The lowdown on…Basildon

At Balgores Property Group we operate in a number of key areas across Essex and Kent: some very familiar, some not so familiar. To give people more of an idea about the places we work in, we have decided to shine a spotlight on our various locations. Starting with Basildon…

The area

Originally created as a new town after World War II, Basildon came into being in 1948 to help cope with the population overspill from London. It is now home to more than 107,000 residents.

It’s a major commuter hub thanks to its excellent connections to Central London, the City and Canary Wharf. As a result of the town’s wide-ranging transport links, many Basildon locals are able to commute into the capital for work and leisure. Three local stations – Pitsea, Basildon and Laindon – ferry people to London Fenchurch Street, with fast trains getting you there in as little as 29 minutes.

Road links are also plentiful – the A13 and A127 run right round Basildon so you can get to the coast, London and the North with ease. What’s more, London Southend Airport is only a 15 minute drive away and provides flights to a number of popular European destinations.

If it’s shopping you’re after, you’re well catered for in Basildon. Eastgate Shopping Centre, which has been operating since 1985 and underwent a £10m refurbishment in 2007, is home to over 100 retailers, including Debenhams, Superdry, Next, Topshop and New Look. As well as high-street stores, there are also a number of popular food outlets and regular pop up events throughout the year. Redevelopment is ongoing, with the introduction of a brand new IMAX cinema and a number of new restaurants.

The town centre is also base for a number of high-street stores, shops, cafés and coffee houses, while the stylish and modern Towngate Theatre is the place for keen theatregoers to get their cultural fix. A varied programme of musicals, concerts and variety acts is on offer.

The sales market

As we said above, Basildon is a hugely popular commuter hub. Consequently, demand for homes here is nearly always high. The current average asking price is around the £262,395 mark – which, compared to London, is a veritable bargain. Buyers are likely to get far more bang for their buck away from the capital, with bigger houses and garden space on offer for less money.

Sellers can feel confident in getting the best possible price for their home, with all types of properties seeing considerable price rises in the last 12 months. The so-called ripple effect – where Londoners priced out of the capital seek more affordable homes elsewhere – and the ongoing lack of housing supply mean both prices and demand should continue to remain high in the foreseeable future.   

The rental market    

   

With a good commute time into London, Basildon is a realistic place to rent for a wide range of demographics – including students and young professionals. The average property rent here is currently just shy of £1,000 pcm, which could certainly be classed in the affordable bracket. As more people opt to rent over the next few years – more than 7 million by 2025 according to PwC – property investors and landlords can be confident in the fact that demand will be high and yields solid. In places like Basildon, where property is cheaper than it is in London, considerable yields can be achieved if homes are let and managed in the correct way.

What does the future hold?

Basildon’s status as a major commuter destination is not going to be disappearing anytime soon. As London’s population swells and more people start to look outwards, towns like Basildon are likely to benefit.

Plans for major developments totalling nearly £2 billion, aimed at regenerating the local area, are already in motion. These include the planned transformation of Basildon, Laindon and Pitsea town centres, as well as heavy investment in a new 'Sporting Village' and the Basildon Enterprise Corridor. Furthermore, there is set to be the creation of a new wetland reserve and a health and education centre near Basildon and Thurrock University Hospital, as well as further investment in housing and road infrastructure.

To contact our office in Basildon please call 01268 271110 for sales or 01268 280066 for lettings. If you would like to know how much your property could be worth in the current marketplace, why not check out our free and instant online valuation tool?

http://www.balgoresproperty.co.uk/News/14043/The-lowdown-onBasildon.aspx

2015 saw house prices rise by 14% on average in Essex

Last year saw house prices rise by an average of 14% in 2015, ahead of the national house price annual inflation of 5.6%*, according to a new report from Balgores Property Group, leading estate agents in Essex. (*Source: Land Registry House Price Index, December 2015).

Over the last 12 months, house prices have risen consistently across the county with prices in Romford, showing the highest increase, with a leap of 22% year-on-year, followed by Basildon, up by 21%; Chelmsford, up by 17.5%; Brentwood, up by 11.5%; Hornchurch, up by 8.5%; and Upminster, up by 5.5%. 

The average house price in Essex is now standing at £352,143, well above the above the national average of £186,325.

