Excellent 2 Bedroom Investment in Wellingborough

Good Morning Potential Landlords? As Christmas and New Year is just around the corner, now is the time to keep an eye out for those perfect Buy to Let Investments you can get completed before 2016 is over! For my mid week update I have found a lovely 2 bedroom terrace property, which would be perfect for a young couple or family and has good links to the town centre and local transport. The estimated yield on this property is coming out at over 5%, which wouldn't be a bad investment to start 2017 with! The property is currently being marketed by Bill Wych & Co and I think this one is definitely worth a viewing, here are some more details:

http://www.rightmove.co.uk/property-for-sale/property-62755271.html

If you are thinking of getting into the property rental market and don’t know where to start, speak to us for impartial advice and guidance to get the best return on your investment. For more information about other potential investment properties that we could introduce you too, or to ask about our thoughts on your own investment choices, call us on 01933 384616 or pop in and speak to us in person at our office: 117 Mill Road, Wellingborough, NN8 1PH, or alternatively you can always e-mail me on info@express-salesandlettings.co.uk

Wellingborough Landlords and Tenants : What does the Tenant Fee Banning order mean for you?

• ·         Tenant Fees set to banned within 12 to 18 months
• ·         Rents due to rise as those fees passed to Landlords
• ·         Landlords won’t be worse off – and neither will tenants or agents

With our new Chancellor of the Exchequer revealing a ban on tenant fees in his first Autumn Statement on Wednesday what does this actually mean for Wellingborough tenants and Wellingborough landlords?

The private rental sector in Wellingborough forms an important part of the Wellingborough housing market and the engagement from the chancellor in Wednesday’s Autumn Statement is a welcome sign that it is recognised as such. I have long supported the regulation of lettings agents which will ensconce and cement best practice across the rental industry and,  I believe that measures to improve the situation of tenants should be introduced in a way that supports the growing professionalism of the sector. Over the last few years, there has been an increasing number of regulations and legislation governing private renting and it is important that the role of qualified, well trained and regulated lettings agents is understood.

Great News for Wellingborough Tenants

So, let’s look at tenants .. this is great news for them, isn’t it?  Well before you all crack open the Prosecco, read this …

Although I can see prohibiting letting agent fees being welcomed by Wellingborough tenants, at least in the short term, they won’t realise that it will rebound back on them.

First up, it will take between 12 and 18 months to ban fees, as consultation needs to take place, then it will take an Act of Parliament to implement the change. A prohibition on agent fees may preclude tenants from receiving an invoice at the start of the tenancy, but the unescapable outcome will be an increase in the proportion of costs which will be met by landlords, which in turn will be passed on to tenants through higher rents.

Published at the same time as the Autumn Statement, hidden in the Office for Budget Responsibility’s Economic and Fiscal Outlook on the Autumn Statement (The Office for Budget Responsibility being created by Government in 2010 to provide independent and authoritative analysis of the UK’s public finances), it said on Wednesday …

“The Government has also announced its intention to ban additional fees charged by private letting agents. Specific details about timing and implementation remain outstanding, so we have not adjusted our forecast. Nevertheless, it is possible that a ban on fees would be passed through to higher private rents”

The charity Shelter and Scotland

Scotland banned Letting Fees in 2012. The charity Shelter have been a big voice in persuading and lobbying the Government since it managed to persuade the Scottish Parliament to ban fees in 2012. On all the TV and radio shows at the moment, they keep talking about their Independent Research, which they said showed that,

“renters, landlords and the industry as a whole had benefited from banning fees to renters in Scotland. It found that any negative side-effects of clarifying the ban on fees to renters in Scotland have been minimal for letting agencies, landlords and renters, and the sector remains healthy.”

Going on,

“Many industry insiders had predicted that abolishing fees would impact on rents for tenants, but our research show that this hasn’t been the case. The evidence showed that landlords in Scotland were no more likely to have increased rents since 2012 than landlords elsewhere in the UK. It found that where rents had risen more in Scotland than in other comparable parts of the UK in 2013, it was explained by economic factors and not related to the clarification of the law on letting fees”

.. yet the devil is in the detail….

Only yesterday Shelter were quoting this Research from December 2013 to say rents never went up following the tenant fee ban in Q4 2012. I have read that research and I agree with that research, but it was published three years ago, only 12 months after the ban was put into place.

I find it strange they don’t seem to mention what has happened to rents in Scotland in  2014, 2015 and 2016 .. because that tells us a completely different story!

What really happened in Scotland to rents?

