Category: Weekly News

We’ve just touched down on the familiar damp of British soil again after returning from our company trip to Dubai. It’s been a week filled with site viewings, spectacular sunsets and conversations with some world-class developers – We really hope that in the coming weeks you’ll be as blown away by these exciting new projects as we were!

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

Episode 34: Nick & Tobi Answer Your Frequently Asked Investor Questions – The latest episode of the Pure Property Podcast is out now. You can listen to it on Apple Podcasts and all other major platforms.

Remember, you can also listen to this week’s newsletter on the podcast as well.

We would really appreciate it if you could subscribe and leave feedback for our Podcast on Apple.

Property news this week

• Renewed Interest from China in UK Property Market – The Chief Executive of Chinese Planning and Marketing Consultancy has stated that the UK property market is experiencing renewed interest from China after restrictions designed to cool their own market have resulted in a slowing down of capital growth. It has been essential for Chinese municipalities to put a damper on property investment since many areas have seen drastic increases of over 50% in house prices in less than 5 years. The response to the enforced slow down of their own market is that more Chinese investment focus has migrated overseas to UK property offering them better returns.
• 25th Anniversary of the BTL Mortgage – 24th September 2021 marks the official 25th anniversary of the buy-to-let mortgage for landlords in the UK. First offered in 1996 by only a small selection of lenders, the inception of the BTL mortgage made groundbreaking advancements in helping investors match the growing tenant demand and fill the shortage of homes at a time of recession in the UK housing market. In the past 20 years, the buy-to-let market has made massive leaps, with the Private Rental Sector nearly doubling in size.
• More Expat British Landlords Admit Tax Evasion  – In a shocking revelation shared with City A.M, 248 overseas investors who own BTL UK property confessed to the HMRC that they had consciously evaded tax.
  This data has been shared by the accountancy firm UHY Hacker Young. The firm discovered that the majority of those culpable were UK ex-pats living abroad as opposed to foreign investors. In a campaign called ‘Let Property’ the HMRC sent warning letters to those investors it believed to have underpaid their taxes, offering them 90 days to register the correct amount owed or face a full investigation.
• Bank of England Holds Back on Interest Rate Changes – The Bank of England committee is fully aware that the economy cannot carry on using “cheap money” or risk future inflation rising to an uncontrollable level with no money for emergencies. That being said, a rise in interest rate at this time could spell disaster for many borrowers. UK consumers have already seen retail prices inflate and are now being told energy prices are set to soar. The current supply crisis is also putting further strain on the economy. However, an increased interest rate at this point could cause many borrowers to spiral into further debt. Already consumers have been faced with rising prices in the shops, but now energy prices are also being hiked and rental prices are increasing across the UK. Considering all these factors, it is likely that most committee members will leave making a firm decision on BoE interest rates until well into next year.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

I hope you’ve had a wonderful week. It has been full of excitement for us at Track Capital as we finalise our preparations to travel to Dubai and meet with property developers for our latest project launch, Emaar Beachfront.

Get involved in our plans too, by joining us at The Property Show in Knightsbridge, London on 2nd and 3rd October. Held at the Jumeirah Carlton Hotel from 10am to 10pm, this free event will teach you everything you need to know about investing in Dubai.

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

I hope you have had a great week. Here at Track Capital, we have been discussing the variety of investment plans available for those seeking to enter the market or diversify their portfolio. Whether you’re wondering about how best to invest your capital or what attraction Purpose-Built Student Accommodation may hold, our podcast and blog posts hold a wealth of information at your fingertips, ready to explore.

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

Episode 34: Nick & Tobi Answer Your Frequently Asked Investor Questions – The latest episode of the Pure Property Podcast is out now. You can listen to it on Apple Podcasts and all other major platforms.

Remember, you can also listen to this week’s newsletter on the podcast as well.

We would really appreciate it if you could subscribe and leave feedback for our Podcast on Apple.

