March Newsletter - Realistic ways to save money this month.

In this month’s Coldwell Banker newsletter, we will be looking at the best ways to save money from your monthly expenses. That might sound daunting however, with some small but practical changes, it can really make a positive impact to your monthly bills. We also take you, step by step down the process of selling your home. People can often be overwhelmed by the somewhat tedious process, but with our break down, you can use it as almost a checklist for completing your sale.

We talk more money saving! Which house survey do you need? There are so many things to consider when buying a house, but with the right survey it can save you a lot of money in the long run. It is common that people don’t know there are multiple survey options out there, but with our article, we hope to share some light on the different types there are, and which is best for you.

Finally, we look at the hot topic of Brexit, and how it is affecting our house prices.

St Patrick’s Parade

Join us on our annual parade through the streets of London to celebrate all things Irish!

Sunday, March 15, 2020 at 12 PM

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Saving Money On Your Bills Each Month

Figuring out ways to spend less money can be frustrating, but one of the best ways to start the process off, is to try and cut down your monthly expenses. By making these small, yet practical changes, it can really have a positive effect to your monthly bills.

1. Heating solutions.
Bleeding your radiators is a quick, easy and free way to improve your radiators efficiency. Do this once every two months and it will save money from your energy bill.

Whilst we are on the riveting subject of radiators, it is very important not to block them! Anything that is covering your radiator will reduce the flow of hot air which ultimately makes your boiler work harder, resulting in money being unnecessarily wasted.

Draught proof your home. Keep any draughts out by fitting an internal flap for your letterbox, using rubber strips to seal floorboard gaps and place rugs on any bare floorboards, this will reduce unwanted cold air coming through.

2. Install a programmable thermostat
Installing a programmable thermostat offers many benefits. Having the ability to control when and how long your heating comes on for, can save you money. According to Compact Appliance, “for every degree you raise or lower, you can save up to 2 percent on your utility bill.” Having access from your mobile is incredibly efficient. Unlike self-timing heating systems, with the thermostat mobile app you can be sure your heating is only being used when someone is in; there is no point it being on if no one is going to be home for hours! Be smarter with your money.

3. Install CFL or LED light bulbs
If you have never changed your lightbulbs before, now is the time! Make the switch to CFLs or LED, these bulbs are around four times more efficient than the traditional light bulb. “Even switching just, the five most-used light bulbs in your home could save you upwards of £30 a year on your electric bill", says The Simple Dollar.

4. Switch to a cheaper supermarket
Rather than using your mainstream, more popular supermarkets, try the cheaper ones. According to an article on Echo, they compared shopping prices across three different supermarkets for a typical weekly shop. Aldi came in at the cheapest with a total of £26.86, followed by Asda as £28.72 and then lastly £31.68. Despite £4.82 a week not sounding a lot, it does save you a total of £250.64 a year.

5. Are you paying too much council tax?
On average, 400,00 homes are in the wrong council tax band. With this free online checker, make sure you aren’t paying too much! http://www.counciltax.info/council-tax-costs-by-postcode.html

Implementing even just a few of these suggestions can make a real impact on your household’s monthly outgoings. None of them are impractical or unapproachable, so there are no excuses to save the pennies! If you are looking to save for your first deposit, our expert agents can help. Just complete our online evaluation and find out your properties value in under ten minutes!

Sell Your House, Step By Step

Are you looking to sell? Sometimes it’s hard knowing where exactly to start. Our step by step guide might look like a lot of information but it can really be a good reference point to help you during this process.

1. Work on your finances
With our mortgage valuation tool you can get an estimate of your property's worth.

2. Choose your estate agent
You have options. Sell yourself or use local or online estate agents.

Do some research, compare estate agents by how quick they sell, how close they get to the asking price and how successful they are.

Agree on a fee, aim for 1% plus VAT for sole agent.

3. Get an energy performance certificate
You will need one to provide to potential buyers.

4. Decide how much
Get to know your local market as this will help you decide.

Get several valuations. You don’t need to go with the highest either.

Buyers like to negotiate so add a 5% or 10% to what you’re willing to accept.

5. Get a conveyancing solicitor
They handle the legal work.

Get an overview of how much conveyancing costs.

6. Fill out your paperwork
There is going to be a lot of it!

7. Accept an offer!
Congratulations, the estate agents legally must now pass all offers over to you.

Once you’re happy with the offer, formally accept.

