Brexit has caused uncertainty across many
industries including the Buy to Let Investment Sector. Up to a third of
property investors have not invested since 2017 when the official Brexit
negotiations started.
The survey from Censuswide found that 60% of property investors have continued to invest since the 2016 Brexit referendum, others are thinking of investing and 17.1% are waiting until after Brexit before they invest again.
Most of the investors who took the survey
think that the buy to let market will recover strongly over the next 3-5 years.
However, there are opportunities to be found now. The uncertainty has created new below-market deals and although there is speculation as to what will happen to prices in the market with Brexit (or no Brexit) if you buy at the right price your investment should be protected.
As soon as the market starts to pick up
finding those below market value investments can be made more difficult.
No-one knows whether Brexit will happen
next month or not so the question for investors is how long are you planning to
keep your investment for?
If you’re looking at 5-10 years on your buy to let investment, then why not invest now and start delivering returns?
We have some great deals and investments. Check out our latest blogs for great investments in Sheffield and Bradford.
Sheffield
Bradford
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Knight Knox’s latest development, located at the strategic heart of the country in South Yorkshire. Sheffield is known nationally and internationally for its highly skilled workforce and quickly-growing business sector.
Sheffield is at the heart of the Sheffield City Region – the UK’s most centrally located region – and is one of the UK’s core cities which helps to drive the national economy.
More than 2.1 million people live within a 60-minute commute of Sheffield and provide a highly skilled workforce for the city’s world-class businesses and industries.
The Development
The 131 apartments at Great Central are spread over eight storeys and wrapped around a large landscaped courtyard. Private car parking is available on selected apartments and all residents will have access to secure bicycle storage.
Every apartment is designed to be bright and airy, and the large living spaces really set Great Central apart. Residents will benefit from a state of the art fitted kitchen and a modern bathroom, with some apartments also enjoying large balconies.
With a mixture of studio, one, two and three-bedroom apartments, Great Central is sure to be in high demand with renters. Each apartment will be fully furnished with a stylish finish. With Sheffield’s renaissance in full swing, Great Central is sure to be popular with the many people looking for high-quality accommodation in the city.
131 apartments split into studio, one, two and three-bedroom.
Balconies with city views
Private landscaped courtyard for residents
Secure cycle storage and 20 parking spaces
Located next to the trendy Kelham Island District
Prices from £90,000
25% on exchange plus 50% furniture, 10% 6 months after exchange (remaining 50% of furniture), remaining balance payable on completion
Developed by Qualis Developments, and managed by Intus Lettings
The Figures – Rent & Sale
Studios: £425 – £500 pcm (Update: Studios SOLD OUT)
One bed: £500 – £600 pcm
Two beds: £650 – £750 pcm
Three beds: £850+ pcm
Studios: £90,000 (Update: Studios SOLD OUT)
One bed: £95,000 – £120,000
Two beds: £150,000
Three beds: £250,000 – £280,000
Great Central – where is it?
8-minute drive/15 minute walk to Sheffield city centre. Approximately 0.7 miles
Just a 5-minute walk from the Kelham Island area
Located opposite a charming waterside pub!
Less than a mile from Sheffield’s lively city centre and next to the vibrant Kelham Island, the city’s residential hub for young professionals, Great Central’s location is unrivalled and will offer tenants a high-end urban lifestyle near the banks of the River Don. There is a great range of amenities close to the development, as well as a popular local riverside pub and restaurant opposite, which offers stunning waterside views.
Growth
The proposed Sheffield Devolution Deal would give the region £1.3bn to spend within the region to improve infrastructure, transport, housing, skills and other drivers of the local business growth which powers the economy.
The Sichuan Guodong Construction Group (China) has committed to investing £1bn into Sheffield over the coming decades in a bid to change the face of the city centre.
The Olympic Legacy Park will provide a place for approximately 3,000 people to work, learn and research.
Development of a new Retail Quarter. This £480m development will create significant amounts of retail and office space, including regional headquarters for HSBC which is the anchor tenant for the scheme.
The Construction
A great development and opportunity for investors. There has been a lot of interest in this development.
If you would like more information please contact us. Click Here
Sheffield, one of the UK’s fastest-growing and most exciting cities with an ever-growing need for private rental property.
The city is comparable to how Manchester was a few years back and has some amazing new investments, projects and figures to make this one of the investment hotspots in the UK.