Property news this week

• Few Tenants Feel Pandemic will Affect Rent Payments – A report released by Goodlord’s surveying 1,750 tenants has revealed that only 6% are concerned that the pandemic could impact their ability to pay rent. According to the same survey, reports of an increase in the number of rental arrears this past year has actually halved among lettings professionals, dropping from 64% to 32%.14% of lettings professionals reported a decrease in arrears. The most prevalent issue appears to be a pervasive lack of stock, with over 50% of agents revealing a 5% loss of their landlords in the past year. 64% of agents believe this situation will worsen, creating a wider gap in the market. This situation will likely continue to put upwards pressure on rental prices.
• UK House Prices Jump as Market Strength Persists –  As reported in a recent survey from Halifax, British house prices rose sharply in August by 0.7% – the biggest rise in 3 months. This paints a picture of strong momentum in the market that hasn’t been slowed by the partial withdrawal of tax breaks on property purchases. When the year-long stamp duty exemption for the first £500K of a house purchase ended in July for residents in England and Northern Ireland, property purchases slumped.
  However, other sources show that the momentary slump is unlikely to result in a long term drop in house purchases.
• Boris Johnson Unveils Shock Dividend Tax Increase – In a shocking revelation, Boris Johnson has revealed plans for a sharp increase in dividend tax in the contractor sector by 1.25%. This has come out of the blue and even caught experts off-guard as the increase had only been expected to affect NICs. Boris remained unyielding as he insisted that all three HMRC payments can expect a new, UK-wide ‘Health and Social Care Levy,’ resulting in higher tax bills for both umbrella and PSC contractors. This effectively means that owners and contractors of companies will have to contribute to the Care Levy regardless of whether they choose to take dividends or a salary.
• Buy to Let Market Rising – Should You Invest? –  A new report by Shawbrook Bank has reported that as rents increase across the country and mortgage rates fall, Landlords are becoming more confident about expanding their portfolios. The report also found that investors are focussing on properties with gardens and more living space in order to attract tenants. New research by Shawbrook Bank revealed that 34% of landlords are looking to expand their portfolios in the coming year, with 10% interested in diversifying by investing in a different area from that of their current properties. These plans may be fuelled by changes in tenant priorities since the onset of the pandemic.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

This has been a hectic week for Track Capital as August saw us hit our busiest sales month to date, helping investors source and purchase the ideal properties for their portfolios. We’ve had some fabulous incentives to offer on some of our most stunning developments too, and will continue working hard to find the best deals to offer our clients.

Also, we are now preparing to launch an exciting new project. More details coming soon…

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

Episode 34: Nick & Tobi Answer Your Frequently Asked Investor Questions – The latest episode of the Pure Property Podcast is out now. You can listen to it on Apple Podcasts and all other major platforms.

Remember, you can also listen to this week’s newsletter on the podcast as well.

We would really appreciate it if you could subscribe and leave feedback for our Podcast on Apple.

