfolio, then making the most of the stamp duty holiday is advised – contact us today to see how we can help you.

Stamp Duty Announcement Causes Surge In Property Searches

One of the key announcements in the Chancellor’s summer statement was a holiday on stamp duty from 8^th July 2020 to 31^st March 2021, with first-time buyers and existing homeowners paying no stamp duty on purchases up to £500,000 during this period.

With potential savings of up to £15,000 available, it should come as no surprise that this change created an immediate surge in activity, with potential buyers seeking to make the most of the savings on offer.

Traffic to Rightmove jumped by 22% during the first 30 minutes of the announcement being made, demonstrating the efficacy of the announcement in providing a boost to the property market. With recent volumes of sales agreed increasing to levels seen in early March, the momentum which has been built following the easing of lockdown restrictions on the market should continue thanks to this impetus.

Savings by region can be seen in the table below;

Region	Avg asking price June 20	Stamp duty saving
North East	£157,291	£646
Yorkshire and The Humber	£202,502	£1,550
North West	£206,909	£1,638
East Midlands	£236,110	£2,222
West Midlands	£238,123	£2,262
South West	£321,996	£6,100
East of England	£363,066	£8,153
South East	£419,595	£10,980
London	£628,284	£15,000

Nottingham Carnival Online 2020

Sunday 23rd August

Join the team to celebrate the magic that is Nottingham Carnival with all the usual carnival activities shared online. You will be able to watch on Facebook live, YouTube live and Zoom. All the details will be published on the Nottingham Carnival Facebook.

Click here to read Nottingham Carnival Online 2020.

Wollaton Outdoor Adventure Park

Now until 2nd September

Missed the Traditional Rides Fair?... Never fear, the team has been working to create the Wollaton Adventure Park safely with Local leisure ltd. Aimed at younger children aged 3-9 they is plenty for them to enjoy.

Click here to read Wollaton Outdoor Adventure Park.

How to prepare your property for sale

With demand for property prior to lockdown soaring, there are sure to be plenty of motivated buyers once restrictions are relaxed, therefore now is an ideal time to prepare your property for a quick sale.

Kerb appeal
As is always the case with selling properties, a first impression can make or break a sale with a poorly presented property often putting off buyers before they have even set foot in the home. In the summer this is especially important as buyers will often drive or walk past a property before they decide to book a viewing. With the summer sun shining a light on any less-than-perfect parts of the exterior of your property, you should ensure that flowers are planted, weeds are pruned and lawns are mowed. Extra attention to details, such as ensuring that the front door has been cleaned and the windows are streak-free will pay dividends in your selling process.

Accessories
A neutral interior will appeal to a mass market and increase the scope of your property in terms of potential buyers, but if you are looking to make the most of the summer then don’t be afraid of colour. Using accessories to add pops of colour around your home that reflect the brighter summer season – such as burnt orange and lemon – will make your property stand out from the crowd in those all-important photographs.

Lights
When we think of summer, we all first think of sunshine and brighter evenings – so make the most of this light when presenting your home for sale. Get rid of heavy curtains and dark blinds, which can make a room feel smaller and prevent the light from entering a room. Buyers want to feel that rooms are bright and spacious, so if at all possible have windows and doors open throughout the house to create a light, airy feeling (as well as bringing in those fresh summer scents).

Set dress
Set dressing refers to the arranging of a room or space in order to paint a picture of the kind of lifestyle which could be enjoyed in your property. Never is it more important to set dress your garden than throughout the summer months, with potential buyers wanting to know that they will be able to enjoy the outdoor space which your home provides. Tempt potential buyers by showing off your outdoor spaces with garden furniture, fire pits and barbecues.

Viewing times
During the summer months many people like to start work early and leave early in order to benefit from the longer evenings; make sure that you can accommodate as many viewings as possible by being flexible with your viewing times. Allowing people to view your home early in the morning, as well as in the afternoon will help bring more people through the door as well as showing off your property in favourable lighting.