More than £2.5BN is being invested in Sheffield over the next decade to continue the development of the city centre. A city which is already extraordinarily popular with businesses and young people will only continue to grow and become more vibrant.
It’s Advanced Manufacturing Park alone is home to more than 40 World Class Companies and the city is also home to household names such as Mclaren Automotive and Boeing UK.
Sheffield’s population is predicted to grow by almost 15% by 2035 and a link to HS2 has been proposed.
This growth in the city is expected to increase rents up to 22% over the next 5 years and to date, house prices have increased by nearly 30% in the last 5 years.
Invest Leeds see Sheffield as one the UK’s biggest investment hotspots and we have some exciting investment opportunities coming up.
Keep an eye out! Below is some more background and detail on this wonderful city and its investment potential.
Thanks for reading.
Jo Fox, Founder Invest Leeds.
St. Pauls Place
Sheffield, Facts, Stats and Interesting Things!
The UK’s most centrally located city region – at the hub of key road and rail networks.
2.1 million people live within a 60-minute commute of the region making it England’s third-largest metropolitan region.
The population of the city itself is expected to increase by more than 75,000 in the next 25 years, an increase of almost 15%
Core sector strengths include advanced manufacturing, creative and digital industries, business services, logistics, low-carbon industries and healthcare technologies – much like Manchester
Home to world-leading manufacturing and engineering companies, including Boeing, Rolls-Royce, Tata Steel, Siemens VAI, Koyo Bearings, Bridon International, Pegler Group and Outokumpu.
Home to the strategic operations of major organisations such as HSBC, B Braun, Aviva, DLA, Polestar, Sandvik, IKEA, Amazon and ASOS.
Proximity to major UK business centres in Manchester, Leeds, Birmingham – and only two hours by train from London.
Britain’s most concentrated and popular higher education destination outside London, with 12 universities less than an hour away providing more than 313,000 students and 92,000 graduates per year.
Hosts engineering, technology and materials research centres of excellence at the University of Sheffield and Sheffield Hallam University.
Sheffield is the only UK city to have a national park within its boundary – and is home to the UK’s largest theatre complex outside London.
Highest ratio of trees to people of any city in Europe!
Sheffield City Tram
Chinese Investment
Last year the Chinese announced a £1bn investment into Sheffield which aimed to “change the face of the city”.
This is a 60-year commitment which is set to create “hundreds if not thousands of jobs” over that timeframe. An initial £220m will pay for four or five city-centre projects in the next few years and the work will go on from there.
The deal is between Sheffield City Council and Sichuan Guodong Construction Group, one of China’s largest developers.
They were drawn to Sheffield because of the strong university links the city has with China and the outstanding future potential. Sheffield steel and manufacturing is well known to the Chinese.
HS2 – Sheffield is a major stop on the HS2 route which will now run into the city centre on the way to Leeds. This will reduce journey times, encourage business and help drive growth.
Devolution – The devolution deal for Sheffield City Region has provided £1.3bn to be spent over the next 30 years on infrastructure, housing, transport, skills and other drivers of business growth.
Another aim of the deal is to create 70,000 jobs over the next decade.
Advanced Manufacturing Innovation District – Sheffield knows itself as the city of makers and is reinventing its industries for the 21st century.
This new advanced manufacturing park is their equivalent of MediaCityUK and has similarly massive global tenants such as Rolls Royce, Boeing, McLaren, Toshiba, Tata Steel and Sheffield Forgemasters (see big companies section below for more info on some of the recent investments made by these companies). This Innovation District was built in partnership with the city’s two universities and is home to world-leading research and manufacturing in areas as diverse as aerospace, defence, transportation, nuclear, oil, gas and healthcare.
This district is based around the 200 acre Sheffield business park which has been seeing big investment over the last ten years and is a major driver of growth across the region and the North as a whole.
Enterprise zone – Sheffield has an enterprise zone on the M1 corridor which offers business rates relief, simplified planning conditions and a range of financial and infrastructure support from the council.
Sheffield Retail Quarter – This is a world-class quarter being built in the city centre which will open up a huge amount of space for business. Construction is due to start soon and is set to be completed in 2019.
Olympic Legacy Park – This is part of the Innovation District and will be home to internationally recognised research in health and education. When finished, it will provide a place for approximately 3,000 people to work, learn and research. This is being done by a partnership between the universities, the NHS and the City Council.
