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One in seven young Brits would buy a house with a stranger to get on property ladder

More than one in seven young Britons (14 per cent) would be willing to buy a house with a total stranger – in a desperate bid to get on the property ladder, according to nationwide research.

A new study of 2,000 Brits (aged 18 – 40) by HSBC, has revealed the true extent to which buying a property now feels completely out of reach for the younger generation, with a staggering 83 percent claiming they will probably NEVER be able to afford to buy their own property.

According to the report, 80 per cent would co-own and share a property with someone who is not their partner, with a further 59 per cent saying they’re “open to the idea” of buying with a stranger – if they ticked all the boxes.

As a result of the findings, HSBC is running a unique speed-dating style event on February 15th –National Singles Awareness Day – to bring together people interested in meeting someone they could potentially co-buy with.

A desperate 4 per cent said they would be prepared to move in with “a mate from the pub”, while just under one in twenty are so desperate to get on the property ladder, they would EVEN be prepared to buy with an ex.

And the study revealed modern Brits have a clear idea of the top traits the PERFECT housemate or ‘homebae’ should have, with odour free and clean and tidy in the top five.

The list of attributes also includes being able to cook a cracking roast, earning over 50k a year, having a penchant for a good BBC drama, having a good credit rating – and (in an ideal world) NOT being a vegetarian or vegan.

Being calm under pressure was a top trait for 42 per cent of people and 35 per cent would rather share a home with someone who DOES NOT play music too loudly – and 28 percent said they would like someone who is a good listener.

While clean, serene and someone who is a financial dream were topping the list of priorities for co-ownership, people said their pet peeves include extreme mess (67 per cent), irritating behaviour (61 per cent), someone bringing undesirable people home (42 per cent) and people not paying their share of household bills (30 per cent).

27 percent said their annual salary would not get them a big enough mortgage to but a property where they would like to live, while 25 percent said it would be nice to split the bills with someone else.

Overwhelmingly 75 percent of young Brits said that if they get the chance they will buy a house purely to live in, rather than as a buy to let, while 9 percent said they will rent out a room to help with the mortgage.

“We understand the challenges that young buyers are facing today and that they are willing to think outside the box to get on the property ladder – even contemplating the idea of buying with a stranger,” comments HSBC mortgages expert Chris Pearson. “That’s why we’ve run this research on the perfect homebuying partner and are holding Home Bae, the UK’s first-ever speed dating event for co-buyers.”

“Buying a home is a life-changing financial commitment and there’s no doubt this is an unorthodox way of doing it. People who are considering this step need to not only find someone responsible and compatible – they also need to dot every “I” and cross every “T” to avoid a difficult situation in the future, especially when it comes to selling. It’s important to have a clear agreement in place from day one so you both know what’s expected of you.”

Focusing on the check list of what’s really important to you is essential, according to relationship coach Sam Owen, who says “The quality of our relationships is more important than how many friends we have or whether we have a romantic partner.

“Even one good person in your life, like a ‘house-partner’ you buy a home with, could be a lifeline, especially in a world with increasing physical and sometimes even psychological distance between us. It’s a partnership so you’ll want to make sure there aren’t any deal-breakers and they really tick your boxes.”

The study is part of HSBC’s annual Beyond the Bricks report which looks at home-buying habits and attitudes across the world.

According to Brits, the perfect housemate:

  1. Pays the bills on time – 80 percent
  2. Is clean and tidy – 70 percent
  3. Keeps the bathroom clean – 56 percent
  4. Does NOT have body odour – 51 percent
  5. Is open to compromise – 48 percent
  6. Is calm under pressure – 42 percent
  7. Can do DIY – 39 percent
  8. Has savings in the bank – 38 percent
  9. Loves pets – 37 percent
  10. Is fun loving – 36 percent
  11. Does not play loud music – 35 percent
  12. Has a good credit rating – 31 percent
  13. Is a good listener – 28 percent
  14. Keeps the fridge well stocked – 26 percent
  15. Is a meat-eater – 24 percent
  16. Does NOT talk too much about themselves – 23 percent
  17. Lets you borrow their things – 23 percent
  18. Will deal with all the household admin – 22 percent
  19. Lends you books and movies – 20 percent
  20. Loves a good BBC drama – 19 percent
  21. Has monthly savings targets – 19 percent
  22. Earns over 50k a year – 18 percent
  23. Cooks a cracking roast – 18 percent
  24. Does a “chemist run” when you’re ill – 17 percent
  25. Likes to be in bed by 11pm – 17 percent
  26. Has a Netflix account – 16 percent
  27. Has a family holiday home somewhere warm and sunny – 16 percent
  28. Does not snore – 16 percent
  29. Owns a car – 15 percent
  30. Is stylish – 13 percent
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Commercial buildings: “It’s all about value, not cost”

(Image: Sunny Landa, director at NG Chartered Surveyors)

It’s not often you’ll hear a commercial property agent quoting Oscar Wilde, but there is rarely a greater truism than the playwright’s famous “Nowadays people know the price of everything and the value of nothing”.

