Estate MAGAZINE VOL 11 / MAR 2 01 8
BY FLAMBARD WILLIAMS
8 S t eps to b u y to let
FATA L MIS TA KE S IN VE S TORS M A KE
TH E L ATE S T DE VE L OP M E N TS
OUR TOP TIPS FOR GETTING STARTED
AND HOW THESE CAN BE OVERCOME
OUR EXCITING NEW LAUNCHES
Estate Magazine We lc o m e to y o u r m o nt h l y e d it io n o f a l l o f th e late st p ro p e r t y new s , e x c l u s ive deve lo p m e n ts & in f o r m a t ive c it y g u id e s
INTRODU CTION Welcome to Estate, the property magazine brought to you by Flambard Williams, the UKâ€™s award-winning property specialists. Each issue we will include a selection of all of our latest properties, not forgetting exclusive property news, tips & tricks.
CONTACT U S The Aquarium Lower Anchor Street Chelmsford United Kingdom Phone: +44 (0)207 183 0646 Email: email@example.com Website: www.flambardwilliams.co.uk
PAGE OF CONTENTS
16 8 steps: buy to let
Quay central LIVERPOOLâ€™S L AT E S T
THIS MONTHâ€™S PROPERTY NEWS
x 1 the tower
8 s te p s to b u y to l e t
The fifth and final phase of X1 The
Our industry expert shares his 8
Quarter, an award-winning development
steps for getting started in buy to let
N AT EX
OU R N E W W E B S ITE
The latest purpose-built student
Have you seen the brand new Flambard
development in Liverpool city centre
Williams website? Check it out now!
th e v i ew
9 fata l m is ta ke s
High quality apartments with strong
Our 9 most common mistakes made by
income and capital growth potential
novice investors, and how to overcome them
34 oxygen tower
centenary house THIS MONTH’S F E AT U R E D
MANCHESTER’S L AT E S T
w indsor c our t
RE GE N T P L A ZA
A fantastic new Luton development set
Perfectly located, consisting of 525
to be the hub for a thriving community
new luxury residential apartments
N U MBER 47
M a n h atta n
A fantastic purpose-built student
New York luxury, made in the beating
development, in Leicester city centre
heart of the city of Manchester
n apier c our t
M a n c h e s te r Wate rs
The latest luxury modern Luton
Manchester’s luxurious tenant retreat,
development not to be missed!
overlooking the tranquil waterfront
CONTRIBUTORS MAN AGIN G DIRE C TOR Christopher Whetstone
ED ITOR & H E A D OF MA RKE TIN G Jannaire Faulkner
S U B E DITOR Martyn Taylor
SA L E S DIRE C TOR Paul Tillett
PR OPE RTY C ON S U LTA N TS Charleigh Cooper Sam Rexhepi Niro Satkunalingam Jack Percival Hope Barrell Yingkit Tang
LETTERS FROM EDITOR Wel c o m e to T he March Issue In March’s Issue, we share our 8 easy steps for investing in the buy to let market, along with the top 9 fatal mistakes novice investors often make, and how these can can be avoided. What’s more, we have even more exciting new developments in the UK’s property hotspots, Liverpool and Manchester! Go to pages 12 & 36 for more information. For more information about any of the features in this magazine, or if you would like to advertise with us, please do get in touch.
e s tat e m a g a z i n e 7
quay Central Quay Central, Liverpool From £1 36,000 Quay Central is a high-specification new-build development located in a core part of Liverpool Water’s future cultural and leisure hub - Central Docks. Reflecting Liverpool’s industrious heritage, the building’s exteriors exude a warehouse aesthetic to fit in with the area’s ambience. With spectacular views of the River Mersey provided by these waterfront apartments, Quay Central will create a lifestyle in a location like no other. The apartments have been designed to the highest specification and will provide a fantastic spacious living environment for its resident, while they are also able to enjoy the world-class leisure facilities that this iconic waterfront setting provides, including restaurants, cafes and bars, in addition to new retail spaces.
spectacular views of the river mersey, located in liverpoolâ€™s cultural & leisure hub
x 1 THE
t o w e r X1 The Tower, Liverpool From ÂŁ1 09,995 The Tower is the fifth and final phase of X1 The Quarter, an award-winning development near the beautiful Liverpool waterfront, with all previous phases sold out and fully tenanted. The success of the previous phases demonstrate the huge demand for prime residential accommodation in Liverpool and X1 The Tower is sure to prove popular with both investors and future tenants. The excellent specification of the apartments and the design, ensure that apartments at The Tower will provide a thoroughly modern and cosmopolitan living experience. Tenants will also be able to enjoy a communal residents lounge and secure car parking, which is available on selected apartments. This 24-storey luxury development will become an iconic part of the city and a fantastic addition to the local rental market, where the historic city of Liverpool and the cityâ€™s famous dockyards will provide the tenants truly unbeatable views.