I have carried out my research up to the end of Q3 2016 and  this is the evidence I have found..

In Scotland, rents have risen, according the CityLets Index

by 15.3% between Q4 2012 and today

 (CityLets being the equivalent of Rightmove North of the Border – so they know their onions and have plenty of comparable evidence to back up their numbers).

When I compared the same time frame, using Office of National Statistics figures for the English Regions between 2012 and 2016, this is what has happened to rents

·         North East 2.17% increase

·         North West 2.43% increase

·         Yorkshire and The Humber 3.21% increase

·         East Midlands 5.92% increase

·         West Midlands 5.52% increase

·         East of England 7.07% increase

·         South West 5.82% increase

·         South East 8.26% increase

·         London 10.55% increase

….and let me remind you about Scotland … 15.3% increase.

Are you really telling me the Scottish economy has outstripped London’s over the last 4 years? Is anyone suggesting Scottish wages and the Scottish Economy have boomed to such an extent in the last 4 years they are now the Powerhouse of the UK? .. because if they had, Nicola Sturgeon would have driven down the A1 within a blink of an eye, to demand immediate Independence.

So what will happen in the Wellingborough Rental Market in the Short term?

Well nothing will happen in the next 12 to 18 months .. it’s business as usual!

… and the long term?

Rents will increase as the fees tenants have previously paid will be passed onto Landlords in the coming few years. Not immediately .. but they will.

As a responsible letting agent, I have a business to run. It takes, according to ARLA, (Association of Residential Letting Agents) on average 17 hours work by a letting agent to get a tenant into a property. We need to complete a whole host of checks prescribed by the Government; including a right to rent check, Anti Money Laundering checks, Legionella Risk Assessments, Gas Safety checks, Affordability Checks, Credit Checks, Smoke Alarm checks, Construction (Design & Management) Regulations 2007 checks, compliance with the Landlord and Tenant Act, registering the deposit so the tenants deposit is safe and carry out references to ensure the tenant has been a good tenant in previous rented properties.

All of which the vast majority of lettings agents take very seriously and are expected to know inside out making us the experts in our field. Yes, there are some awful agents who ruin the reputation for others, but isn't that the case in most professions?

.. but business is business.

No landlord, no tenant and certainly no letting agent does work for free.

I, along with every other Wellingborough letting agent will have to consider passing some of that cost onto my landlords in the future. Now of course, landlords would also be able to offset higher letting charges against tax, but I (as I am sure they) wouldn’t want them out of pocket, even after the extra tax relief.

So what does this all mean for the future?

The current application fee for a single person at my lettings agency is £150 and for a couple £240 .. meaning on average, the fee is around £200 per property.

I am part of a Group of 500+ Letting Agents, and recently we had to poll to find the average length of tenancy in our respective agencies. The Government says its 4 years, whilst the actual figure was nearer one year and eleven months, so let’s round that up to two years.

That means £200 needs to found in additional fees to the landlord, on average, every two years.

In Actual Pound Notes

In 2005, the average rent of a Wellingborough Property was £523 per month and today it is £599 per month, a rise of only 14.5% (against an inflation rate (RPI) of 38.5%).

 Using the UK average management rates of 10%, this means the landlord will be paying £720 per annum in management fees.

If the landlord is expected to cover the cost of that additional £200 every two years, rents will only need to rise by an additional 2% a year after 2018, on top of what they have annually grown by in the last 5 years.

So, if that were to happen in Wellingborough, average rents would rise to £708 per month by 2022  (see the red line on the graph) and so the landlord would pay £850 per annum in management fees .. which would go towards covering the additional costs without having to raise the level of fees.

 .. but that is bad news for Wellingborough Tenants?

Quite the opposite. Look at the blue line on the graph). If the average rent Wellingborough tenants pay had risen in line with inflation since 2005, that £523 per month would have risen today to  an average of £725 per month. (Remember, the average today is only £599 per month) .. and even if inflation remains at 2% per year for the next six years, the average rent would be £788 per month by 2022 .. meaning even if landlords increase their rents to cover the costs tenants are still much better off, when we compare to the £708 per month figure to the £788 per month figure.

Conclusion

The banning of letting fees is good news for landlords, tenants and agents.

It removes the need for tenants to find lump sums of money when they move. That will mean tenants will have greater freedom to move home and still be better off in real terms compared to if rents had increased in line with inflation.

Landlords will be happy as their yield and return will increase with greater rents whilst not paying significantly more in fees to their lettings agency. Letting agents who used to charge fair application fees won’t be penalised as the rent rises will compensate them for any losses.

