Changes planned in 2024 for permitted development rights for extensions, roofs and outbuildings
The UK Government has issued a consultation into proposed changes to the permitted development rights which allow householders to enlarge their homes, make alterations or extensions to the roof, and construct outbuildings, such as bin and bike stores, that could come into effect this year...
Bank of England Forecast for Interest Rates in 2024
Inflation came down to 3.4% in February, and the forecast is that it could reach 2% by June, so why did the Bank of England hold interest rates at 5.25% at its last meeting on 20 March 2024? The key reasons are:
- Wage and service industry inflation is still above target, and it would be better to see falls in these before any decreases in the Base rate.
- The Bank's Monetary Policy Committee sets interest rates, and they voted 8-1 in favour of maintaining rates at 5.25% at this meeting
- The financial markets are forecasting the following for the Base rate (the Bank of England does not provide a forecast itself):
- 4.50% by year end 2024
- 3.25% over the medium term (3-year period).
These are, in effect, the cost rates that lenders have and when you add their margin of approx. 1.50%, you can see that over the medium-term borrowing rates for budgeting and planning purposes should be around 4.75% - 5.00%.
For borrowing in the immediate-term, the total cost of borrowing for a limited company needs to include the lender's arrangement fee, which is currently high (some as high as 5-7%), so recommend budgeting at 6%.
Latest Report on Rental Inflation in the UK (March '24)
The average UK rent is now £1,223 after a +7.8% rise in the last year. The highest average rent in the UK is in London (£2,119) while the North East has the lowest monthly rent (£695), according to Zoopla's latest report
UK house price guru's 18-year property cycle predictions
Not many people will have heard of the 18-year property cycle - but some believe it can accurately predict the next house price crash.
Based on historical data going back decades, it is the theory that there is a pattern of property price ups and downs that continually repeats itself - culminating in one major downturn every 18 years.
The cycle was identified by Fred Harrison, a British author and economic commentator, who accurately predicted the two most recent housing market crashes in the early 1990s and in 2008.
Read on to get his analysis and predictions of where UK house prices are now heading, and how best to ride the wave.
Property industry delivers verdict on new UK house price data (Jan 2024)
Property prices in the UK rose for the third consecutive month in December 2023, according to the latest Halifax HPI data.
The cost of an average UK home rose to £287,105, up £3,066 (+1.1%) from November, reaching the highest level since March 2023.
Inspiring Prefab Self Builds: 14 of the Best UK Offsite-Manufactured Homes
Prefabricated or offsite-manufactured homes offer a speedy, cost-certain route to a high-quality new house, but what design options are there? Take a look at some of the top prefab self builds to inspire you.
Steeper Right to Rent fines for landlords
Steeper fines for landlords flouting Right to Rent rules in England have come into force.
Agents and landlords who allow rental properties to be let to migrants who do not have the right to be in the UK face much larger financial penalties.
Offending landlords now face first offence right-to-rent penalties of £5,000 for a lodger and £10,000 for a tenant.
Repeat offence fines have risen from £500 a lodger or £3,000 a tenant to £10,000 a lodger or £20,000 for a tenant. Repeat offences take place within 3 years of a first offence.
HMRC targetting 'under declaring' limited company landlords
Landlords who transferred their rental properties to a company in 2017/18 are being targeted by HMRC who believe buy-to-let landlords may be under-declaring taxes.
Those who incorporated their property business but have not reported a capital gain on their 2017/18 self-assessment tax return are being sent a ‘nudge letter’.
Data regulator warns landlords and agents over privacy rules
Landlords and letting agents have been warned to be more careful when handling tenants’ personal data under GDPR rules.
The comments by the Information Commissioner’s Office (ICO) follows several complaints from tenants that their personal data had not been protected, putting them at risk of ‘distress, discrimination, identity theft, or physical harm’.
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