The excellent specification ensures that The Tower will provide a thoroughly modern and cosmopolitan living experience
Explore NATEX Natex, Liverpool Fro m £62 ,5 00 Natex is a 566 unit student scheme with two blocks of 10 and 16 storeys comprising of 472 clusters and 94 studio apartments. The scheme is located in the heart of Liverpool and just is a 5 minute walk from the University of Liverpool and John Moores University. Strong demand is expected from all students, especially postgraduates and overseas students. Natex offers a variety of accommodation units, from cluster bedrooms to studios, offering choice for post graduate and older students, at a variety of price points. The plans to invest £1bn to expand Liverpool’s Knowledge Quarter is to create a 1.8million sq ft science, health and technology hub, attracting world class companies, reinforcing Liverpool’s reputation as a global leader in medicine and technology. The expansion of the Knowledge Quarter will be a major draw for international students, University of Liverpool already having over 34% international students, compared to a UK average of 25%.
FANTASTIC STUDENT FACILITIES, INCLUDING A RESIDENTS GYMNASIUM, GAMES ROOM AND CAFE
T HE VIE W The View, Liverpool Fro m £8 5 ,000 The properties feature bedrooms with stylish fitted wardrobes, chic well-appointed bathrooms, built-in storage and contemporary kitchens. The bright and spacious rooms provide the freedom and comfort to unwind from the hustle and bustle of the city. Expansive, spacious and light – The high quality design makes the most of the space, creating an ideal atmosphere to relax and entertain in. The development provides a mix of 48 self-contained studios and one-bedroom apartments ranging in size from 310 sq ft-473 sq ft. The majority of the apartments benefit from private external amenity space and all apartments have excellent city or river views. The ground floor consists of a residential entrance lobby with direct access to an external resident’s courtyard, a resident’s gym, bike-storage facilities and a bin store. There is an additional external resident’s terrace located on the first-floor level, which is accessed via the main access stairs.
Expansive, spacious and light, the high quality design makes the most of the space, creating an ideal atomosphere to relax and entertain in
to getting started in the buy to let market We know that investing in property can be a daunting prospect to those that are looking to become an investor. If you are thinking about investing in your first property, you will need to set up a plan as to how to start. We have listed our top 8 steps to getting started in the buy to let market. From making sure you choose a broker that strives to help you find your ideal property investment, to calculating funding and if it will be managed, read on for key aspects you need to consider to start your journey as an investor the right way, and start earning more from your money.
1 . C r eat e a Bu siness P lan Before anything else, you must start with a business plan. This will form the basis of your investment and should be used as a guide throughout, and only deviated from if your investment model changes. this point is crucial for success, and given this is a business involving complex elements, you must set out your goals from the offset.
2. Fu nding Again, another key element and one that should be looked into and established at the same time as a business plan as it forms a key part of the strategy. Generally most would be investors will start with a cash sum, but in order to move
â€œBefore anything else, you must start with a business plan. This will form the basis of your investment.â€? forward you need to decide whether or not you will be using other forms of financing, whether that be via a mortgage with a bank, or third party. Speaking to a Mortgage Adviser or independent IFA or indeed your accountant, may well assist in this process. Once you have your funding strategy in place you can then start to look at property.
3. Cho o se an Independent P roperty Broker Why should you use an independent property broker? Surely this is something you can do yourself? Well in our experience, our clients find the process of using a broker far easier than navigating the myriad of developments themselves, as agents that are not independent try to convince them their portfolio of properties is best. 17
The job of a good broker is to work to your business plan, and present to you the property that suits your unique requirements, looking to build a strong and trusting client/ broker relationship that can help you to build a portfolio of properties in the knowledge that your interests are the key driver in any decision, and not that of the broker.