.. and the agents that charged the silly high application fees .. well that’s their problem. At least I know I can offer the same, if not a better service to both my landlords and tenants in the future in light of this announcement from Phillip Hammond.

£3m paid in Stamp Duty by Wellingborough Residents

“A pound saved is worth two pounds earned . . . after taxes” is what my Grandfather used to say. He loved his irony, yet was always a wise man, and it is tax I want to talk about today, in particular, property taxation .. Stamp Duty in fact.

Apart from some minor exemptions, Stamp Duty is paid by anyone buying a property over £125,000 in the UK. It presently raises £10.68bn a year for the HM Treasury (interesting when compared with £27.6bn in fuel duty, £10.69bn in alcohol duty and £9.48bn in tobacco duty).

In the latest set of data from HMRC, in the MP constituency that covers Wellingborough, property buyers paid £3m stamp duty in one year alone – a lot of money in anyone’s eyes (although not as much as the £197m in income tax that all of us in the same area paid last year).

However, as you may know, George Osborne introduced an additional tax for landlords and from 1^st April 2016 they had to pay an additional 3% stamp duty surcharge on top of the normal stamp duty rate when purchasing a buy to let property. There were tales of woe and Armageddon with a report by Deutsche Bank suggesting that the new surcharge could see house prices fall by as much as 20%.

HMRC data released in the Summer for Quarter 2 (Q2) of 2016 did seem to back up those fears as they published some worrying figures; only one in seven properties purchased was a second home or buy-to-let (in real numbers, only 30,300 of the 207,900 properties in Q2 were bought by landlords).

In previous articles, I spoke about the slump of property transactions after the 1^st of April (as landlords rushed through their property purchases in March to beat the April deadline). In Q2 of 2016, £1.976bn was raised in Stamp Duty from Residential Property. Of that £1.976bn, £652m was paid by buy to let landlords (£424m in normal stamp duty and £228m in the additional 3% surcharge).

However, looking at Q3, the numbers have improved significantly. Of the 235,000 property sales, nearly one in four of them (56,100 to be precise) were bought by buy to let landlords and of the £2.208bn in stamp duty, £864m was paid in ‘normal’ stamp duty by BTL landlords and an impressive £442m paid by those same landlords in the additional stamp duty surcharge.

The statistics suggest buy to let investors have thankfully not been deterred by the stamp duty surcharge introduced in April this year. The figures also show that 65.4% of "buy to let" purchases cost less than £250,000, 23.7% of properties were in the £250k to £500k range and 10.9% (or 6,100 additional properties) of buy to let properties bought cost over £500k – interestingly nearly one in four (22.2%) of £500k properties purchased in Q3 were buy to let properties.

It just goes to back up what I stated a few weeks ago when I suggested that many investors had rushed to make purchases before 31^st March, making figures in the following months (Q2) artificially low when the 3% supplement was introduced, but in Q3 the number of buy to let properties purchased increased by 85%.

It just goes to show you shouldn’t believe everything you read in the newspapers! I can assure you the Wellingborough property market is doing just fine. For more thoughts on the Wellingborough Property Market like this .. visit the Wellingborough Property Market Blog  http://wellingboroughpropertyblog.blogspot.co.uk/

2 Bed Apartment In Wellingborough for Investment

Hi There? Now Winter is truly setting in and the gloomy weather is here, I thought I would brighten up your day with this little investment gem! Today I have found a modern two bedroom apartment in Wellingborough, which can offer an estimated yield of 6.55%! This property is currently being marketed by William H Brown and I would definitely recommend a viewing. Here are some more details:

http://www.rightmove.co.uk/property-for-sale/property-57013282.html

If you are thinking of getting into the property rental market and don’t know where to start, speak to us for impartial advice and guidance to get the best return on your investment. For more information about other potential investment properties that we could introduce you too, or to ask about our thoughts on your own investment choices, call us on 01933 384616 or pop in and speak to us in person at our office: 117 Mill Road, Wellingborough, NN8 1PH, or alternatively you can always e-mail me on info@express-salesandlettings.co.uk

7% of Wellingborough People live in Shared Households

I had an interesting chat the other day with a Wellingborough landlord. He said he had been chatting with an architect friend of his who said back in the mid 2000’s, the developments he was asked to draw were a balance of one and two bed properties, compared to today where the majority of the buildings he is designing are more towards two and sometimes three bedrooms. Now of course, this was all anecdotal but it made me think if similar things were happening in the Wellingborough property market?

