Recently, I went to view a property close to Hyde Park, in close proximity to Queensway. It is a freehold, and seemed like a probate deal, from the look and smell of the place. The road is a no through road, which means despite the location being close to all amenities, it is extremely quiet. It has the look and feel of a Mews street. The property comes with a garage, and an outside space; all of this consists of over 2,000 sq. ft.
I was told the property could be acquired for £1.25M. Very good, considering next door is on the market for over £3M. The difference between the two is that one has been extended into the loft and has had a basement dug out.
This is undoubtably a good deal, and the house is in a highly desirable location and street. The property is on the market for £1.65M, and given the market conditions, and the fact it is a probate, I was told initially we would be able to pick it up for £1.25M. This, however, was superseded by the sheer volume of interest the property has generated on the first day of viewings. They had over 30 applicants through the door. It’s easy to see why. This illustrates that despite the uncertainty in the environment, people on the whole still have an appetite for a good deal. All it means is they are more fussy with the product and the price. The appetite has not gone, it has been channelled for more desirable stock at keener prices. This market means one can discriminate to a greater degree when buying. When the market bounces back these will be the properties which will jump the highest in price.
This is an end user property, therefore, although the price and location create the initial interest, emotion in the end takes over; and there is a strong chance, given the interest, this property will go for well over the asking price. It will be interesting to see how much it will go for.
On the other end of the scale, we are also in the process of securing another deal which is in W2, near the desirable area of Little Venice. This is an ex council property, which will be a long term buy and hold. Ideal, due to the low service charges and long lease.
It’s a two bedroom which requires complete refurbishment. It is expected to rent well, minutes from Warwick Avenue station. It is a rarity, from the point of view of central London yields, as it will give a return of circa 5%. This is driven by the price we will be securing the deal at. You do not get 5% in London any more. Or rather I should say, it’s rare. Once you have paid the mortgage off, you should actually be left with some surplus.
Agony Agent is here to help!
Q: I have two unrelated tenants staying in my buy to let property. Do I need an HMO licence?
A: This would depend on the location of your property and which council controls the area. You may not currently need a mandatory licence, but some councils require an additional licence. I would recommend you contact your local council for further information. Change is fast approaching for HMOs!
As of the 1 st of October 2018, there are some important changes coming into effect. These changes could affect your current HMO or pull your current property into this bracket. Currently, pre October 2018, an HMO is defined as “a property occupied by 5 or more people, forming two or more separate households, and comprising three or more storeys”. Although, local councils may have their own criteria. One of the key changes that will come into effect, is the removal of the three or more storeys part.
Please do make sure you have a licence, and have complied with the changes prior to 1 st October 2018. It is really important to work with your local authority to get this right. If you need help, or if you would like us to do this for you, please get in touch.
Feed your mind
The mind is our greatest friend or enemy. It can be the seat of a strong and sagacious will, or it can be flickering and unstable like the wind. The mind is very sensitive to what we eat, and controlling it is far easier when we control our food intake. I am on day 18 of fasting every other day, and when not fasting I eat only natural fats, protein and 90% less carbohydrate.
This is known as a ketogenic diet.
The performance results are astonishing. My foot ulcer is cured. My diabetes 2 is reversing. I have lost 26 pounds and 6 inches off my girth. And my mind is so much faster and sharper. Furthermore, my energy levels are through the roof and, emotionally, I am happier and more grounded. Revolutionary!
So, how does what we eat impact on the mechanics of our psyche as set out above? In modern urban societies we get too much of our energy from glucose. Glucose is like the coal or diesel for the human body. It delivers the fuel but it is unstable. Instead of dealing with this underlying problem, we try to cope with the results of too much glucose. We are dealing with the problem superficially. Through a radical (but very tasty) change of diet, the energy that my body is running on means that my intelligence faculty, which advises the mind, is grounded and strong while my mind, which can
waver like the wind, is calm and centred.