House Prices in Romford Soar by 24% Year on Year

House prices in Romford have soared by an average of 24% over the last 12 months, while Essex as a whole has recorded a much lower average price increase of 11% year on year, according to new research from Balgores Property Group.

A three bedroomed detached property in Romford in now sitting at £377,335, up from £285,904 in 2015. Chelmsford has also seen a large rise in house prices, up 15% year on year, followed by Hornchurch up 11%, Upminster up 9% and Basildon and Brentwood up 4%.  

Fig 1 Average House Prices 

Office	Average House Price May-July 2016	Average House Price May-July 2015	Percentage Difference
Basildon	£268,226	£255,148	4%
Romford	£377,335	£285,904	24%
Chelmsford	£366,667	£284,000	15%
Brentwood	£385,000	£369,000	4%
Upminster	£456,714	£418,333	9%
Hornchurch	£402,498	£360,234	11%

Martin Gibbon, a Fellow of the National Association of Estate Agents and Group Director of Balgores Property Group comments: “Upminster tops the league table for property prices, with an average three bedroomed detached property setting you back £456,714.  A similar property in Hornchurch will now cost you £402,498.  If you are looking for more affordable property, look to Brentwood where an average three bed costs £385,000 on average or Chelmsford, where you will pay around £366,667.  Basildon boasts some of the cheapest property prices in Essex and it’s here that you can get an average three bed in the region of £268,226.

“Our figures also show that Romford has seen prices soar by 24% over the last 12 months.  This is partly driven by Crossrail and properties within walking distance of the train station have seen prices jump significantly. 

“We are seeing growing demand from buyers who are looking for more affordable homes outside London, but within a comfortable commuting distance. The buy-to-let market is also strong in the town and there has been a steep rise in landlords looking to acquire property, attracted by the excellent yields.

“Romford offers home buyers a vibrant shopping centre, with a great blend of high street shops, cafes, bars and restaurants. The town also has a good selection of primary, secondary schools and colleges, plus great leisure facilities, including Raphael Park and various sports venues.

“Chelmsford is also experiencing a strong demand for property, which is pushing up prices 15% year on year. Families and professional couples are attracted to Chelmsford because it offers affordable property; one of the best shopping centres in Essex; international restaurants, cafes and wine bars; the county’s historic 15th Century Cathedral; good schools; and great transport into Central London.”

Dirty Properties are a Growing Problem for Agents

Since the introduction of tenant deposit protection in 2007, cleaning has been the number-one cause of disputes and the problem is getting worse, according to Imfuna Let.

The latest data from the Tenant Deposit Scheme shows that cleaning continues to take the lion’s share of deposit disputes, up almost 50% over the last five years. Cleaning has consistently been the most common dispute in cases brought to the TDS and arises in around half of the cases they deal with (58%). 

According to Imfuna, agents and landlords are increasingly facing filthy properties at the end of tenancies. Jax Kneppers, founder and CEO explains: “Many tenants claim their landlord or agent failed to make it clear that the property should be left clean at check-out. It is essential that landlords and agents conduct a thorough inventory, with photography and detailed descriptions on the condition of the property at the start of the tenancy. This ‘proof of condition’ should be shared with the tenant when they are issued with the tenancy agreement. 

“The biggest problems that agents and landlords face are dirty ovens and fridges; stains and marks on carpeting and flooring; bathrooms which have not been cleaned for months; and pet hair and excrement on floors, furniture and soft furnishings.

“At the check-out stage, the tenant should be made aware of the areas requiring cleaning and the potential cost involved. It is important to remember that the tenant is only obliged to return the property in the same state of cleanliness as at the start of the tenancy, after allowing for fair wear and tear."

Howard Lester, Director of Balgores Property Group comments “We have seen a sharp rise in the number of properties that require professional cleaning services at check-out over the last 12 months. There is a definitely a lack of respect for property amongst tenants and it appears that they are happy to live in dirty accommodation. Many tenants fail to leave their property in the same condition when they leave a property and we have seen many properties in a filthy state at the end of the tenancy.

“At a recent check-out, the property was left in a disgusting state. The tenants had not cleaned the oven for months and it was caked with grease and spills on the hob and on the inside.  Bags of rubbish were left in the kitchen and the worktops were filthy with grime. The carpets were heavily marked with pet excrement and numerous spills.  The garden was left with an old washing machine, rusty bikes and worn-out tyres. It cost the landlord several hundred pounds to have the property professionally cleaned.

