The Threat of Japanese Knotweed

28Feb

If you haven't ever heard of Japanese Knotweed, the Environment Agency describe it as "indisputably the UK's most aggressive and destructive plant".

Growing up to an inch a day, Knotweed has the ability to mature rapidly across a large surface area, with the slightest trace causing continuing problems.

Japanese Knotweed (or Fallopia Japonica) is a large, invasive plant species which finds its way into the fabric of a building, e.g. joints in concrete, cavity walls, weaknesses in broken mortar between paving slabs or bricks, and in severe circumstances, can cause major structural damage to properties.

In a landmark legal case, Network Rail is now facing compensation claims after they ignored pleas by residents to remove the Japanese Knotweed growing on its land after it encroached on to their homes.

Neighbours Robin Waistell and Stephen Williams saw the value of their homes halved after the weed spread into the foundations which resulted in Mr Waistell unable to sell his house. It is virtually impossible to secure finance on land or property with Japanese Knotweed on or adjacent to it as UK banks and lending institutions will not give mortgages on properties affected by knotweed.

After a four-day hearing at Cardiff County Court, the rail giant was ordered to pay £4,320 to each of the men to treat the knotweed and £10,000 each in compensation for the fall in value of their homes. The judge added that if the knotweed was not treated, they could also claim for the full drop in value, a substantial £66,000.

So, what advice can you give on how best to spot and tackle Japanese Knotweed?

Knotweed is often identified during site surveys. Whilst it may look small and contained, do not underestimate the scale of the potential problem; the plant can grow up to nine feet in height and roots up to three metres deep. It is important to have the plant treated as soon as possible to avoid further growth and prevent the property sale from falling through.

Financially, eradication of Japanese Knotweed can become costly if left untreated.

For more information, our useful guide on Knotweed sets out eight top tips on what to look out for and how to deal with the plant.

Source: NAEA PROPERTY MARK

WRITTEN BY Katie Griffin Read more

Feb 27 2017

Government Response to Starter Homes Consultation

27Feb

Government Response to Starter Homes Consultation

Over the last twenty years the proportion of under 40 year olds who own their home has fallen by over a third, from 61% to 38%.

The Housing White Paper, Fixing Our Broken Housing Market, sets out the Government’s plan to help over 200,000 people become homeowners by the end of the Parliament through its programmes.

To coincide with the release of the housing white paper, the Government also released the results of its consultation on starter homes.

For young aspiring home owners who would be unable to obtain a mortgage for the full market price of a home, the Government is committed to ensuring there is a range of affordable homes to support their aspiration to buy. Starter homes will be an important part of this offer.

Starter homes are targeted at first-time buyers, between 23 and 40 years old who are unable to get a mortgage for the full market price of a home. Sold at least 20% below market value, the Government’s aim is for starter homes to be sold to those who are genuinely committed to living in an area.

The average market price for homes bought by first time buyers in November 2016 was £180,000 across England outside London and £422,000 in London. After discount, each starter home will cost no more than £250,000 outside London and £450,000 in London. The Government expect starter homes to be entry level properties priced in line with the local first time buyer market.

In May 2016, NAEA Propertymark responded to the DCLG consultation on starter homes, questioning the affordability of Starter Homes, despite their 20% discount. We also raised the issue that there was no reference in the consultation to the size of starter homes and therefore local authority planners should consider policy to reflect the changing demographic of first time buyers.

The Government has decided not to implement a compulsory starter homes requirement on councils at this point in time. The Government said they will commence the general duty on councils to promote the supply of starter homes and bring forward regulations to finalise the starter homes definition and monitoring provisions.

Consultation results

The Government will restrict the sale and sub-letting of starter homes following initial sale and will set out its plans in regulations. NAEA suggested that the restrictions on the sale and sub-letting of starter homes for the planned 5 years following initial sale should be longer.

Government have carefully considered the arguments for a longer repayment period and as a result, the restricted period will be 15 years (a period of between 8-15 years was suggested in the consultation). The Government will also incorporate a mortgage requirement through the regulations. This would require a minimum 25% mortgage and enable the use of home purchase plans in this requirement.

Flexibility will be given over the age restriction to joint purchasers looking to buy a starter home. When one purchaser is under 40 years old but the other is older than 40 and both are first-time buyers, they will be eligible to buy a starter home. Injured military service personnel and those who partner has died in service will be exempt from the age restriction.

The starter homes requirement and off-site commuted sums

The Housing and Planning Act 2016 allows for off-site commuted sums to be made in lieu of starter home provision. This would mean that local planning authorities must agree to an off-site contribution for purpose built private rented sector housing and specialist older people’s housing.

NAEA Propertymark were among the supporters for the use of commuted sums to deliver starter homes where the local planning authority agrees.