This is a really important point as I explained to this landlord, as knowing when and where the demand of tenants is going to come from in the coming decade is just as important as knowing the supply side of the buy to let equation, in relation to the number of properties built in Wellingborough, Wellingborough property prices, Wellingborough yields and Wellingborough rents.

In 2001, there were 30,100 households with a population of 72,500 in the Wellingborough Borough Council area. By 2011, that had grown to 32,100 households and a population of 75,400.

.. meaning, between 2001 and 2011, whilst the number of households in the Wellingborough Borough Council area grew by 6.57%, the population grew by 3.91%

Nothing surprising there then. But, as my readers will know, there is always a but! My analysis of the 2011 Census results, using the most recent in-depth data on household formation (eg ‘one person households’, ‘couples/ family households’ or ‘couple + other adults households and multi -adult households’), has displayed a sudden and unexpected break with the trends of the whole of the 20^th Century. There has been a seismic change in household formation in Wellingborough between 2001 and 2011.

Between 2001 and 2011, the population of Wellingborough grew, as did the number of Wellingborough properties (because of new home building). However, the growth rate of new properties built in Wellingborough was much lower than expected though, but still the population has grown by what was expected, meaning the average household size was larger than anticipated in Wellingborough. In fact, average household size (ie the number of people in each property) in 2011 was almost exactly the same as in 2001, the first time for at least 100 years it had not fallen between censuses. (Since 1911, household size has decreased by around 20% every decade).

Looking at figures specifically for Wellingborough itself,

This decline was reflected in large scale shifts in the mix of household types. In particular, there were far more “couple + other adults households and multi -adult households” than expected (7.0% is quite a lot of households). It can be put down to two things; increased international migration and changes to household formation. A particularly important reason for the difference can probably be attributed to the evidence that migrants initially form fewer households (ie two couples share one property) than those who have lived in the UK all their lives. Also, changes to household formation patterns amongst the rest of the population, including adult children living longer with their parents and more young adults living in shared accommodation (as can be seen in the growth of HMO properties (Homes of Multiple Occupation).

So, what does all this mean for Wellingborough Homeowners and Landlords? Quite a lot in fact. There has been a subtle shift to slightly larger households in the last decade, meaning smart landlords might be tempted to buy slightly larger properties to rent out – again good news for homeowners who will get top dollar for their home as they sell on. But now with Brexit, household formation might swing the other way in the next decade? Who knows? Watch this space!

If you want to find out more about the Wellingborough Property Market, visit the Wellingborough Property Blog http://wellingboroughpropertyblog.blogspot.co.uk/ or drop me an email to: info@express-salesandlettings.co.uk

Fab Buy to Let Investment Property in Wellingborough

Hi Potential Landlords. It's time for a mid week property update and today I have found this fantastic but to let investment with a tenant in situ! The potential yield on this 1 bedroom Maisonette is approximately 7.5% and I think viewing on this property is a must for any Landlord looking to buy in the current market.

http://www.rightmove.co.uk/property-for-sale/property-39126171.html

If you are thinking of getting into the property rental market and don’t know where to start, speak to us for impartial advice and guidance to get the best return on your investment. For more information about other potential investment properties that we could introduce you too, or to ask about our thoughts on your own investment choices, call us on 01933 384616 or pop in and speak to us in person at our office: 117 Mill Road, Wellingborough, NN8 1PH, or alternatively you can always e-mail me on info@express-salesandlettings.co.uk

1 Bed Flat in Wellingborough for Investment

Good Morning All! Now the weathers getting cold outside I thought I would warm you all up with this hot little 1 bedroom flat, which I think is a perfect for anyone looking for a buy to let investment. This property is currently on the market with Taylors Estate Agents and with a potential yield of 6.29%, don't let the weather put you off, go and have a look! Here are the details:

http://www.rightmove.co.uk/property-for-sale/property-56498233.html

If you are thinking of getting into the property rental market and don’t know where to start, speak to us for impartial advice and guidance to get the best return on your investment. For more information about other potential investment properties that we could introduce you too, or to ask about our thoughts on your own investment choices, call us on 01933 384616 or pop in and speak to us in person at our office: 117 Mill Road, Wellingborough, NN8 1PH, or alternatively you can always e-mail me on info@express-salesandlettings.co.uk

Wellingborough Housing Crisis? Only 1.1% of Wellingborough Homes Are For Sale

The Wellingborough Property Market continues to disregard the end of the world prophecies of a post Brexit fallout with a return to business as usual after the summer break.