Law Update: Electrical Installation Condition Report Requirement

From 1st July the new Electrical Safety standards come into effect for new tenancies. Landlords will have to ensure that electrical installation inspections and testing are carried out for all new tenancies. The electrical inspection and testing must result in an Electrical Installation Conditions Report being produced by a qualified professional. This report must be provided to the tenant of the property, as well as the housing authority if required. Should a tenant request the report, landlords will have 30 days to provide this to them. Reports remain valid for a 5 year period, after which a new inspection, test, and report should be generated.

In a bid to improve the safety of tenants across the United Kingdom, the Electrical Safety Standards will mean that the electrics in properties should be safer and more uniform. Despite calls to delay the implementation of these new requirements, the government has made clear that landlords providing safe homes for their tenants is of upmost importance, even during the current health pandemic. The new electrical safety requirements will be applicable to all existing tenancies from April 2021.

If a landlord does not have an Electrical Installation Conditions Report in place for their new tenancies, the government can impose large fines and even prison sentences for non-compliance. Landlords must ensure that they take all practicable steps to meet compliance and be able to demonstrate this should any exceptional circumstances prevent them from complying.

If you are concerned about how the new regulations may affect your properties, please do not hesitate to contact us and we will be happy to advise you.

In a bid to improve the safety of tenants across the United Kingdom, the Electrical Safety Standards will mean that the electrics in properties should be safer and more uniform. Despite calls to delay the implementation of these new requirements, the government has made clear that landlords providing safe homes for their tenants is of upmost importance, even during the current health pandemic. The new electrical safety requirements will be applicable to all existing tenancies from April 2021.

If a landlord does not have an Electrical Installation Conditions Report in place for their new tenancies, the government can impose large fines and even prison sentences for non-compliance. Landlords must ensure that they take all practicable steps to meet compliance and be able to demonstrate this should any exceptional circumstances prevent them from complying.

If you are concerned about how the new regulations may affect your properties, please do not hesitate to contact us and we will be happy to advise you.

Old Market Square Outdoor Dining Area

Now until 30th August

A ‘pop-up’ outdoor dining space is open in Nottingham’s Old Market Square. People will be able to buy items in nearby cafes, coffee shops and restaurants, to enjoy in the square.

Click here to read Old Market Square Outdoor Dining Area.

Returning To Work Safely

The latest updates from the government include a return to work strategy with steps for how to do this safely. Understandably, many people have concerns about returning to work including travelling to and from work places. Each business is different and will require different adaptations to their operating procedures to facilitate a safe environment but the same guiding principles will apply. That is to safeguard the health and wellbeing of staff members and customers. Eight separate guides have been published by the government to support different types of businesses - these guides can be found here. We have summarised the 5 key points applicable to businesses returning to work below*:

1. Work from home if you can
The message continues to be to work from home where at all possible. However, it is acknowledged that not all businesses are able to operate from home. Businesses that have not been told to close by government are now able to go back to work. Employers should discuss operating procedures with their staff.

People should try to avoid public transport in their work commute. However, where this is not possible, the people are asked to wear face masks where possible.

2. Covid-19 risk assessment
All employers need to carry out a Covid-19 risk assessment. This is in line with current health and safety employment and equalities legislation. The risk assessments should be undertaken in consultation with their workers or trade unions, to establish what guidelines to put in place. If possible, employers should publish the results of their risk assessments (all businesses with over 50 employees are expected to do so).

3. Maintain social distancing
Work spaces should be redesigned to respect the 2-meter social distancing guidelines. This can be achieved with staggered start times, one-way walking systems, and changing seating layouts. Designating specific entrances and exits can also minimise close contact.

4. Risk management where social distancing is not possible
It is acknowledged that not all workplaces will find it easy to manage social distancing at 2 meters apart. In this instance, employers should look into putting barriers in shared spaces, creating workplace shift patterns or fixed teams minimising the number of people in contact with one another, or ensuring colleagues are facing away from each other.

5. Reinforcing cleaning processes
Work spaces should be cleaned more often with extra attention to objects with high contact, such as door handles, and office equipment. Hand washing facilities and sanitising stations should be provided at entrances and exits.
For further information please head to the following website: https://www.gov.uk/guidance/working-safely-during-coronavirus-covid-19

*These key points have been taken from gov.uk guidance published on 11 May 2020