Monitoring and reporting

The Government will include a monitoring requirement on the number of starter homes granted planning permission. Local planning authorities will have the option to annex the starter homes monitoring requirements to their Authority Monitoring Reports (AMR). Reports will be required to be published on an annual basis, however to allow more flexibility, Government have not yet specified the date for the production of the first report.

Housing White Paper

Following a consultation in December 2015, the Government will change the National Planning Policy Framework (NPPF) to allow more brownfield land to be released for developments with a higher proportion of starter homes.

Through the Housing White Paper, the Government are consulting on proposes to amend the NPPF to introduce a clear policy expectation that suitable housing sites deliver a minimum of 10% affordable home ownership units. It will be for local areas to work with developers to agree an appropriate level of delivery of starter homes, alongside other affordable home ownership and rented tenures.

The Government are also consulting on their intention to make clear through the NPPF that starter homes should be available to households with an income of less than £80,000 (£90,000 for London).

The housing white paper consultation is open for responses until 2 May 2017.

What's next?

The Starter Home Land Fund will be committed to supporting the preparation of brownfield sites and development in rural areas – 30 partnerships with local authorities were announced on 3 January 2017, with further partnerships to be developed in due course.

Starter homes now sit alongside the Government’s efforts to build other affordable home ownership tenures (shared ownership, Help to Buy and Right to Buy). The result of these changes mean that the Government has changed its focus from starter homes, to a wider range of affordable homes.

Housing Minister Gavin Barwell said:

“This government is committed to building Starter Homes to help young first time buyers get on the housing ladder. This first wave of partnerships shows the strong local interest to build thousands of Starter Homes on hundreds of brownfield sites in the coming years. One in three councils has expressed an interest to work with us so far.”

SOURCE: NAEA PROPERTY MARK

WRITTEN BY Katie Griffin Read more

Feb 20 2017

How to find a tenant quickly and avoid a void period

20Feb

How to find a tenant quickly and avoid a void period

No one wants an empty house. One of the main worries that many landlords experience is the possibility that a month or more will pass between lets without any rental income. It is crucial to minimise void periods where possible by acting fast and making sure you get the next tenant for your property. It is inevitable that circumstances will change and people will move on but there are quick and easy steps to reduce void periods.

Advertise online

This is one of the cheapest and most effective ways to finding a new tenant. Most people have access to some form of internet, whether it is on your mobile phone or laptop. Using a letting agent is an easy way to get your rental property noticed without having to do all the work yourself. This means your property will be promoted by them, which should help you gain interest from potential tenants.

Word of mouth

An old-fashioned way of finding a suitable tenant, word of mouth can still be surprisingly effective. Talking to people living close to the empty property or your friends could lead to finding someone who might be interested in renting your property.

Setting the right rent

It’s always good to do a little research into competitive rental rates. Make sure that the property is good value for money and all repairs are up-to-date as potential tenants will always do a thorough search before making their choice. You want to make sure that your property is at the top of their wish list.

Social media

It may be worth posting about your vacant property on social media sites such as Facebook, Instagram and Twitter. One of your contacts may know of a person who is looking for a property to rent.

Finding the right tenants

Trying to fill the void period may be quite time consuming, but it is worth spending time trying to select tenants that will be delighted to call your property their new home. Make sure you have the correct references and requirements from the new tenant before having them sign the contract to rent your property. It is important to see whether the tenant can pay rent on time and continue to do so without occurring late rental charges.

Do you have a property that is for rent? Are you looking for your next tenant? Contact us now on 01364 652652.

WRITTEN BY Katie Griffin Read more

Feb 18 2017

How to Buy a Forever Home

18Feb

How to Buy a Forever Home

Is a ‘forever home’ a myth? Your personality, or perhaps your finances, may well dictate whether you find a forever home or a ‘for now’ home. There are people who know exactly what they want and stick to it, but it will take a lot to settle on one property and stay with it.

To find a property to last a lifetime, consider these 5 main points:

1. Flexibility
Being realistic is what makes a home last forever – the demands you make on your space will change. The current trend for open plan living spaces could work in your favour as you will be able to zone the space differently according to your needs; dining space can soon become a play area, for example.

Think about the style of the property, not so much the décor but the structural elements; sleek, modern lines maybe give you thrills now, but could mean sharp edges for small children. You want a property that suits you, but one that you could also suit you in 20 years. You don’t need to be psychic to know that when something is appealing to you because it's the trendiest place you’ve seen and your friends will love it, it may not be the best choice for a forever home.

Thinking too far into the future can be scary, but what if your grandfather needed to come and live with you in the next couple of years? Think about how your older relatives navigate the space and use that as a guide for the practicality of a home.