The challenge every Wellingborough property buyer has faced over the last few years is a lack of choice – there simply hasn't been much to choose from when buying (be it for investment or owner occupation). Levels are still well down on what would be considered healthy levels from earlier in this decade, as there is still a substantial demand/supply imbalance. Until we start to see consistent and steady increases in properties coming on to the market in Wellingborough, the market is likely to see upward pressure on property values continue.

However, there may be hope for first time buyers, with homeowners looking to move upmarket and buy to let landlords looking for their next investment, the Wellingborough property supply crisis just might be starting to ease, as the number of new properties coming onto the market in Wellingborough has increased.

For example, last month NN8 saw 115 new properties coming on to the market, not bad when you consider for some months in the last year the average has been as low as the 60’s. With the average Wellingborough property value hitting a record high, reaching almost £192,500 according to my research, this shortage of properties on the market over the last two years has contributed to this ‘fuller' average property figure, but there is a glimmer of hope that the Wellingborough's supply crisis may be starting to ease.

As I write this article, 1.16% of Wellingborough properties are up for sale. In terms of actual chimney pots, that equates to 184 properties on the market in Wellingborough (within 2 miles of the centre of Wellingborough) – which, when compared to only a year ago when that figure stood at 164, is a steady increase in the number of properties available to buy. Split down into the type of property, it makes even more fascinating reading...

 

·         Detached Properties in Wellingborough  - 39 on the market a year ago compared to 54 on the market now – an increase of 38%

·         Semi Detached Properties in Wellingborough - 44 on the market a year ago compared to 55 on the market now - an increase of 25%

·         Terraced Properties in Wellingborough - 28 on the market a year ago compared to 31 on the market now - an increase of 11%

·         Flats / Apartments Properties in Wellingborough  - 49 on the market a year ago compared to 33 on the market now – a decrease of 33%

This is evidence of strength in the Wellingborough housing market that many didn't expect. Many believed that the Wellingborough property market wasn't going to be strong enough post Brexit - as what was a sellers' market before the Brexit vote and Buyers' market in the early months after it, may now be somewhere in between and the market might just be coming back into balance.

However, all this will mean property values won't continue to grow at the same extent they have been over the last 12 to 18 months, and in some months (especially on the run up to Christmas and early in the New Year), values might dip slightly. This won't be down to Brexit but a re-balancing of the Wellingborough Property Market – which is good news for everyone.

For more thoughts on the Wellingborough Property Market, please visit the Wellingborough Property Blog http://wellingboroughpropertyblog.blogspot.co.uk/

Great 3 Bed Buy to Let Investment in Wellingborough

Hi All? I hope you all enjoyed the Fireworks this weekend, I thought I would start the week with a bang, by showing you this great 3 bedroom buy to let property. The potential yield is 5.60% and it is currently on the market with Express Sales and Lettings. I think viewing this property is a must! Here are the details:

http://www.zoopla.co.uk/for-sale/details/42121866?search_identifier=56d59049622dd92b7d2a5939c2ea6716#4zKrLVjTaKErDvr7.97

If you are thinking of getting into the property rental market and don’t know where to start, speak to us for impartial advice and guidance to get the best return on your investment. For more information about other potential investment properties that we could introduce you too, or to ask about our thoughts on your own investment choices, call us on 01933 384616 or pop in and speak to us in person at our office: 117 Mill Road, Wellingborough, NN8 1PH, or alternatively you can always e-mail me on info@express-salesandlettings.co.uk

House Prices in Wellingborough rise by more than 17% in the last 18 months

Over the last month, the Wellingborough property market has seen some interesting movement in house prices, as property values in the Wellingborough Borough Council area rose by 2.2% in the last month, to leave annual price growth at 7.9%. These compare well to the national figures where property prices across the UK saw a monthly uplift of 0.42%, meaning the annual property values across the Country are 8.3% higher, this is all despite the constraining factors of Stamp Duty changes in the spring and more recently our friend Brexit.

Looking at the figures for the last 18 months makes even more fascinating reading, whereby house prices are 17.8% higher, again thought provoking when compared to the national average figure of 13.6% higher.

However, it gets more remarkable when we look at how the different sectors of the Wellingborough market are performing. Over the last 18 months, in the Wellingborough Borough Council area, the best performing type of property was the semi, which outperformed the area average by 0.41% whilst the worst performing type was the apartment, which under-performed the area average by 2.61%.