Wilde spoke these words in 19th Century, but the sentiment remains – especially in the commercial property sector in Nottingham.

For some time now there has been a growing trend amongst the local industry for undercutting of fees. Naturally, landlords are attracted to this, as it means they’ll get to keep a greater slice of the pie after their property is sold or let.

However, the practice of undercutting or lowering fees is not only ethically wrong, but also short-termism at its worst.

Landlords might be tempted down this cheaper route, but we’d ask: do you really think you’re getting value for money? There’s an old adage: ‘you get what you pay for’, and this is certainly true when it comes to instructing a commercial property agent to dispose or let your property.

If an agent is offering a landlord lower fees to try and entice them, the landlord should question who will be looking after the instruction? Will it be the seasoned, qualified property professional, or will it be a green graduate, eager but fresh out of university and woefully inexperienced in looking after a property portfolio. My experience tells me it’ll be the latter.

We’ve seen this is in the commercial property sector before; it usually happens when we’re coming out of recession and agents are battling it out to take advantage of a businesses who have a little more confidence in the economy and are looking to move premises.

This time, however, it’s a little different.

There has been such little speculative development in the last ten years that stock levels of good quality accommodation are incredibly low. Agents are fighting over instructions, and this is leading some to offer unsustainable rates.

While we can’t force developers to build offices and industrial units, as agents we mustn’t simply lower prices to maintain cashflow – that way lies madness, and sure fire way to devalue the industry and give it a bad name.

Surely it is better to offer a service that our fees warrant? At NG we don’t think about cost – we think about value. A landlord who is willing to pay the going rate to let or sell his or her property will get the best possible service. Can the same be said if s/he decided to take a chance on a cheaper alternative? I don’t think so.

At NG we pride ourselves on standing out from the crowd. We have a mantra of: “Our values decide our character; and our character decides our value”. Commercial property agents in Nottingham have a purpose of duty not to offer cheap alternatives which let down landlords (and ultimately occupiers), but to offer value on every instruction.

“Taking what we can get” can only lead to one outcome, and when we’re all in a desperate race to the bottom, not only does the image of our industry take a battering, but everyone loses out.
As Oscar Wilde also said: ‘Experience is one thing you can’t get for nothing’.

Written by Sunny Landa, director at NG Chartered Surveyors.
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Salaries of property professionals rise, but gender pay gap worsens

Salaries for property professionals remained robust in 2017, according to the latest survey by RICS & Macdonald & Company, but the gender pay gap has increased from last year.

  • Male property professionals earn, on average, £11,000 more than female counterparts (£7,000 in 2016)
  • Sector salary pay rises up 7.2% overall, above UK wage inflation
  • Average salaries down, but due to changing demographics of the survey

An evident gap

Male property professionals earn, on average, £11,113 more than their female colleagues (£54,931 versus £43,818). The gap is evident across the majority of age groups and is greatest for those aged 46–55, where the difference in average salary is 25.7%.

Encouragingly, the gender pay gap is now less evident in those starting out in property with females earning slightly more than males, a turnaround from last year where the pay gap was most evident in 18–22 year olds.

The survey indicates the attraction of property as a career choice. Of those who received a pay rise in 2017 in the industry, the average increase was 7.7% (up from 7.1% in 2016); this is far above UK-wage inflation, which sits at 2.7%. Considering the sample as a whole, the industry experienced an increase of +7.2% (6.5% in 2016), with 32% also believing that their pay and benefits will be positively affected by market conditions over the next 12 months.

The benefits of being qualified

Once again, the survey also shows the benefits of being professionally qualified. RICS professionals earn 40.6% more than those who are “not professionally qualified” — this has increased by 29.5% since 2016. Those with an FRICS designation earn 83.3% more than those who are not professionally qualified.

The survey recorded the average salary in 2017 as £52,362. While this is a 4.5% decrease compared to 2016, this may be largely explained by changes in the demographics of the survey this time around. Respondents with 10 years’ experience or fewer rose by 9% (from 31% to 40%), while those with 16 years’ experience or more fell 10% (from 56% to 46%).

