New Stamp Duty Changes April 2016

Q&A: STAMP DUTY CHANGES

Who is affected?

Those buying a buy-to-let property or a second home will face higher stamp duty tax bills. 

What are the changes?

Under new rules, 3 per cent will be added to every single stamp duty band for buy-to-let and second homes - including the previously tax-free element.   

For those snapping up a £275,000 home, the current rate of stamp duty means a £3,750 stamp duty bill.

This is worked out by:

0% on the first £125,000 = £0

2% on the next £125,000 = £2,500

5% on the final £25,000 = £1,250

Total SDLT = £3,750

But adding the 3 per cent surcharge will see the price of the tax rocket for landlords.

3% on the first £125,000 = £3,750

5% on the next £125,000 = £6,250

8% on the final £25,000 = £2,000

Total SDLT = £12,000 

When are the changes coming into effect?

From 1 April 2016.  

Can landlords offset these costs?

Yes. They can claim stamp duty back later against capital gains tax bill. 

If they sell up their property later at a profit, they can offset purchase costs against any eventual CGT, which includes stamp duty. 

Investment With Martin & Co

We have a great two bedroom flat in Padbury Drive which is brand new to the market. A lot of interest already so you will have to be fast!

Near the train station and near the town... This will rent fast!

This property will achieve a rent of £750 pcm and have a gross yield of 5.6%. Call now for your viewing.

http://www.rightmove.co.uk/property-for-sale/property-38385984.html

HMO For Sale!

We are currently offering an immaculately presented fully HMO compliant and licensed, fully tenanted & fully managed terraced property, with 10 Double Bedrooms in Banbury Town Center. 

This Fantastic Grade II Listed freehold HMO property comprises 10 bedrooms, all refurbished to an immaculately high standard, with brand new facilities throughout. The property also benefits from 2 large kitchens and a large reception/dining room, and 6 bathrooms.

The property has gas central heating throughout with a system combination boiler. and is of standard stone & tile construction. 

This property provides a ´turn key´ property investment solution to both private and institutional clients with a focus on high yielding accommodation in a town center location.

The gross income on this property per annum is £60,780!

http://www.rightmove.co.uk/property-for-sale/property-49984967.html?premiumA=true

Steal With Taylors!

Taylors have got a bit of a steal in Harlech Close!

Two bedroom property for £165,000. No pictures ... will assume it needs a bit of work ... but certainly room in their to get a good return on rent or capital growth!

Worth a look! more details below.

http://www.rightmove.co.uk/property-for-sale/property-37671777.html

Great investment on Rosemary Drive with Connells

Connells have taken on a two bedroom apartment on the popular Hanwell Fields Estate. Accommodation includes -: Entrance door , good size lounge with kitchen , two bedrooms and a bathroom. There is also allocated parking to the rear of the apartment.

This also has no onward chain!

The gross yield for this property would be 6.14% with a monthly rent of £750 .... With the rental market as buoyant as it is ..... this rent is constantly increasing.

This property would rent easily and is on at a very attractive price. Certainly worth a viewing!


Take a look!...... http://www.rightmove.co.uk/property-for-sale/property-53669960.html

Popular Location! Easy to rent!

Thomas James have listed this two bedroom flat in Hanwell Fields for £155,000.

The flat is on the top floor of the block. The property comprises of two bedrooms, kitchen, open plan lounge with Juliette balcony as well as an en suite to the master bedroom and a bathroom. The property also benefits from having allocated parking and being double glazed throughout.

We manage lots of these flats in the area and have tenants looking!

If you purchased this property you would look to achieve £750 pcm in rent creating a gross yield of 5.8%

Sounds like it is worth a viewing! Have a look ... http://www.rightmove.co.uk/property-for-sale/property-50730790.html

Sound the Alarms! New legislation is imminent.

New laws relating to ‘Smoke and Carbon Monoxide’ (CO) alarm provision come into effect from 10^th October 2015 and you need to ensure that all your landlords in England are aware and compliant.

Landlords will be required to install smoke alarms on every floor of their property and test them at the start of every tenancy. High-risk rooms-such as those where a solid fuel heating system is installed-will also need carbon monoxide alarms installed.

Licenced HMOs, Social Housing and other residential buildings already covered by existing regulations are excluded. Properties where accommodation is shared with the landlord may also be excluded.

There are several companies including British Gas (britishgas.co.uk/lettings or telephone 08001077797) who offer a service to install these alarms. Some local fire brigade departments are offering to install smoke alarms for free in some areas, so please contact them to find out. There are other companies such ‘gas-elec’ group (www.gas-elec.co.uk/6pack telephone 0800587999) but you may want to use your own local companies as long as they are registered with ‘Gas Safe Register’ etc.