Something else to consider is whether you might need to rent some, or all, of the space out. What if you want to travel or your children emigrate? Thinking about the space in these terms will help to see how applicable it will be to your changing life.

2. Location

This is always a huge factor in finding the right home. But when it comes to your forever home, taking a closer look at all your needs will allow you to future-proof, as far as possible at least. Education from pre-school through to sixth form should be factored in.

Lasting homes should be well facilitated too - from bus routes to shops, the more local amenities available, the more robust your home will be for whatever circumstances appear on the horizon.

Like this post? Read more about how to find the right property for you here.

3. Costs

An efficient home will make a great deal of difference. A sprawling mansion with tennis courts and a pool may seem like it will cater for every eventuality, perfect for children’s parties and social gatherings, but space often equals costly maintenance.

What’s more, buying a drafty old property that you never properly repair, one that’s always in need of a little mending here and there, will fritter your money away. Choose a home you can afford to fully repair if necessary, or stir towards a cost-effective home you know you can heat through the winters.

In short, for longevity find an efficient house!

4. Can you sell it?
This is important: things change, you may want to move! Forever rarely means forever these days and we find more and more that change isn’t so hard – getting bored with you property can easily be fixed. So, don’t think only about your life in a property, ask yourself who would want it if you put it up for sale? Don’t pick, or develop, a property which is too niche.

WRITTEN BY Katie Griffin Read more

Jan 03 2017

A USEFUL GUIDE TO JAPANESE KNOTWEED

03Jan

Green Door

How to Spot and Tackle Japanese Knotweed

The discovery of Japanese Knotweed (Fallopia Japonica) can jeopardise the sale of a property, so it makes sense to be one step ahead, saving you a lot of hassle and making sure the sale goes ahead.

All too often, the plant is discovered by the mortgage surveyor resulting in delay, price renegotiation and even the loss of sale. So, what do you need to know and how is best to deal with it ?

Here’s our eight top tips on what to look out for and what to consider if you believe Japanese Knotweed exists on your property or the property you are looking to purchase.

Learn how to identify it

Japanese Knotweed looks quite different at its various growth stages throughout the year and can be quite difficult to identify. If in doubt, ask an expert to confirm your suspicions.

How big is the problem?

Japanese Knotweed may look small and contained but don't underestimate the scale of the potential problem. The plant has an extensive rhizome system extending 2 - 3 metres laterally from the visible plant and up to 3 metres deep. Ask an expert for a pre-sale site survey to confirm the extent of the problem and the cost of dealing with it. If a purchaser is faced with cost of eradicating the Japanese Knotweed, they will negotiate it off the price.

Can Japanese Knotweed damage the property?

Yes. In its quest for water and light, Japanese Knotweed can exploit any weakness in the fabric of a building - for example expansion joints in concrete, cavity walls, weaknesses in broken mortar between paving slabs or bricks. It can also damage drains and sewers. While structural damage is rare in most residential situations, if left unchecked, a mature infestation of Japanese Knotweed can cause damage. Get an expert to assess the situation as soon as possible.

What should I do about a site survey?

An initial discussion with a Japanese Knotweed eradication expert should help to clarify the extent of the problem and in most cases, photographs will be enough to quote for a solution. For larger areas and commercial development sites, a good contractor will be keen to come and see the site for themselves before quoting.

What are the treatment options?

There is more than one way to deal with the problem and the right solution will depend on a number of factors such as the site conditions, future plans for the site, budget and time scales. The available methods fall into two broad categories: in situ herbicide treatment and physical removal. An expert will outline the pros and cons of all the options fully - they can vary greatly in terms of financial cost and environmental impact as well as in time taken and efficacy.

Can the sale of the property proceed without treating the Japanese Knotweed?

It is virtually impossible to secure finance on land or property with Japanese Knotweed on or adjacent to it. In most cases this means there's no deal until the problem is dealt with. UK banks and lending institutions are usually satisfied if an approved contractor can guarantee their treatment of the problem. It is in your interests to deal with the problem to avoid it ruining your chances of buying your prospective property.

Is the work guaranteed?

Most companies offer a guarantee but do read the small print - these guarantees are not yet insurance backed although may rely on professional indemnity insurance if things go wrong. Even more importantly, make sure you have a detailed post treatment management plan agreed with their chosen contractor. It's easy to negate a guarantee or warranty by disturbing the soil within a year of herbicide treatment, for example.

Will it come back?

Depending on the treatment method and notably with herbicide treatments, there is a possibility of some minor regrowth but this should be covered in any post treatment management plan. Any regrowth is initially weak and if dealt with swiftly and correctly, should not pose any lasting problem.

Source: NAEA PROPERTYMARK

WRITTEN BY Katie Griffin Read more