“Tenants are often shocked to realise that professional cleaning can be costly, depending on the area and type of work required. Some tenants think cleaning issues are just normal wear and tear.”

Imfuna Let has put together the most common cleaning problems at check-out:

-     Ovens - cause the most problems.  Burn marks to any part of the appliance means it is not clean.

-     Stained and marked carpets – this is a very common problem and tenants do try to hide stains with furniture and rugs.  Tenants are also known to cut out the stain and fill the hole with carpet they have cut from a hidden part of the property, e.g. under the bed

-     Heavy limescale to kitchen and bathroom taps and showerheads – the response of tenants is often 'It’s not my fault, this is a hard water area'

-     Grease deposits throughout the kitchen – on surfaces and cupboards may look clean but will feel sticky to touch.

-     Thick dust and cobwebs, particularly around furniture and on the ceilings
The Imfuna Let digital inventory app embraces the core skills of the inventory inspection routine and dramatically enhances the end product to produce a fast, reliable, professional report that, if needed, will stand up in court. Imfuna Let provides simple deposit scheme compliance, comprehensive property inspection data, transcribed dictations from your mobile device, fully customised branded reports, and a property report history available 24/7.

Imfuna Let streamlines the reporting process and reduces the overall process from property data capture to report generation by up to 75%. Imfuna Let can be used on current Apple or Android devices. Technology you can depend on.

Embrace the ‘Power of Digital’ in 2016 : Free Trial at www.imfuna.com/let-uk/

Steep Rise in Tenants Looking to Rent in Essex

A new report from Balgores Property Group reveals there has been a steep rise in tenants looking for property to rent in Essex, up 36% year on year.
Basildon has recorded the largest leap over the last 12 months, with a 68% rise in tenants looking for rental property in the town, followed by Chelmsford (48%), Upminster (40%), Hornchurch (35%), Romford (15%) and Brentwood (12%).

Balgores has also seen a sharp rise in the number of landlords registering their rental properties with the agency.  The largest rise in landlords has been seen in Hornchurch, where there has been a 59% increase year on year.  Basildon has also recorded a steep rise in landlords, up 48% followed by Romford (36%), Upminster (34%), Chelmsford (25%) and Brentwood (12%).

Howard Lester, Director of Balgores Property Group comments: “Our figures show that there are increasing numbers of tenants looking for rental property in Essex, especially Basildon where rental prices are affordable.   For example, the average rent price for a three bed semi-detached house is £1,000.00 pcm.  If a tenant wanted to purchase a three bed property in Basildon, they would have to pay around £263,000 and raise a deposit of at least £13,150.

“Most tenants are choosing to rent a property in Essex rather than buy, for social and financial reasons. Many tenants live in an area where they could never afford to buy, so they can be close to family, friends and work.  Although some tenants could afford to purchase a home if they moved to a cheaper location, many don’t want to sacrifice their social life, or face a longer commute to work.

“There's a long-held view in the UK that people rent only because they have to, but for many, it is a lifestyle choice. Renting is less hassle and responsibility than buying. For example, if the boiler breaks down or the roof starts leaking, the landlord will get it fixed.  Tenants don’t have to worry about funding expensive repairs or maintaining a property.

“However, tenants are made to feel like second class citizens and renting is seen by many, as the poor alternative to buying a property. The bottom line is that tenant’s face ever rising house prices and stagnating wages and the rental market provides good stable homes to live in. In fact, rental property now provides almost 50% of the total housing stock in the UK"

“Unfortunately, there is constant bashing of the buy-to-let market by the media and Government.  The majority of landlords provide comfortable and quality properties to a growing band of tenants who see them as their homes. With so many people now renting out of choice, attitudes to the rental market must change. Both landlords and tenants are making a significant contribution to the British economy.”

For Sale signs – are they important when selling your home?

For Sale or not For Sale, that is the question. Excuse the dodgy ripping-off of Shakespeare, but the point remains – are For Sale boards still of any use in the modern, online world or are they a waste of time and money?

It’s a debate that causes a fair bit of division, with those in favour of For Sale boards arguing that it’s still a very useful marketing tool, an excellent way of gaining extra exposure and a beacon for opportunistic, instinctive buyers – the ones who make split-second decisions about a property as soon as they lay eyes on it.

Those standing against For Sale boards, however, argue that they are an eyesore with no function in an increasingly digital environment.

Below, using our experience as estate agents working across Essex and Kent, we take a look at the pros and cons of having a board up outside the home you are looking to sell...