4 . Manag e d or Self Managed This is important, as this will to a great extent dictate where you may buy the property and could restrict you with regard return as a result. In the market today there are many agents that offer a complete hands free investment and do so at little cost. However, make sure that the letting company is registered â€‹ â€‹with an accredited body like ARLA, NALS, or RICS. This indicates that they are committed to professional standards. Also look for a registered SAFEagent, which shows that the agent has recognised client money protection in place. This should give you and your tenants peace of mind.
5 . Due Dilegence Again, this is key. Make sure that all that is offered to you can be backed up either legally or with certain insurances in place. Your property broker should have helped in this process as we here at Flambard Williams do a lot of that work for you, and will only work with developers that have a track record in the industry. As a client, you should always satisfy your own curiosity and undertake your own checks and ask the questions you feel you need to ask to satisfy any issues you may have. A good broker should always be working for you and a good broker will tell you the advantages and disadvantages of every deal.
6 . B uy at a Discou nt Self explanatory really. Most new builds/off-plan property is offered for sale at a recognised discount to market prices at 18
the time. Usually discounts on market prices, typically backed by organisations such as RICS sit at around 5%-15%. This allows you to enter into the market at a discounted level and maximise the return you achieve.
7 . B uy W her e T here is Demand for Rental Make sure the area you are buying in has a demand for rental property. The area should have a demand for the type of property you are about to purchase, talk to local agents or speak to letting agents in the area to see what the demand is. The last thing you want to do is purchase a property in an area where demand is low. Occupancy rates are key, many places can offer great returns if they are rented out, however, they may be in areas that have low occupancy rates, thus impacting on your overall return.
“The area you are buying in should have a demand for the type of property you are about to purchase.” 8 . find a solicitor In many cases, clients will use recommended solicitors although it may be beneficial to find a solicitor that works independently from the development and your parameters. You should be able to structure a deal with a solicitor to do multiple transactions, thus securing you a better transaction base and keeping costs to a minimum. If you do not have a solicitor in mind, then we here at Flambard Williams have a short list of trusted solicitors that can we can provide you with. For more information about investing in buy to let properties, why not take a look at our helpful city guides, or our latest blog posts at www.flambardwilliams.co.uk. 19
9 Fatal Mistakes Made by novice property investors
From overstretching your budget, to buying in a property without high demand, there are a number of issues many first time investors face when looking to invest in property, however, these are easily overcome if you have the right guidance. We have listed our top 9 fatal mistakes that novice investors often make, and how these can be overcome.
1 . Sub jec t ive and not objective This is a business and your focus should be on either ROI or capital growth, or a mixture of the two. Forget what the flooring in the apartment is, the finishes in the kitchen, is it south west facing, would I live there, etc. This is a property you will be renting and these little things add to your costs, but often have little or no impact on your returns.
2 . do n’t st r et ch you r budget too far Remember, cash flow is key in any business, and the moment you stretch your finances too far you could soon find yourself in difficulty. Any property that does not make you money is not an investment, it is a liability.
“Cash flow is key in any business, the moment you stretch your finances too far you could face difficulty.” 3 . MAKE SURE THERE IS A DEMAND Buy property in an area where there is a demand for rental properties. Also research the type of property that is popular for rentals and target that market.
4 . USE LETTING AGENTS If you intend to buy property and just rent it out make it easy. Ideally you should be using letting agents as that allows you to buy in the areas that best match your requirements and your returns are not limited by your geographical demands. 23
5 . DON’T DELAY If you have a decisive business plan, and that has a specific set of requirements in it, and the property you are looking at fits those criteria, then all is fine. You will never buy at the perfect time, nor will you sell at the perfect time. You enter the market as a long term player, the relationship you have with a property will last at least 5 years and should stretch to at least 10 years so entry level is a mute point. Focus on the business plan and your numbers, the rest will follow as a result.
6. DO N’T FO C US TOO MU CH ON AESTHETICS Do not spend too much money or time worrying about what your apartment looks like. That doesn’t mean that you needn’t worry about presentation, just don’t overspend when preparing it for rental, as long as it is clean and up to date the property will rent well. You are not selling the property, you are renting it out. In many cases clients rent unfurnished and therefore do not require the property to be furnished.
7 . AVO ID older p roperties Try to avoid older properties that require constant maintenance as this will impact on your returns and your ability to rent out. If you buy new properties you are immediately covered with a 10 year warranty, modern properties also hit new EPC ratings that are now required to hit certain standards that older properties struggle to achieve without remedial work, again adding to costs. Remember, you are a landlord not a property developer or builder, so try and avoid older and often costly properties.