Property news this week

• Construction Levels at Ten-Year High – The UK property market is still experiencing the effects of a changing commercial landscape that first came about at the onset of the pandemic, with sectors such as construction, retail and investment being particularly affected. Retail sales are showing strong signs of recovery as the economy gains momentum. Real estate in the industrial sector looks promising for investors as it continues to soar. The prospect for rental growth is attracting plenty of investment attention. In the fourth quarter of 2020, £4.6bn was invested in the industrial sector, and this healthy investment level is staying steady into 2021.
• Average Buy-to-Let Home Gained £15K in the Pandemic –  A research report from mortgage lender Shawbrook Bank into the effect the pandemic had on landlords has revealed that the typical rental home has increased in value by nearly 6% since March 2020. Some areas such as Scotland saw prices rise by nearly double the national average. The report also revealed that over half of landlords would have bought even without the stamp duty holiday. The data also shows that even though the average value of the rental sector has risen, the number of properties available to rent is still experiencing a shortfall.
• Far More Tenants Keep Pets than Admit it –  Online agency Intus Lettings has surveyed 500 of their registered landlords and come to the conclusion that many renters appear to keep pets regardless of whether or not they are contractually permitted to. Among the findings, a shocking number of bizarre items left by departing tenants have been reported by landlords, such as an uncaged tarantula, a donkey in the garden and even ducks in a bath. This report has spectacularly highlighted the importance of carrying out regular inspections and making sure contracts and deposit policies are crystal clear to make sure landlords have everything they need to protect their properties.
• Home Purchasing Highest Since 2007 –  Property purchase activity during the second quarter of 2021 hit its highest levels in nearly 15 years, according to the latest Household Finance Review by UK Finance. The review combined new loans issued to first-time buyers and movers and compared the total with previous years. It is suggested that strong activity was driven by the BTL market and first-time buyers who were encouraged to enter the market with the renewal of the Help to Buy equity scheme.
  The extended stamp duty holiday is also likely to be responsible for the heightened activity, along with continuances from delayed purchasing throughout the lockdowns.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

This has been a huge week for the UK property market as capital growth hits record highs in cities such as Liverpool and Manchester. It seems that this market explosion is nowhere near finished either, making this the perfect time to invest in these promising areas, where exceptional value for money and below-market opportunities are still available.

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

Episode 33: What are the 5 Most Common Investor Mistakes? – The latest episode of the Pure Property Podcast is out now. You can listen to it on Apple Podcasts and all other major platforms.

Remember, you can also listen to this week’s newsletter on the podcast as well.

We would really appreciate it if you could subscribe and leave feedback for our Podcast on Apple.

Property news this week

• How UK Budget Affects Expats – The details of budget 2021 has been an area of unease for expats wondering what, if any, changes would be made to alter their earnings and financial processes. Offshore pensions for expats will remain untouched though, as there was no mention of QROPS or international SIPPS in Chancellor Rishi Sunak’s Budget 2021. Early pension access rules for savers aged 55 or older will also stay the same. Income tax will rise by £70 from April and undergo no further increases until 2026. Inheritance Tax nil-rate bands will also stay the same until April 2026. Capital Gains Tax, Savings and ISAs will all remain unchanged.
• August Release: Latest UK House Price Index Report for July 2021 – Track Capital addresses the recent UK house price index report covering July 21. Strong figures are seen across the board which indicate incredibly positive overall house price growth in the UK. According to Hometrack, the average UK house price growth is +6%. Liverpool sits at the top of the list, with outstanding growth of 9.4% reported. It is followed by Manchester at 7.7%. These fantastic growth percentages are driven by high demand and low supply for housing in many areas. Demand has increased by 21% year on year. Comparing this to the current housing stock available for sale (down 26% from 2020) it is easy to see why house prices throughout the UK are seeing such exponential rises.
• A Third of Landlords Doubt They Can Hit 2025 EPC Targets -The government’s plan to make an EPC rating ‘C’ a requirement for new tenancies by 2025 has not been well-received by landlords. A recent survey revealed that a third of landlords are unsure if they can meet the ambitious target. Many reasons were given, such as owning older properties which would cost more or even be impossible to improve to that extent. A lack of financing was also cited and concerns that a lack of return on investment would make the cost impractical. While landlords may opt to sell rather than meet new standards, the current market boom offers a great opportunity for them to simply reinvest in new developments which are already built to desirable EPC standards. This is a factor that we are seeing some of our investors consider when swaying towards our new-build and off-plan investment opportunities.
• Investor Demand for Properties Continues to Rise –  New analysis from Zoopla reveals a 21% increase in demand for properties from buy-to-let investors. It is anticipated that this strong demand for rental properties from investors will continue into the foreseeable future. Zoopla cites demand from investors, increased interest from first-time buyers and a lack of new developments to meet demand as the three pivotal reasons why the supply shortage in the sales market is currently so severe. With house prices soaring across the county, many investors are looking to areas of regeneration such as Liverpool and Manchester, which are home to new luxury developments at below-market prices, in order to make the most of the current capital growth surge.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

This week has been a difficult one on the global stage, with news of civil and political unrest in many areas of the world. Perhaps then, it was the perfect timing for arguably one of the most relevant national awareness days of 2021: Never Give Up Day, 18th August.