This is a £55m investment which covers 35 acres and is set to be finished in 2017. It took its inspiration from the Advanced Manufacturing District, much like how lots of things in Manchester have taken inspiration from MediaCityUK
Big companies which have invested in Sheffield
recently
McLaren Automotive – McLaren has invested £100m into Composites Technology Centre, reshoring jobs in the UK in partnership with the universities which will create 200 jobs. Building their supercar chassis here. Part of the previously mentioned Advanced Manufacturing Innovation District.
Boeing – Sheffield has been chosen as the site of Boeing’s first factory in Britain and will be investing £20m in a 25,000 sqft factory in the Advanced Manufacturing Innovation District. Parts for 737s and 777s will be made there when it opens in 2018. Boeing currently employs more than 2,300 staff in the UK so expansion of their manufacturing arm is likely and Sheffield will continue to benefit.
Sky Betting and Gaming – Recently pledged a further £3.5m investment in Sheffield which will create 160 jobs. Sky has extended its Sheffield premises three times since their office in Sheffield first opened which goes to show how good the city is for businesses
Jaywing – Jaywing is an international media company which is headquartered in Sheffield. A new HQ was built and opened this year called Albert Works which has kickstarted a wave of regeneration in the local area.
HSBC – HSBC has invested millions into Sheffield’s New Retail Quarter and is the anchor tenant for the scheme. The 15-year lease on a 140,000 sqft office indicates the confidence which the bank has in the city.
Sheffield Forgemasters – This is a 177-year-old family-owned company which helped make Sheffield Steel famous around the world. They still have a big presence in the city and have recently made a £6.5m investment in a new precision machining centre in the city. As cheap steel from China and elsewhere gets dumped and pushes prices down, places like Forgemasters which do precision engineering are the only sort of heavy industry which will survive in this country. It is the type of business which is part of the fabric of the city.
The average increase of property in Sheffield is 4% a year, confirmed by Rightmove.
Sheffield is one of the UK’s top ten most affordable cities to live in and is therefore extremely attractive to tenants looking to move away from more expensive cities like London, Manchester and Leeds.
Sheffield City Council has been applauded for its innovative approach towards building. The Sheffield Housing Company – a public and private collaboration – is building a lot of houses in areas which were previously run down which is helping to regenerate the city as a whole.
All apartments in the project are spacious, with the clever use of natural and electrical lighting, the apartments are light and airy, providing truly special homes. Communal areas will be provided, including a games room, common room, lounge and gym.
Apartments are available for just £49,000
The first stage of apartments are now completed and the remainder will be ready by October. Due to being a conversion, everything is new and covered by warranty, therefore no maintenance issues are expected.
The University
As well as a
world-renowned university, Bradford campus also has a college, student village,
Fieldhead Business Centre and Listerhills Science Park.
Bradford
University enrolls 11,000 students annually and there is a shortage of good
quality student accommodation in the area.
Bradford
University is ranked 7th in the UK for Graduates Employment, many of these
students chose to remain living in the city. As well as the broadcasting
industry, the University has strong links with local business and offers
courses which lead directly to qualification in a job, such as healthcare
courses.
The Area
Bradford is a
city of 350,000 and is situated in West Yorkshire, on the edge of the Yorkshire
Dales National Park.
Bradford has
several major employers, with many national companies making the city their
home; including Morrisons, Yorkshire Building Society, Yorkshire Water,
Santander Bank, JCT600, Safestyle UK, Hallmark Cards, Provident Financial and
Seabrook Crisps.
Bradford is home
to 2 FTSE companies, more than any other Yorkshire City.
The City is
served by the M62 and M606 motorway, along with 2 City Centre Train Stations
and a bus interchange linking Bradford to other parts of West Yorkshire and
beyond. Leeds-Bradford International Airport lies to the north east of the
city, giving international air links, as well as being home to Jet2 Airline.
Bradford has
experienced great gentrification, with £75 million being awarded to the town, a
number of City Centre iconic Buildings have been restored, the central £25
million “Bradford City Park” attracts visitors from across Yorkshire, the
National Science and Media Museum brings visitors from across the UK and
beyond.
The economy in
Bradford is strong; once an industrial powerhouse now experiencing growth as
part of the Northern Powerhouse, the economy is worth £9.5 billion, the 2nd
largest in West Yorkshire, after Leeds. The economy in the wider Yorkshire
region grew by 3.03% in the 12 months of Q2 2018 – Q2 2019.