8 . SET T ING T HE CORRECT RENTAL RATES Setting the correct rental rates you hope to achieve for your property. If you set the wrong level and hold out for that price you are adding to the void period on that property, the market in rentals is very sensitive to the slightest price change, and a £50 per month difference can be the difference between full occupancy and an empty property. It is important to set the correct rental levels for your property and area and accept the median.
“Try to avoid older properties that require constant maintenance, as this will impact on your returns.” 9 . SET TING A STrATEGY This is key and one to focus on, whether that is build a portfolio, buy and rent one, or buy and sell, you must have a strategy, even if that strategy is an exit strategy! For more information about investing in buy to let properties, why not take a look at our helpful city guides, or our latest blog posts at www.flambardwilliams.co.uk. Alternatively, why not speak to one of our award winning property brokers today and let us help you to invest the right way, finding a development that is suited to you and your needs as a professional investor.
centenary house Centenary House, Leeds Fro m £1 2 7 ,000 Part of the Northern Powerhouse, Leeds is a major city with a population of 781,000. The city is the heart of Leeds City Region (LCR), a cluster of 10 local authorities with a combined population of 3 million. Worth over £60 billion, the region’s economy is the largest outside London and accounts for 5% of the UK’s economic output. LCR’s population has grown 3.1% over the past five years with a further 2.5% growth forecast for the next five years. Leeds has also seen the UK’s highest growth of private sector jobs at 6.1% in 2015, ahead of London at 4.4% and well above the national average of 2.5%. Vacancy rates in the housing market have fallen from 5% in 2010 to just 2.5% in 2016 and are pushing prices upwards. JLL’s rental growth forecast suggests that Leeds is set to have one of the UK’s largest rental growth over the next five years at 22.2%. Simultaneously, with a projected house price growth of 21.6% between 2017 and 2021, JLL forecasts that the annual price growth in Leeds will surpass Manchester, Liverpool and other major UK cities by 2020.
L E E D S W I L L H AV E T H E 7 T H FA S T E S T G R OW I N G R E S I D E N T U K P O P U L AT I O N U P T O 2 0 2 0
W IND SOR COURT LUTON With 238 luxury 1 & 2 bed high end apartments just a short walk from Luton’s vibrant town centre, Windsor Point is set to be one of Luton’s premier developments. High quality design make the most use of space creating the ideal atmosphere to relax and entertain. With an eye for detail and careful research, our emphasis is on simple design-led solutions to create efficient and stylish living spaces to a contemporary and elegant finish. By building an outdoor communal space central to the development, residents can stop, take stock and relax. At the very heart of Windsor Court will be it’s gardens, with large seating areas and manicured landscapes, it’s expected to become the hub for a thriving resident community.
A F U L LY S E C U R E A N D U N I Q U E I N V E S T M E N T O P P O RT U N I T Y F O R A M O D E R N & U R BA N C O M M U N I T Y
Number 47 #47, Leicester Fro m ÂŁ7 3,900 When it comes to purpose built student accommodation, itâ€™s all about the location. #47 is ideally located in the very heart of Leicester City Centre, providing 47 luxury student studios and offering investors a fantastic opportunity to purchase a quality development in a major UK city. Take advantage of a market which is structurally undersupplied, where demand is high and rents are rising. This is one of the most safest and affordable investment opportunities available, in an excellent location and belonging to an asset class that has outperformed all others for at least 5 years. Spread over a brand new 7 storey building, each studio and flat will be completely self-contained, with private kitchens, bathrooms, and will be fully furnished. They even each have their own balcony! The development will also feature high quality finishes and energy efficient technology, ensuring the ultimate experience in contemporary living for discerning residents and long term sustainability.
#4 7 I S N OW O F F E R I N G A N E X C L U S I V E 8% Y I E L D S A S S U R E D FOR 5 YEARS
NAP IER C OURT LUTON â€˘ LONDON Napier Court provides the ultimate modern living experience with Architects having designed each apartment with space in mind. Sophisticated finishing touches have been introduced to find the right balance between style and comfort. Enjoy the ultimate in luxury for your dining and living space with a range of high end features and your own space to unwind and revitalise. Contemporary style meets luxurious finishes and intuitive design to maximise space. You can be assured that each and every apartment has been carefully designed to maximise the space for you to live, relax and enjoy. Ideally located in a vibrant town close to central London, youâ€™ll find that Napier Court is the perfect place to call home.