Never Give Up Day is focused on cultivating a sense of inner determination, helping us to get through all of the difficult challenges that life throws our way. Celebrating the tenacity of the human spirit, this inspiring mindset can apply to every aspect of our lives.

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

Episode 32: The Scottish Vs English Property Market – Featuring Chris from Portolio – The latest episode of the Pure Property Podcast is out now. You can listen to it on Apple Podcasts and all other major platforms.

I hope you are having a wonderful week. Here at Track Capital, we have been working very hard to help our investors reach their full market potential, bringing fresh new deals and incentives to the table and sourcing the highest-quality products below market value.

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

• Record Investment Highs in UK Build-to-Rent Market  – UK property agent Knight Frank has reported an increase in BTR (Build-to-Rent)  investment by 79.8% for the first half of 2021 when compared with the same period last year.£2.35 billion has been invested in the BTR sector in H1 of this year alone, which is already fast approaching the £3.5bn of capital that was invested in total during 2020. Many cities have experienced huge regeneration in this sector, such as Newcastle, Leeds and Bristol. Both domestic and international investors are showing sustained interest in meeting the UK demand for more space which has emerged as a reaction to the pandemic.
• Estate Agents Trial New 5% Mortgage Product –  A new financial product is now being piloted by two prominent estate agents which will allow prospective buyers to purchase property using only a 5% deposit. Unlike previous ‘Help to Buy’ schemes, this product coined Proportunity will not be limited to first-time buyers or new home purchases. Its aim is to enable buyers to increase their market capacity by securing financing for up to six times their annual income. This new venture will come as a welcome opportunity for all those struggling to afford the ever-increasing UK property prices in the current market boom.
• Rental Prices Increase in Every Region – The Home Property website has revealed there has been a rental rise in every region across Britain, with record levels outside London, all caused by an overall lack of rental properties. Rents have increased by 3.7% on average but some areas have increased by nearly three times as much. Even the London market is now showing a reversal of the loss it undertook at the height of the pandemic, as people clambered for more space and less centrally-located homes.
• So-Called ‘Death’ of City Centre Greatly Exaggerated – CEO Bob Young at Fleet Mortgages has listened to tales of the mass city exit and emptying of city streets with a large pinch of salt. While some of this concept is undoubtedly rooted in truth, Bob points to data that paints a very different picture, where the current city centre rental yield is only 0.2% off its top performance of 2016. Despite some home-buyers and renters capitalising on new WFH structures and looking for more space outside the city, there will also be many who are happy to forego that space for the promise of bustling city life and more opportunities for work, play and study.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

I hope you all have had a great week. Thursday marked our annual Cycle to Work Day, which has its origins nearly a decade ago encouraging workers in all areas to get pedalling and celebrate all things bicycle. With a host of benefits, from improving health and boosting wellbeing to better finances, cycling has it all. I’m sure many of us have been inspired by the Olympic games to get our own hearts racing!