The Numbers
Apartments are available for purchase at £49,000. They will rent out at £100 per week.
Expected yields are between 8-10%. No sourcing fees!
A great investment opportunity.
If you would like more information, please contact us here.
A different format for PPN this month to give you even more!
This is your opportunity to kick-start/reboot/hit the ground running after the Summer holidays.
Whatever you’re doing in property, this event has experts that you can speak to directly, and not just for 5 mins at the end of the night.
Buy-to-lets, property finance and lettings are just some of the topics you can quiz experts in. And, if that’s not enough, you will have the opportunity to switch experts and learn even more.
I’ll be one of the Masterminds at this event covering Sourcing, Buy to Let and much more.
Imagine the impact you could have on your business if you just got the answer to your biggest challenge right now and how much you could get done before the end of 2019 by taking action right now.
Full details of who’s coming to Sheffield will be released on the PPN Page.
Tickets to this event are limited because as only a few people can sit with each expert, so do yourself a favour and secure your seat with an expert now!
I am excited to announce a new Pendsey Trust campaign that Invest Leeds and myself are sponsoring.
The 11.11 Campaign.
We have set ourselves the challenge of raising enough money for 200 Frio pouches to keep insulin cool for the young people we help, by 11.11 this year and because each one will cost £11.11!
And so the 11.11 Campaign Challenge is born!
In India, obtaining affordable insulin is simply the first challenge.
Many children we work with have no access to electricity or refrigerators in their basic homes, and they struggle to keep insulin cool, particularly in soaring summer temperatures.
The need to keep their insulin cool is yet another barrier for them in attending school, where there may not be access to a fridge, or where they may have to walk several hours in the heat.
Last year, Frio kindly donated 200 pouches for us to distribute in India and this turned out to be life-changing for many of these young people.
This year, they are unable to help us, but we are determined to continue making this difference.
Anyone can donate a pouch by texting POUCH11 to 70085.
Landlord’s Rent Protection Insurance also referred to as rent guarantee insurance, guarantees you receive your rent should your tenants be unable to pay. It helps when the unexpected occurs.
Rent Protection Insurance covers missed rental payments, cost of eviction, void periods, post-eviction and includes cover for Legal Expenses.
If you’re a landlord who depends on the monthly rental income to pay the mortgage on your properties, or for other reasons, this type of insurance can be useful.
Do I need Invest Leeds Rent Protection?
Rent Protection with us can give you peace of mind once you have let your property to a tenant. It has been designed to provide you with some added protection when you are renting out your properties to tenants.
Why should I join Invest Leeds Rent Protection?
Even the best tenants can have their circumstances suddenly change, resulting in them no longer being able to pay the rent.
Whether you’re relying on the rent to cover the cost of the mortgage on your buy-to-let property or you’re letting to new tenants, Rent Guarantee ensures you can still receive your rental income.
We make sure all tenants pass Invest Leeds Referencing.
Referencing is required for each tenant named on the Assured Shorthold Tenancy Agreement and for the full rent outlined in the agreement.
How do I qualify for Invest Leeds Rent Protection?
Our Rent Protection is available on properties we manage. Simply place your property with us and we can offer you our exclusive Rent Protection.
*Invest Leeds Rent Protection is not available as a stand-alone product.
Landlord’s Rent Protection Insurance also referred to as rent guarantee insurance, guarantees you receive your rent should your tenants be unable to pay. It helps when the unexpected occurs.
Rent Protection Insurance covers missed rental payments, cost of eviction, void periods, post-eviction and includes cover for Legal Expenses.
If you’re a landlord who depends on the monthly rental income to pay the
mortgage on your properties, or for other reasons, this type of insurance can
be useful.
Do I need Invest Leeds Rent Protection?
Rent Protection with us can give you peace of mind once you have let your property to a tenant. It has been designed to provide you with some added protection when you are renting out your properties to tenants.
Why should I join Invest Leeds Rent Protection?
Even the best tenants can have their circumstances suddenly change,
resulting in them no longer being able to pay the rent.
Whether you’re relying on the rent to cover the cost of the mortgage on
your buy-to-let property or you’re letting to new tenants, Rent Guarantee ensures
you can still receive your rental income.
We make sure all tenants pass Invest Leeds Referencing.
Referencing is required for each tenant named on the Assured Shorthold Tenancy Agreement and for the full rent outlined in the agreement.