Fig 1 House Prices in Essex 2015 versus 2014 

	2015	2014	Percentage Increase
Basildon	£262,395	£216,856	21%
Brentwood	£379,224	£340,050	11.5%
Chelmsford	£339,200	£288,790	17.5%
Hornchurch	£347,783	£322,344	8.5%
Romford	£296,634	£242,197	22%
Upminister	£487,627	£462,166	5.5%

Martin Gibbon a Fellow of the National Association of Estate Agents and Group Director of Balgores Property Group commented: “House prices have been rising steadily in Essex, as demand has increased.  London property prices are driving home owners out of the City and many of these are choosing to live in Essex, attracted by it affordable accommodation within an easy commute to central London.

“Romford has seen the biggest jump in house prices - leaping 22% over the last 12 months.  Although this is partly down to the Crossrail, there are other factors influencing this price growth. For example, the stamp duty changes and the Government’s Help to Buy scheme has meant that first time buyers can afford properties in Romford, priced between £250,000 and £300,000 and this is driving increased demand.  Typically, first time buyers are purchasing 2-3 bedroomed properties, as they often have young children, or are thinking about starting a family.

“Over the last seven years, we have seen a sizeable price increase in Romford properties close to the station and this trend is likely to continue, until the Crossrail is fully operational in 2019. Currently, Romford offers excellent train links into Central London, as well as the vibrant shopping centre, famous market, good schools and a wide choice of attractive housing from Edwardian to new build properties.

“Chelmsford has seen a sizable leap in house prices – up 17.5% year on year.  The number of applicants has also risen by 42%, as the City continues to attract commuter and professionals, thanks to the redevelopment and investment in the City Centre.  Recently, Chelmsford was crowned one of the top five commuter hotspots, based not only on the average price of a home, but also the length of commute, frequency of trains and the likelihood of getting a seat in the morning.

“The micro market is Chelmsford just keeps growing, with the demand far outstripping supply on both the sales and letting sides of the business. Home buyers are attracted to Chelmsford because it offers professional couples and families affordable property; one of the best shopping centres in Essex; international restaurants, cafes and wine bars; the county’s historic 15^th Century Cathedral; good schools; and great transport into Central London.

“Basildon has also seen a large price hike of 21% and property prices there are catching up with some of the more expensive towns in Essex.  This is partly as a result of massive regeneration of the town and the wide choice of affordable property.  There is a good selection of older, character properties, as well as new housing developments in the area, including Acacia Park in Gloucester Park and Morello Quarter in Cherrydown East, which are attracting young families and professional couples to the town.  Basildon also benefits from the main road links with the A127 and the A13 into London and three railway stations serving the City.

“Homes in Basildon are selling like hot cakes and to cope with the huge demand, we have introduced ‘open house’ where one day, usually on the weekend, we arrange viewing slots to cope with the amount of interested buyers.  This is generating 10-12 buyers for each property.”

For further information, contact your local office or visit www.balgoresproperty.co.uk.

Rent prices in Essex rose by over 20% in 2015

Rent prices in Essex rose by an average of 20% over the last 12 months, according to a new report from Balgores Property Group.

The largest rises have been seen in Brentwood, where rents are up by 25% year on year.  It now costs an average of £1,409 per month to rent a property in the town. Chelmsford also recorded a large spike in rents (23%), followed by Upminster (21%), Basildon (20%) and Hornchurch (18%). Romford has shown the smallest increase in rents rises – just 13%.  

Basildon remains in the no 1 spot for the most affordable rental accommodation, with average monthly rent at £926.

Fig 1: Rent Prices – 2014 compared with 2015

Town	Average Rent Prices 2014	Average Rent Prices 2015	Percentage Difference
Brentwood	£1,122	£1,409	25%
Chelmsford	£1,380	£1,699	23%
Romford	£978	£1,107	13%
Hornchurch	£1,213	£1,432	18%
Basildon	£771	£926	20%
Upminster	£1,722	£2,084	21%

Howard Lester, Director of Balgores Property Group comments: "Our latest data shows that Brentwood has seen recorded the highest rent price over the last 12 months. Brentwood has a vibrant town offering a great selection of shops, bars and good restaurants.  In addition there are good quality state and private schools providing the best in education.

“The cross rail line is also pushing up demand for rental properties in Brentwood. In 2018, Shenfield will become the terminus of Crossrail.  Trains run via Brentwood and Shenfield every 10 minutes to Liverpool Street (40 minutes) and it is just a 40-minute drive to Stansted airport.

