Friday, 25 May 2012

Tenants kicked out in the run-up to London Olympics

In the run –up to the London Olympics, to be held from July 27, trends of tenant evictions are reported. It has been reported that the landlords are asking the tenants to leave their houses so that they can rent it the tourists who’ll be coming to see the games.

For this, the tenants are usually illegally evicted by giving them no notice or a lesser time or else they are being made to sign a clause that for the particular time period, the tenants shall have to make some other arrangement and they can come back and stay after the Olympics.

The private landlords are leaving no stone unturned to seek higher profits from this event.  With more than a lakh visitors would be coming to see the Olympics and with the only availability of around 110. 000 hotel rooms in London, thus, most of the landlords are seen capitalizing on this issue in order to make killer profits.

According to the report by Property Wire web site, it revealed, that there has been an increase in the short term lets by 35% available in London’s Olympic boroughs of Barking and Dagenham, Greenwich, Hackney, Newham, Tower Hamlets and Waltham Forest.

All this has an effect on the rental market in London and that is the fact that the rent rates would in future be seen increasing.  To add on, a website has been launched called for people to set up tents temporarily in the backyard.

To this, the UK Housing Minister, Grant Shapps said: "Landlords should be under no doubt that it is a criminal offence for them to evict a tenant without giving proper notice, and that anyone found guilty of doing this - or of harassing a tenant - could lead to a custodial sentence of up to two years."

All in all, the playing of Olympics in London, would certainly enhance its image in the world over and that it will help strengthen its Global brand image, but what is more ironic is the fact that the locals are a part of the place, either as students from other countries who have come to study or work or people who just can’t afford to buy, are being kicked off for a temporal period only as  to woo the  visitors.

Leasing your house is a better choice than selling

"Buying a house in London Costs a fortune" is as true as another statement which is "Selling a house in London is what fools do!"

Why sell a property for just £400,000 to £600,000 when the same property will generate for you the annual revenue of £18,000 to £21,000 for as many years you want to and the property is still owned by you!

Most people would think that leasing their property is a headache and as a result they are inclined to sell their properties instead of the profitable leasing, are you one of them? Well then you've got the wrong idea, Leasing your property is a piece of cake!

Reserving your piece of cake and letting you know that selling a house in London is what fools do, let us help you explore the benefits of letting the properties in London.

Renting allows you to get a steady income from your already invested property. The biggest advantage of renting a property in London is that you do not need to gather a substantial amount of money or property to mortgage, required to buy any property. The fact that the housing prices and the home loans too are getting expensive in London, buying a home wouldn’t be a good option. Since you don’t own a house, you avoid the maintenance cost incurred to keep the property intact. With number of immigrants continually coming to London for work or to study, they for sure are not keen on buying a property and renting a property to this market is indeed a profitable option for property holders of London.

Moreover, keeping in mind the current price scenario, selling a house wouldn’t fetch you more, and until you wait for the market to come to your terms, it is good to rent your house. 

Rent costs rose in January

In a report released by the LSL Property, London, claimed an average rise in rent by 0.1% in January. 

As a result the, the rent inflation rose to 4.3% from 4% in December.

Looking at the regional changes in the rent rates, it was observed that West Midlands and South West areas registered the highest rate change in rate at a monthly basis to 1.8% and 1.5% respectively.

However, rents fell in four regions. The biggest declines were in the East of England and Wales, where they fell by 1.7% and 1.5%.The largest annual increases were in London where rents rose by 6.3%. The next biggest increase was in the East of England where rents rose by 5%. Rents fell in the North East by 0.7%, although the rate of annual decline slowed from 1.3% in December.

The possible reasons that can be attributed to rise in rental rates are:
  • Unusually high number of tenants looking for a limited number of property in London
  • Low rates on Mortgage lending loans but still many are reluctant to opt for this option, therefore renting  being a main one
  • Rental arrears also remained high in January, according to LSL, with 10.7% of all rent late or unpaid at the end of the month.

The use of internet for housing and real estate

The advent of internet has definitely made the real estate industry flourish. Known as the Internet Real Estate, the medium has allowed the online promotion of real estate.  The medium provides real estate companies to come up with their big property portals which are a sort of online inventory of information on homes to buy and let.

Not only that, there are many websites, which bring listings together from lots of sites to one convenient place.  These sites also help you find a job once you’ve settled. These websites also provide you with the information nearby areas, about places where you can roam, places where you shop, places where you can keep your child for education, how good are the local services, is the area pollution free, flood plain, earthquake prone, etc. 

As a buyer you might also want to know as to how many homes in the similar area have been sold for. For this you can search Land Registry data via a number of third party websites.
Many property portals also provide with the email alerts, in case if you are waiting for the right property to come available. There are online Removal companies as well that provides helpful information with respect to the cost of moving.

Indeed, internet is a medium that provides you with abundance power right with a click. Looking for renting and buying house was never so easier. Thanks to the INTERNET for making prospective buyers and tenants so powerful merely by the use of their fingertips.