How do I qualify for Invest Leeds Rent Protection?
Our Rent Protection is available on properties we manage. Simply place your property with us and we can offer you our exclusive Rent Protection.
*Invest Leeds Rent Protection is not available as a stand-alone product.
Leeds City Council voted to approve the plan to introduce Selective Licensing for parts of Leeds. From January 2020 landlords will need to apply for a license to privately rent out a property in Beeston & Harehills.
The majority of residents who took part in consultations were in favour of them being introduced but myself and the majority of Agents and Landlords were opposed to the scheme as ultimately the costs will be passed onto struggling tenants.
Landlords who let a property without having a licence would be committing an offence and could face an unlimited fine or a civil penalty of up to £30,000.
I was recently invited onto to Radio Aire to discuss Leeds Selective Licensing:
“Landlords are already feeling the financial drain that new legislation has brought in, and this is just going to make it worse”
“Most landlords will add it to the rent, they’ll put the rent up by £12 a month or £3 a week.
“There are already a lot of powers that the council have got, for example, the Leeds landlords accreditation scheme. I think a good solution would be to make it mandatory for people to join that instead of stamping a hefty license fee. Tenants will be the ones paying for it.
Leeds City Council is going to introduce selective licensing in parts of Leeds including Beeston (Leeds 11) and Harehills (Leeds 9) which have the highest ratio of tenanted property in the city. There are approx. 14,000 properties within the zone.
Enshrined in Law
Leeds Selective Licensing is enshrined in the Housing Act 2004 although local authorities were given discretion to apply it only to certain areas.
The proposed cost will be £825 per property, equivalent to £3 a week. The Council are describing it as a “one-off” fee but the licence will only be valid for 5 years.
The council have stated that they will not
profit from the scheme and any surplus will be refunded. I believe any refunds will be unlikely.
What are the differences between the Leeds selective Licensing Scheme and HMO Licensing?
The same rules apply when granting a
Selective Licence as with an HMO licence.
The main differences are:
It is mandatory to take up references for a prospective tenant before letting a property subject to Selective Licensing.
Unlike HMOs, the licencing authority does not have to consider suitability for letting or amenity standards when granting a selective licence. However, the licence holder must still be a fit and proper person.”
Over 50% of homes in the designated areas are private rented. This compares with 15% in 2001, so there is an ever-increasing demand for housing to be inspected and of good quality. The Leeds City average of houses belonging to the private rented sector is 21%
What do Leeds City Council Say about Selective Licensing
The Council are saying there was a low take-up of the self-regulation via their accredited landlord scheme, so they are looking into what else they can do to get landlords to improve standards of living and in turn hopefully improving crime, low levels of education, high unemployment and the health of people living in these areas.
So far, 94% of landlords and 100% of agents
have been against the proposals, they believe bringing in selective licensing
will do the following:
Pass the cost on to tenants via
increased rents
Lead to increased homelessness
and empty homes
Lead to further poverty in
these areas
Invest Leeds believe something needs doing
about the state of some housing in these areas and across Leeds as a whole, we
recently viewed one property with frogs in the basement, excessive damp,
unrepaired broken windows and the only cooking facilities were a microwave in
the shower!
Two people were living in this property as an HMO and one of the tenants had been refused access to his daughter overnight as he was considered not to be living in adequate accommodation. He is scared to report the issues for fear of being evicted.
We also believe licensing is not the way to improve standards.
The council already have a lot of powers to make landlords improve the standards of their properties, including placing an order on a property to improve and comply within 28 days. If this doesn’t happen then court action follows.
Invest Leeds agrees that with landlords
already feeling bruised by the introduction of Section 24, increased SDLT and
other measures, that forking out £825 is not a sensible approach and maybe a
good alternative is to enforce landlords to join the accredited landlord scheme
instead, this way, support can still be given to improve and enforcement is an
option for refusing to comply.
Invest Leeds also want to state that we
work with many landlords within these areas and they provide very safe, modern
and compliant properties that their tenants turn into their home.
And here is my recent interview with Radio Aire on Selective Licensing
Jo Fox
Invest Leeds
If you want to rent your property out with a Leeds Letting Agent who is famililar with the licensing laws, then click here Leeds Landlords
And if you want to sell your property in the licensing areas, then we always have investords waiting for the right deal – so post your property now Sell your home in Leeds