“Many families and young professionals are attracted to Brentwood by the plentiful green space, good schools and very low unemployment rates that it offers. Located amongst picturesque Essex countryside with delightful local parks makes Brentwood an ideal retreat combined with convenient access to the city both by road and train.

“Chelmsford has also recorded a large hike in rent prices and it now cost an average of £1,699 to rent a property in the City.  Voted in the top ten places to live for quality of life in 2013, Chelmsford is one now of the most popular places to live in the South East. The City is constantly expanding and new businesses are moving to the area, including such retail giants as John Lewis and Waitrose. 

“The City’s dynamic is truly multicultural, but still retains much of its original county town charm in many of the surrounding districts. In addition, the City enjoys some of the best schools in the county including New Hall, King Edward VI Grammar School and Chelmsford County High School for Girls.

“Basildon remains the most affordable town, despite seeing a rise of 20% in rent prices over the last 12 months. Basildon has been recently crowned the most affordable location to live for workers commuting into London, due to the town’s affordable accommodation and cheap rail travel.

“Basildon also has main road links with the A127 and the A13 into London; three railway stations going into the City; colossal redevelopment by the council; and large investment in the area, bringing new employers and new jobs.”

For further information, please visit www.balgoresproperty.co.uk.

Right to Rent Checks explained

Life as a landlord can be complex. The lettings sector is fast-paced, with legislative changes continually being rolled out and enforced.

The latest in a long line of measures to be introduced is the Right to Rent scheme.

Here at Balgores Property Group, we’ve put together a handy series of questions and answers on the topic to ensure that all landlords remain up-to-speed on this latest legislative change…

What is Right to Rent?

In the UK, only those with the permission or right to be in the UK have the legal right to rent property, and those who don't consequently are not allowed.#

It was announced by Home Office ministers last year that it is to become compulsory for all landlords to check prospective tenants' documents to ensure that they have a right to rent property legally, known as the Right to Rent scheme.

What does a Right to Rent check entail?

Your Right to Rent check should begin by checking which adults will be living at the property as their main or only home, before requesting to see original documents that permit the tenant to legally live in the UK.

While the tenant is present, you must check the documents are genuine, which can be done by looking at the photograph, or ensuring that the date of birth matches up across all documents.

You must then make and retain a copy of the documents, taking note of the date that the check was completed.

What is the reason behind this new legislation?

The Right to Rent scheme was first introduced as a pilot scheme in parts of the West Midlands in December 2014, and this extension across England is the next phase in its nationwide roll-out.

It was initially developed as part of wider reforms to the immigration system to make it fairer and more effective. James Brokenshire, Immigration Minister, says that the scheme “is about deterring those without the right to live, work and study in the UK from staying here indefinitely.”

When does it come into play?

The Right to Rent scheme officially comes into play on February 1^st, so landlords only have a couple of weeks to ensure that they have implemented the new system into their pre-tenancy process.

That said, the Home Office recently encouraged landlords to begin the checks now as they can be carried out up to 28 days before the start of a tenancy – so anyone being checked in January would qualify.

What happens if you fail to comply?

If you fail to complete the checks and it is discovered by the Home Office that you are letting property to an illegal migrant, then you may be liable for a civil penalty up to the value of £3,000.

The amount you will be required to pay will be dependent on whether it is your first offence and whether you are letting to a lodger or letting private accommodation.

Whose responsibility is it to carry out the checks?

The responsibility falls to the landlord to carry out the necessary checks and obtain all documentation from tenants.

However, some landlords may instead choose to enlist the help of a well-respected and trustworthy letting agent such as Balgores Property Group.

If this is the case and you require an agent to carry out the checks, then a written agreement must be drawn up, transferring all responsibility across.

Who's immigration status am I required to check?

When completing the Right to Rent checks, it’s crucial you check every tenant over the age of 18. However, as a landlord, it is also advisable to keep an eye on those approaching the age of 18 to ensure that they are checked when they come of age.

If you require assistance in carrying out the necessary checks, then why not get in touch with Essex and Kent based estate and letting agent Balgores Property Group?

If you need further advice on becoming a landlord, then we also offer a free landlord guide.

What's more, you can take advantage of our free online property rental valuation tool to discover how much rent you could earn in the current local market. 

http://www.balgoresproperty.co.uk/News/13743/Right-to-Rent-Checks-explained.aspx