David Boyd, Managing Director, PAD4U Letting Agents Manchester writes:

Shadow Housing Minister, Grant Shapps MP, will announce that should the Conservative Party form the next Government, they would reinstate Housing Benefit tenants’ choice to have rent paid direct to their landlords.

This would bring to an end the malfunctioning Local Housing Allowance which requires councils to pay rent directly to tenants who, in many cases, are failing to pass on these payments to their landlords.

Mr Shapps will make the announcement at a Crisis Conference in Birmingham this afternoon, saying:
“It strikes me that the current situation is bad for everyone and I can see no reason why people on Local

Housing Allowance shouldn’t enjoy the freedom to have their Housing Benefit paid direct to their landlord. Our proposal will de stigmatise the system and increase the amount of affordable homes available.”

Since the malfunctioning LHA was introduced in April 2008, not only has the NLA Campaigns Team been lobbying the Government to bring forward their LHA review but it’s also been meeting with the Shadow

Ministerial Teams highlighting the major problems LHA is causing.

On Tuesday we heard the good news from Conservative Campaign Headquarters: if elected, LHA landlords can expect changes. The NLA campaign continues and we will be putting pressure on the Government to announce exactly when they now intend to review the LHA.

PAD4U from the outset and been vocal in the opposition to LHA policy of paying rent to the tenant no matter what, even if the tenant prefers otherwise.  We’re glad to hear that the NLA have been presuming all political parties to reconsider this policy.

If Housing Benefit tenants are to make financial sense to landlords.  Landlords will need to be paid directly and for rent to take into account the greater wear and tear that occurs in Housing Benefit properties.

Until such time as the above policies are altered PAD4U will continue to take a very cautions approach and only recommend HB tenant in a special circumstances in agreement with the landlord.

Donna Weetman, Maintenance & Development Manager, PAD4U Letting Agents Manchester writes:

The days are getting shorter and colder and tenants are thinking carefully about whether a house will be warm and efficient to heat.

To help landlords we are running an offer and on uPVC door and windows given a genuine 10% discount on our already highly competitive prices.

PAD4U offer a Ten Year Guarantee
 (Independent Insurance backed Guarantee ).

Paul Robertson, Business Development Manager, PAD4U Letting Agents Manchester writes:

We currently have a landlord who is looking to sell eight of his rental properties in the Longsight/Gorton areas. Some of these properties are tenanted at present.

This would mean that any purchaser would have rental income from day one which would minimise any void periods which are commonplace with most new buy-to-let purchases.

Methuan Street Manchester M12 5TF      £69,995.

 Maida Street Manchester M12 4QQ         £67,995.

 Maida Street Manchester M12 4QQ          £67,995.

 Maida Street Manchester M12 4QQ            £67,995.

 Seddon Street Manchester M12   4GP          £67,995.

 Knutsford Road Manchester  M18 7AL        £55,000

 Highfield Road Manchester M19 3JX           £90,000

 Ollier Street Longsight M12 5US                  £79,950

 All are 2 Bedrooms except for 24 Highfield Road which is 3 Bedrooms. 

 If you are actively looking to build your portfolio then please contact me by email or telephone and I will arrange a viewing.  Please note given some of the properties are tenanted appointments must be arranged in advance.

 You can see photos and details online at www.pad4u.com.

 paul@pad4u.com

David Boyd, Managing Director, PAD4U Letting Agents Manchester writes:

With Nationwide reporting a 2% rise on year on year figures for October.  Is this a sign that the housing market is recovering?

“The last six months has seen a continued improvement in housing market sentiment on the back of rising demand and a lack of housing for sale,” said Richard Donnell, director of research at Hometrack. “Prices have firmed and the discount between sales and asking prices is back to the same level it was at the start of the credit crunch over two years ago.”

It may be too soon to call.  For instance month on month increases in property values have begun to flatten and as we enter into the winter months (traditionally weaker sales), we may see house prices stall perhaps.

The current market has also been unusual in that there are fewer instructions as people don’t try to list their house on the market, restricting supply and perhaps pushing prices up.  This likely to loosen up with more vendors put their property on the market.

Interest rates are also low and inter bank rates are normalizing, improving affordability.  However, large deposits are still required to get the best deals.  Given recent economic data we may see lower interest rates into next year.

The stamp duty holiday is soon to be over meaning stamp duty will have to paid on house price purchases between £125,000—£175,000.  Investors may wish to take advantage of the holiday before the end of the year.

Overall it’s very difficult to call whether we will see a double dip in house prices.  But investors should be taking a longer term view and basing their decisions on rental income (traditionally less volatile).  And although bank interest rates will become more attractive in the coming months, use realistic interest rates in their calculations.

There are good opportunities for investors with a long term view of the market.  In the short term leave it to the economists to judge where house prices will be in the coming months.