C O N T E M P O R A RY S T Y L E M E E T S LUXURIOUS FINISHES & INTUITIVE D E S I G N T O M A X I M I S E S PAC E
oxygen Tower Oxygen Tower, Manchester From ÂŁ3 1 0,61 1 Oxygen is a 31 story neighbourhood located in Manchesterâ€™s emerging Piccadilly Basin district. A short walk to the bustling bohemian Northern Quarter and regenerated Piccadilly hub, this new luxury development combines the highest build quality with hotel-standard leisure facilities and breathtaking views of a rising global destination. Oxygen is designed as a modern vertical village offering a diverse range of accommodation and amenities to support a thriving new urban community. At the heart of the building is a vibrant social hub which offers residents a wealth of luxury leisure amenities featuring a gymnasium, spa and shared outdoor spaces including a garden terrace of stepped allotments on the south corner of the building. Every apartment and townhouse is finished to exceptionally high standards. Full height windows flood the space with natural daylight and balconies offer panoramic views over the city and the Peak District National Park beyond.
A MODERN VERITCLE VILLAGE, WITH A DIVERSE RANGE OF AMENITIES
regent plaza Regent Plaza, Salford From ÂŁ1 4 1 ,000 A new addition to the Manchester skyline, Regent Plaza consists of 525 new residential apartments, which are made up of a mixture of Apartments, Townhouses and some commercial. Regent Plaza represents a vibrant regeneration scheme for a key area of the city, where the private rental market is particularly buoyant and demand for well appointed properties is increasing. It is strategically located tobenefit from existing local amenities and to link together with other planned residential development schemes in the vicinity, as well as standing community infrastructure. Regent Plaza is situated on a major thoroughfare between the M602 and Manchester city centre, this is a convenient location, offering living arrangements to suit everyone from single professionals to families. In its development stage, the scheme will provide a boost for the local economy by acting as a major new employer for the area. On completion, Regent Plaza will bolster the community and add an attractive aspect to the eastern approach to the city.
manhattan Manhattan, Manchester From £3 5 0,1 2 3 Welcome to Manhattan, Manchester’s newest ultra premium apartment building. Situated in the beating heart of the city, just off New York Street sitting at the entrance to Chinatown, the development comprises 42 one and two bedroom apartments with opulent interiors, a full concierge and a multi-level garden wall housing each apartment’s private terrace. Marrying contemporary and industrial architecture, this exclusive development brings the epitome of New York loft style elegance to the vibrant connections of an M1 city centre postcode. Situated off New York street at the entrance of Chinatown, Manhattan is home to 42 luxury one and two bedroom apartments. On leaving Manhattan, residents can step out straight into the second largest Chinatown in the UK, with the business district, the cultural quarter and the Piccadilly travel hub accessible within a five minute walk. Part of Manchester’s progressive attitude and youthful energy is fuelled by the 90,000 students that attend its leading universities and colleges, increased to 400,000 students attending universities within an hours drive. One of the largest student populations in Europe, this includes 20,000 international students that travel here from more than 180 countries.
NEW YORK LUXURY, MADE IN MANCHESTER
Manchester Waters, Manchester From £1 09,995 X1 Manchester Waters is a residential development located close to the centre of the UK’s ‘second city’ of Manchester. The development is set to be the perfect tenant retreat, overlooking the tranquil waterfront whilst being near the vibrant city centre, offering tenants the best of both worlds. This outstanding development is comprised of five phases and a total of more than 500 apartments, furnished to the highest standard. Ranging from spacious studios to high-end three-beds, most apartments will benefit from the spectacular view of the waterfront. X1 Manchester Waters is the perfect place for residents to relax and unwind, with the addition of a residential cinema room to allow residents to socialise. The location of X1 Manchester Waters is truly unparalleled. With two Metrolink stops located within a 5-minute walk, residents are able to reach Manchester’s city centre with ease, and enjoy everything that ‘The Capital of the North’ has to offer.
Published on Mar 2, 2018
Published on Mar 2, 2018
In this month's magazine, we share our 8 simple steps to becoming a buy to let investor. Not only this, we have listed our top 9 fatal mista...