The benefits

The main advantage of having a For Sale board is that it attracts attention to your home. Those driving or walking past might notice it, like what they see and follow up this initial interest with something more concrete. Out of nothing, you have your lead. You have a possible offer.

There is also the power of association argument – people still strongly associate For Sale signs with estate agents. As soon as they see one, they put two and two together immediately.

If you want to sell your home, you want interested parties to know instantly that it is available – a For Sale board can help you to do that.

Equally, word of mouth can still be very important, even in this day and age. A person might walk past your home and see the For Sale sign, subconsciously noting that the property is up for sale.

They may know someone who is looking to buy – a friend, a neighbour, a loved one, a work colleague, etc. – and pass on the information about your property when it crops up in conversation.

Person A: “We’re looking to buy fairly central, fairly close to the high street.” Person B: “Oh, have you checked out that property for sale near the church, the one with the big For Sale sign outside?” Word of mouth, even now, can still spread fast.

It is likely to be especially important in smaller towns and villages, where gossip gets around much quicker and there is a higher chance of lots of people knowing each other.

The downsides

Are For Sale boards really necessary when so many of us now live our lives online? The majority of people head first to the portals – in particular Rightmove and Zoopla – when it comes to browsing for property. Thousands of properties are a mere click away.

The exposure your property can get online – on a local, national and even worldwide scale – is much, much more than you’d ever get from a For Sale board, which is only likely to attract comparatively few local people.

Some also believe that the days where opportunist buyers go on the hunt for For Sale boards or act on off-the-cuff interest are long gone, leaving the signs without any real purpose.

People argue, too, that word of mouth just doesn’t have anywhere near the same level of power (or reach) that the internet possesses.

There are those, too, who believe that For Sale boards are simply a blight on the landscape – tacky, off-putting eyesores that are often kept up too long and appear to serve no useful purpose.

There is an argument that streets with lots of For Sale signs might actually act to put buyers off.

They might quite reasonably ask why so many people are seeking to leave the area in question – what’s so wrong with it? 

With a For Sale sign in tow, you may also feel the wrath of your local council or your fellow residents.

We have seen plenty of recent stories in the press about local councils and local residents moving to ban For Sale signs from their areas.

It’s probably not the best idea to annoy your neighbours or your local council if you are trying to sell your home, so you need to weigh up whether having a For Sale board has more benefits than downsides.

As we’ve outlined above, there is good arguments on both sides of the coin. You will need to work out what is best for your particular sale.

At Balgores Property Group, where we have a number of branches, from Romford to Hornchurch, we will do all we can to get your property sold – whether you opt for For Sale boards or not.

Contact us at one of our many offices or take advantage of our free and instant sales valuation tool. 

Record Number of Houses Sold in Havering in July

Balgores Property Group exchanged on £20m worth of property in the borough of Havering in July, breaking all of the company’s previous records.

Matthew Butler, Area Director of Balgores in Havering, commented: “Our figures show that post Brexit, the housing market across Havering is booming.  We exchanged on record breaking figures in July.

“House prices across Romford, Hornchurch, Upminster and Rainham have also increased in July, up by an average of 12% year on year.  Demand for property in Havering is strong as ever.

“Romford is seeing record demand for property, thanks to the excellent transport links into London, enabling commuters to reach the City within 20 minutes. Many professional couples are moving from East London, because they are priced out of the market.  By relocating to Romford, commuters can save tens of thousands of pounds purchasing their home. The average cost of a 2-3 bedroomed house within walking distance of the train station is now sitting at £320,000.

“Romford also offers a wide variety of affordable, contemporary and period homes.  The town has a vibrant shopping centre, with a mix of high street shops, cafes and a traditional market dating back to C1247.

 “There are many new housing developments being built in Romford and this is due to rising demand for property in the town, partly driven by Crossrail. Buy-to-let investors have also been heavily investing in the town and this has driven up prices.

“Hornchurch has seen prices and demand rising steadily over the last 12 months. With its variety of bars and restaurants, along with lovely countryside walks, it is attracting families and commuters who want fast transport links to London. There are plenty of parks, woods and fields to enjoy and Hornchurch offers great access to the city, country and coast.

“Upminster is a very attractive location for commuters, with services to Fenchurch Street in just over 20 minutes and great transport links to the City and the Essex Coast.  The town boasts a wide choice of shops and restaurants, including independent specialist retailers and high street names. Upminster is very popular with young professionals and families.”