So, i’m doing my best to retain some sanity whilst sat at home trying to run a business, home school my 5 year old, trying to block out the constant chit chat while i’m responding to emails and taking calls. It’s all good fun! I’m sure a lot of you are in the same boat (some of you will have the even bigger challenge of multiple children… enjoy!).
I’ve not been doing so many written blog posts on the Coronavirus because I’ve mostly been doing video blogs for landlords and tenants, helping them to decipher the vague announcements from the govenrment over the last few days. If you want to see any of the videos, please click here.
Unless you’ve been living under a rock for the last week, you will know that the government have announced that lenders will be offering a 3 month “mortgage holiday” to help relieve the financial pressures of those “impacted” by COVID-19. They also said that there will be a complete ban on evictions for the next 3 months to ensure that tenants are safe during this time of uncertainty. Both fair. Both necessary.
However, what was not made clear was what happens in the event that tenants cannot pay the rent and STOP paying the rent. The landlord may have the mortgage holiday but they have to pay this back eventually and are losing income in the mean time. Do tenants have to pay the lost rent back?
I have a couple of contingency plans in place in case this happens. If you would like to know what they are, please feel free to get in touch.
I know i’m a bit of a joker at times but, I just wanted to say that if any of you are feeling anxious or worried at this time about what will happen to you, your tenant or your investment property, please feel free to get in touch for a chat. I may not have ALL the answers but i’m hear if you need me.
If you do call, please excuse the noise in the background. It turns out that 5 years old aren’t particularly quiet!!
Whilst doing my usual trawl through On The Market, I noticed this gem pop up. Admittedly, I am not usually a massive fan of flats. I have several of my own flats and can’t say that they’re my favourite but I do have some at Simon Close (where this flat is for sale) and these flats are, BY FAR, my favourite! The management company are fantastic and the flats rent very quickly here.
This flat is on for offers over £80,000 but it has been on since December so I’m thinking there may be some flexibility here.
Lets look at the fun stuff… If you purchase the flat for £80,000 and the current tenant pays £500. The ground rent and service charges are £1210/year, which would leave you with a gross yield of 7.50% and a net yield of 5.99%.
However, I will share a little secret with you….I charge £525 for both of my flats at Simon close so, if the rent were to be increased, you could be looking at a gross yield of 7.88% and a net yield of 6.36%.
Not bad, ey!!!
If none of you snap this one up, I might add to my Simon Close collection!
If anyone is looking to have their Nuneaton Property managed or if you just simply want us to find you a tenant, please feel free to get in touch on 02477674545 and we’ll gladly help.
You may have read my blog last week about the clever clogs
who suggested that landlords provide a 3 month rent free period to their
tenants if they are unlucky enough to get the COVID-19 virus and just take the
financial hit (more like Thor’s hammer to the face!).
Well, I read today that lenders are looking to support their
clients by offering a 3 month holiday from mortgage payments if they are
affected by the virus. At the moment it is only RBS but other lenders are
likely to follow suit.
The article by “The Negotiator” states that “With the fallout from COVID-19 likely to last many months, and some experts predicting another financial crash, the speedy move will go some way to maintain confidence in the market.” I am inclined to agree with this and say “hoorah” to the sensible lenders who are good enough to support their clients…and the economy as a whole!
I hope this doesn’t affect any of our readers and I hope you
all stay safe and healthy over the coming weeks/months. Elbow bumps to all of
As a property manager, I have a lot of phone calls from tenants with some complaint or another. The boiler is often one of the ones people call up about. After all it is used for central heating, washing up, hot baths, and showers; we would be hard-pressed to cope without it working all the time.
So when a tenant calles up saying “my heating and hot water has gone off” before you immediately go to https://smartboilerrepair.com and book an emergency repair, ask this important question first: “what is the pressure gauge saying on the boiler?”. From experience, several of my tenants usually respond with: “the what?” and then it turns out the cause of their boiler ‘breaking down’ is a simple case of the pressure dropping off.
With the problem diagnosed it can be easy to sort out by the tenant or even by yourself. When there is no possibility of finding a solution or if further help is required (visit I Need The Plumber & Air Conditioning services as an example), it is prudent not to fix the problem yourself. Sometimes it’s a case of turning the boiler off for a while to let the pressure recover. If that doesn’t work it may be the valves that may require expert help. Obviously, I do my best to avoid sending out a plumber unnecessarily. But in some cases, I might need to look for plumbing services that can offer the expertise of a plumber to fix the boiler. This is just a quick and simple way to sort out your tenant’s troubles without costing you too much out of pocket.
In case you are low on budget, you can also install humidifiers on the property. They can help in quick heating on those chilly winter days and can work as an alternative to a faulty boiler. Humidifiers often require an electric supply and distilled water to function properly. Hence, you may want to buy distilled water in large quantities so that your humidifier will not run out of stock.
Today I came across a very helpful video from Jamie at Hydro Heat Plumbing and he explains why the pressures drops and how to re-pressurise the boiler yourself. This video may even save you from having to call the plumber, just so long as you know what you are doing.
I’ll be sending this round to all of our tenants and landlords so i wanted to share it with all of you too. Watch the full video HERE.
Without meaning to sound unsympathetic about things, the
Coronavirus is starting to become as repetitive as Brexit. Now that we’ve got Brexit
out of the way, the Coronavirus has literally infected the entire worlds media
and caused widespread panic. What is actually going to happen? Well, the simple
answer is, no one really knows.
One clever (not so clever) individual, Richard Murphy, a chartered accountant & political economist thinks it would be a good idea for tenants renting private accommodation to get a MINIMUM of 3 months free rent if they get the Coronavirus!
If I could use emojis on this blog it would be the one slapping it’s hand to it’s face!
All I can say to this is “Whaaaaaaaaaat????”. Just ridiculous! Richard Murphy is saying that the Coronavirus will have a “profound effect….on the economy”, yeah, no shirt Sherlock!! If, by some madness, this ACTUALLY happens, tenants may very well find them selves homeless anyway because the house that they are living in, rent free, will most likely be repossessed because the landlord will probably be unable to afford that additional cost per month. What if their landlord also has the Coronavirus and is struggling to pay their own mortgage? Ever think of that one Richard Murphy?? Honestly…some people (rolling eyes emoji)! For more of this insanity, you can read the full blog article here
If you want to talk sense about property rentals in Nuneaton, feel free to get in touch on 02477674545 or email firstname.lastname@example.org