Respondents working in Greater London continue to earn the highest average salary (£61,141) and command a premium of 15.5% over the South East, and 41.0% over Northern Ireland/Republic of Ireland. The majority of regions have seen a decrease, but East Anglia (+3.4%), South West/Wales (+2.6%) and Northern Ireland/Republic of Ireland (+1.4%) buck this trend with growth in average wages.

More positively, over half of respondents (53%) believe their organisation will increase headcount in 2017. 47% of respondents expect their organisation to modestly increase headcount, while 6% expect a significant increase in headcount in 2017.

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UK house prices to increase by 3% in 2017

House prices in the UK will see an average increase of 3% over the course of next year as the number of transactions stabilises, according to the RICS housing forecast for 2017.

Forecast in brief

  • Transactions set to stabilise in line with recent trend, but fall short of full year 2016 outturn
    Supply shortfall to continue pushing prices higher with prices to increase by 3%
    Rents likely to increase by 2-3% across the UK in 2017

Need for more properties

Following on from the 2016 forecast, the supply pipeline or lack of it is at the forefront of the analysis and dominates the residential market. While there is an improvement, the legacy of building on an insufficient scale has left the average inventory on estate agents books close to a historic low.

What’s in store for 2017?

Looking forward, transaction activity will stabilise and is likely to come in between 1.15 and 1.2 million, a little below the 1.25 million likely to be recorded for the whole of 2016. The prediction for 2017 reflects the trend over recent months.

House prices are predicted to rise across the whole of the UK in 2017 with an average increase of 3%. East Anglia is likely to continue its trend during 2016 and alongside the North West and West Midlands is likely to record gains higher than the national average. Meanwhile, prices in Central London look set to stabilise after recent declines, with support provided by the weaker exchange rate encouraging foreign buyers.

Simon Rubinsohn, RICS Chief Economist said “Although recent announcements by the government on housing are very welcome, the ongoing shortfall of stock across much of the sales and lettings markets is set to continue to underpin prices and rents. As a result, the affordability challenge will remain very much to the fore for many. Meanwhile the lack of existing inventory in the market is impacting the ability of households to move and will contribute toward transaction activity over the whole of 2017 being a little lower that in the year just ending.”

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British Spirals & Castings hops in for the Old Brewhouse

A 16th Century building in Suffolk has been given a contemporary twist thanks to a stunning cast aluminium spiral staircase created by British Spirals & Castings.
The Grade II listed property had already seen a good deal of change in its lifespan, originally being used as a dairy range and a brewhouse, before work began to convert the building into a dwelling. After the project stalled under the previous owners, Peter and Christine Rodgers took on the oak-framed wattle and daub farm service building and transformed it into the home it is today.

Peter Rodgers commented, “To give ourselves a little more room, we wanted to build a new two storey extension, however, the layout of the old building made it difficult to create access to the new first storey bedroom from the adjoining rooms. We therefore decided to install a spiral staircase from the new living room directly below. This saved a lot of space compared with a straight option and also provides a dramatic design feature.”

“We initially visited a number of specialist showrooms which showed examples of mainly Italian made staircases but we were unhappy with the design and quality of the models. We then started to look for UK suppliers, and that’s when we came across British Spirals & Castings. Having noticed that all their staircases are designed and manufactured here in the UK, we visited their showroom for a consultation and from there our staircase was born!”

British Spirals & Castings Managing Director, Richard Harding said ‘We were more than happy to take the Rogers around our showroom and workshop in Chapel-en-le-Frith to help them to get a feel of the type of staircase they wanted, and to also discuss design preferences so we could create a staircase truly tailored to them. As the bedroom has a sloping roof, we also carefully designed the staircase to ensure there was sufficient headroom to comply with the Building Regulations.”

The couple opted for a white coloured cast aluminium spiral staircase from the modern art deco range, providing a simple yet stylish finish which beautifully compliments its surroundings. Typically these staircases will have plain round or square balusters, but other balusters options can also be used.

British Spirals & Castings have been designing and manufacturing bespoke spiral stairs, straight staircases and balconies since 1980; all hand crafted here in the UK to each customers requirements.

For further information please contact:

Tel: +44 (0) 1663 750 716
email: sales@britishsc.co.uk
Website: www.britishsc.co.uk

https://twitter.com/BritishSpirals
https://www.facebook.com/britishspiralscastings

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