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

• Colliers Calls for Council Tax Reform – Colliers has stated that the proposed reform this Autumn must include a revision of council tax if it is to be functional. Normally, business rates would add £26 billion net to the pot, which local authorities use to pay for essential local services. However, the business sector has seen huge losses due to the pandemic, worsened by the rates holiday relief cap in June. According to Colliers, the government must take a realistic approach to business rates bills and look elsewhere to cover their essential funding. They think council taxes are one thing to look at as they are calculated on the value of the property as of April 1st 1991, so haven’t been revalued for over 30 years meaning some of the richest areas in the country have the lowest council tax bills and some of the poorest areas have some of the highest. Whether this advice is heeded though, remains to be seen.
• Student Rents Soaring According to Bank Study – Data from the NatWest Student Student Living Index shows student rent has risen steeply by nearly 20% since last year, where it now sits at an average of £518pcm. While Leicester has seen the largest rental increase, London is currently the only area where student cost of living is higher than their income. Although student loans still make up the bulk of student income, savings and parental help are growing in their importance for the student budget.
• Commercial Property Showing Signs of Recovery 2021 – RICS’s most recent survey on the commercial property market suggests that over 50% of respondents believe that recovery is on the horizon. The office sector has remained stable and the industrial sector is seeing a steady rise in occupier and investor interest. However, as industrial rents are also set to rise, there may be a slowing down in this sector and an increase in rental market interest as their rental rates continue to drop.
• Taylor Wimpey Tops FTSE during UK Property Boom – After already experiencing what it has referred to as a “record first-half performance,” House Builder Taylor Wimpey has now climbed another 4.4% on the FTSE 100. With a reported revenue of £2.2billion at the beginning of July, Taylor Wimpey has increased its revenue three-fold since 2020. Despite this, shares are still trading lower than they were at the peak of 2020, reflecting the hesitancy of investors to put their trust in property development at a time of economic instability due to the pandemic.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

This week has been a momentous one for all those invested in a greener future, with the most powerful wind turbine ever created switched on in Orkney, Scotland. This amazing project is set to generate enough energy to power 2000 homes for 15 years. Landlords are well-aware of the government’s plans to make housing more energy-efficient and will be happy to see its commitment to the environment extending to more than just boiler and insulation regulations!

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.

• Controversial Pay-Per-View Company Seeking Investors – Founder of the controversial ViewRabbit company, which proposes to charge prospective buyers and tenants for viewing properties, has stated that they will soon be opening the doors to investment fundraising for their company. He hopes to attract UK-based investors but has not ruled out seeking international interest. Considering the huge shortfall in housing and subsequent high level of competition for viewings, the ethics of such a scheme, which will inevitably charge many people to view a house they will never be able to get, have to be fully scrutinised. I can’t see this taking off quickly. Would you be happy and willing to pay for a viewing?
• Could Allowing Pets Make Buy-to-Let More Successful? – Moneyfacts, a respected Buy-to-Let monitor, has suggested that landlords may be more successful in letting out and retaining tenants if they allow pets. They even suggest that extra costs such as pet-proofing properties and pet insurance may be mitigated by the benefits of letting to wider audiences and encouraging high-quality tenants to stay. However, allowing pets is not without its risks. Many landlords will know firsthand the impact even one unruly pet can have on a property and will remain unwilling to risk their time and energy fixing the damage
• Mortgage-Lending to Reach Highest Level in Over a Decade – An increase in gross mortgage lending has now been revised to  £285billion, according to the Intermediary Mortgage Lenders Association. This is a staggering £32billion more than last year and is the highest level of mortgage-lending since 2007. This is a testimony to the current strength of the UK property market. Buy-to-Let lending has also risen in the past 5 months, with 2021 predicted to be the best year for Buy-to-Let since 2016. With demand in all mortgage sectors expected to continue rising, this is a very hopeful signal of market recovery from the pandemic.
• Holiday Let Businesses Surge During Pandemic – Individuals who seek to capitalise on tax advantages for holiday lettings have resulted in a surge of holiday let businesses, which are up 83% from 2019. Those who let properties as furnished enjoy even more financial benefits. With the tax band difference between those buying in their own name and those buying through incorporated businesses being a stark 26% favouring businesses, it is unlikely that this trend of increasing holiday let businesses will cease any time soon.

That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected]  – if not, see you next week.

Track Capital would like to wish all those celebrating a happy Eid Al Adha! This has been a wonderful week to celebrate with family, as temperatures continue to soar and skies are blue as far as the eye can see.

Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you having to click through.