Now the difference doesn’t sound that much, but remember two things, this is only over eighteen months and the gap of 3.02% (the difference between the semi at +0.41% and apartments at -2.61%) converts into a few thousand pounds disparity, when you consider the average price paid for a semi-detached property in Wellingborough itself over the last 12 months was £165,300 and the average price paid for a Wellingborough apartment was £103,800 over the same time frame.

I know all the Wellingborough landlords and homeowners will want to know how each of the property types have performed, so this is what has happened to property prices over the last 18 months in the area...

·         Overall Average          +17.8%

·         Detached                     +18.1%

·         Semi Detached           +18.3%

·         Terraced                       +17.7%

·         Apartments                 +14.8%

So what does all this mean to Wellingborough homeowners and Wellingborough landlords and what does the future hold? 

When I looked at the month-by-month figures for the area, you can quite clearly see there is a slight tempering of the Wellingborough property market over these last few months. I have mentioned in previous articles that the number of properties on the market in Wellingborough has increased this summer, something that hasn’t happened since 2008. Greater choice for buyers means, using simple supply and demand economics, that top prices won’t be achieved on every Wellingborough property. You see, some of that growth in Wellingborough property values throughout early 2016 may have come about because of a surge in house purchase activity, an indirect result of the increase in stamp duty on second homes from April, thus providing a temporary boost to prices.

However, it may be possible the recent pattern of robust employment growth, growing real earnings and low borrowing costs will tilt the demand/supply seesaw in favour of sellers and exert upward pressure on prices once again in the quarters ahead.

...And Wellingborough property values, assuming that everything goes well with Brexit, I believe in twelve months’ time we should see values in the order of 4% to 6% higher

What will the 0.25% Interest Rate do to the Wellingborough Property Market?

I had an interesting chat with a landlord from the Midland Road area who owns a few properties in the town. He popped his head in to my office as his wife was shopping in the area (and let’s be honest talking about the Wellingborough Property Market is a lot more interesting than clothes shopping!). We had never spoken before (because he uses another agent in the town to manage his Wellingborough properties) yet after reading my blog on the Wellingborough Property Market for awhile, the landlord wanted to know my thoughts on how the recent interest rate cut would affect the Wellingborough property market and I would also like to share these thoughts with you……

Well it’s been a few weeks now since interest rates were cut to 0.25% by the Bank of England as the Bank believed Brexit could lead to a materially lower path of growth for the UK, especially for the manufacturing and construction industries. You see for the country as a whole, the manufacturing and construction industries are still performing well below the pre credit crunch levels of 2008/09, so the British economy remains highly susceptible to an economic shock. This is especially important in Wellingborough, because even though we have had a number of local success stories in manufacturing and construction, a large number of people are employed in these sectors. In Wellingborough, of the 23,180 people who have a job, 3,361 are in the manufacturing industry and 1,622 in Construction meaning

14.5% of Wellingborough workers are employed in the Manufacturing

sector and 7% of Wellingborough workers are in Construction

The other sector of the economy the Bank is worried about, and an equally important one to the Wellingborough economy, is the Financial Services industry. Financial Services in Wellingborough employ 815 people, making up 3.5% of the Wellingborough working population.

Together with a cut in interest rates, the Bank also announced an increase in the quantity of money via a new programme of Quantitative Easing to buy £70bn of Government and Private bonds. Now that won’t do much to the Wellingborough property market directly, but another measure also included in the recent announcement was £100bn of new funding to banks. This extra £100bn will help the High St banks pass on the base rate cut to people and businesses, meaning the banks will have lots of cheap money to lend for mortgages .. which will have a huge effect on the Wellingborough property market (as that £100bn would be enough to buy half a million homes in the UK).

It will take until early in the New Year to find out the real direction of the Wellingborough property market and the effects of Brexit on the economy as a whole, the subsequent recent interest rate cuts and the availability of cheap mortgages. However, something bigger than Brexit and interest rates is the inherent undersupply of housing (something I have spoken about many times in my blog and the specific affect on Wellingborough). The severe undersupply means that Wellingborough property prices are likely to increase further in the medium to long term, even if there is a dip in the short term. This only confirms what every homeowner and landlord has known for decades .. investing in property is a long term project and as an investment vehicle, it will continue to outstrip other forms of investment due to the high demand for a roof over people’s heads and the low supply of new properties being built.

For more thoughts on the Wellingborough Property Market, please visit the Wellingborough Property Market http://wellingboroughpropertyblog.blogspot.co.uk/