For more information on this please call our office on 01295 701773.

Landlords to battle Legionnaire's Disease!

A potentially fatal form of pneumonia, named Legionnaire's disease, is caused by Legionella bacteria. The disease is contracted when Legionella bacteria enters the lungs as a result of water being inhaled (as a spray or a mist).


Symptoms:

• Flu-like symptoms
• Cough
• Chest pains
• Difficulties with breathing

How will this affect the Landlord?

All persons in control of the premises, are responsible for making sure that the correct precautions are taken to reduce exposure risk to Legionella bacteria.
The Health and Safety Executive (HSE) has created an Approved regarding the precautions to take and the practical guidance to do so.
A written assessment will be needed by a classed competent person, involving the premises water systems and any possible Legionella risk.
- https://www.hse.gov.uk/legionnaires


To find out what your duties as a Landlord are, follow the link to the Health and Safety Executive website: http://www.hse.gov.uk/legionnaires/faqs.htm#Landlord

Property values rise by £386 per week in Banbury

Last week, a landlord who lives in Adderbury, came in to our office to discuss the rising property values in the Banbury area. He owns a varied portfolio of rental properties, primarily in Banbury and Brackley with one in Chipping Norton, so it is interesting to compare the increase in property values around the area.

Over the last 12 months in Banbury average property value’s have risen from  £269,000 to £289,100 , a rise of £20,100, or £386 per week. When I looked at some of the surrounding areas, Brackley has had a slightly lower than average increase in property values, at around £250 per week, whilst Chipping Norton has an even lower than average increase of around £168 per week. It is, nonetheless, a rise in all the town’s average property values which suggests the market is recovering steadily in our area, but especially Banbury– good news for home owners and landlords alike.

When considering this landlord’s buy to let portfolio, yields can be in the order of an average 4% to 5% per year, depending where you buy, so combine that with steady rental growth, excellent increases in capital values of the properties themselves and it could be a good time to invest in the property market in Banbury as property values start to rise.

If you would like some advice about buying to let, be you a landlord with a portfolio or someone thinking of investing in the rental market, please come and see me at our office on the High Street, Banbury. 

Fantastic investment opportunity in Woodford Halse

This brilliant 4 bedroom terraced house in Woodford Halse is on for £180,000, with Martin & Co Estate Agents, which is a brilliant price for what it is!

This investment consists of a three bedroom house and a one bedroom studio flat below. The property creates an annual income of £12,240 creating a gross yield of 6.8%.

Give us a call! Do not miss out on this great opportunity! 

http://www.rightmove.co.uk/property-for-sale/property-35746992.html?premiumA=true

Auction in Easington!

This property is marketed by Countrywide Auctions and viewings can be made through Taylors in Banbury.

It is a highly desirable location for a renovation project and ideal for an investment purchase!

Certainly some money to made on this one if you can get it for the right price! Also a great rental once it is done up !

Properties have gone up in this area due to the demand for schools and the local amenities near by. I would get down to the auction to take a look!

Don't miss out on this opportunity and follow the link below!


http://www.rightmove.co.uk/property-for-sale/property-53869034.html?premiumA=true

Two bedroom buy to let on Alma Road

This two bedroom apartment with Bairstoweves will gain a lot of attention with searching tenants due to it's convenient location of being close to amenities, town and the train station. Not only that ... It is offered with no onward chain!

Popular location and we already have tenants waiting!

Having a gross yield of 5.8% means that this property will definitely be worth the investment!

Follow the link below to take a further look:


http://www.rightmove.co.uk/property-for-sale/property-53198723.html

May need some work but not a bad investment in Bretch Hill

This three bedroom property in Bretch Hill is on with Bairstoweves.

The property has gas central heating, double glazing and no onward chain!

There are only two photo's so I can assume it may need a bit of work! but none the less ... popular area for sales and rent! ...  and I am sure there will be further capital appreciation in this area with the evidence showing it has increased 15%-20% in the last two years alone!

The gross yield for this would be 5.8% generating in the region of £850 - £895 pcm. 

Family home means long term tenants resulting in a steady income for whichever investor picks this up!

Get in there and take a look!

http://www.rightmove.co.uk/property-for-sale/property-53635016.html

Buy-To-Let two bedroom end of terrace deal in Troika Close!

This two bedroom end of terrace property in Troika Close is on with Chancellors for £174,000.
Good condition, modern kitchen, single garage and is ready to rent!

The property could get £750.00 per calendar month from your tenants and the property would be easily let to a professional couple looking for a conveniently located house. This property would not take long to let out at all!

This property would get a gross yield of 5.2%

This property would be an great buy!

For more information please follow the link below:

http://www.rightmove.co.uk/property-for-sale/property-52938803.html