8. Work on your draft contract
You and the buyer will have to negotiate-
• The length of time between exchange and completion.
• What fixtures and fittings will be including, and if they have a cost attached?
• Any survey discounts.

9. Contracts get exchanged
This is the process when you become legally committed to selling your property, and they become legally committed to buying from you.

When you sell the house, you are responsible for maintaining the property until the sale is fully complete.

10. Move out
It is less stressful to move out before the day of completion if possible.

Completion is when the property changes ownership. Once the keys have been handed over.

11. Pay of your mortgage

The mortgage company will have given you and the solicitor and outstanding amount for the day of completion.

Now the buyer has transferred the money that will essentially pay off the mortgage for you.

12. Settle with everyone
Once completion has been finalised, your conveyance solicitor will send you an overview covering all their costs, as well as outing the sale price.

If you’re buying and selling at the time, you can settle for both transactions at the same time.

There can sometimes be a small discrepancy and you may even get a little refund.

The Right Survey Could Save Money

Buying a house can be an incredibly tense and stressful time. Falling in love with a property but not knowing how it is going to play out is often the situation for most buyers. Imagine falling in love with a beautiful Victorian house only to find out later down the line that there are major issues with the roof and require thousands of pounds worth of construction work. You would rather know this sooner rather than later. Getting the right survey could save you this stress but also a lot of money.

According to a study by Hillary, an interior specialist, more than two thirds of Britons don’t know what property surveys are available, never mind which ones are best. And it is leaving us around £3000 out of pocket from repairs, which isn’t ideal for anybody, never mind someone who has just bought a house. That money could be spent on something so much more worthwhile.

The study also asked 2,056 new British homeowners all about their buying experiences.

54% of people had uncertainty during the whole buying process,
62% didn’t know what surveys were available,
79% thought that one survey covered everything, and that isn’t the case.

What are the different survey options?

Home condition report, at around £250: This is the more basic and cheaper option. It is quite a short, surface level inspection that highlights the obvious defects. This report is good for someone whose property appears to be in good condition but would still benefit from being checked for hidden damp or structural movements.

Homebuyers report, at around £300: This survey is more suited for Victoria aged properties. This will mirror the home condition report but will include advice and maybe an independent valuation of the building. If after the report, the value given is less than what you offered, don’t worry. This doesn’t mean you should pull out of the sale. Speak with your surveyor about the potential problems and how much it will likely cost. Try and use this information to negotiate the price down. If the seller won’t budge, you then need to make the decision to proceed or withdraw; depending on the cost. Your surveyor will have experience with similar circumstances so use them to help you.

Building survey, at around £500: If you’re investing in a much older property then this survey is vital for you. It is also worth noting that if you’re planning on doing any construction work such as loft conversions or extensions then this one applies for you too. This survey looks in detail at the condition, defects and the possibility of extending. The surveyor will also be able to provide a cost of how to rectify any problems listed.

Another recommended report is a gas and electric survey. This is vital for properties older than 25 years and if there are bare wires visible. It is even more important if you are planning on renting the property out as you will legally need to provide these safety certificates.

You’re probably thinking all these extra costs sound intimidating, but just think it could seem a lot now, but in the long run it is the more cost-effective option.

How Are House Prices Performing Now That We Are In The 'Transition Period' Of Brexit?

Just as you start to think the topic of Brexit was dying down, you couldn’t be more wrong. There are still so many questions left unanswered surrounding the sensitive subject. The question on a lot of people’s mind is how the decision will affect house prices within the UK from leaving the EU.

Brexit officially happened on 31st January 2020, but we are still in the transitional period which will last till the end of the year. Negotiations take place in the upcoming months and this will determine a lot. Deal or no deal is a phrase being thrown around, but the outcome penultimately has a massive impact on future property values.

If the government can’t agree on a trade deal with the EU by the end of 2020 then we will be leaving the European Union with no deal. There is a lot of uncertainty surrounding this being our only option, including some statistics provided by an accountancy firm KPMG. They predicted that in September, house prices could drop by 6% following a no deal Brexit deal.

Whilst it is still very unclear as to what the actual outcome is going to be, if you’re able to take out a mortgage, then now could be a good time. As everyone is talking about Brexit, the interest rates are still low. If you do take a mortgage out in the upcoming months, be sure to take out a fixed-term mortgage so your payments are Brexit proof for the next few years.

In 2019 people were sitting tight. No-one was completely sure if it was best decision to sell, or if it was best to sit on their property, so there was somewhat of a stillness in the market. The more we learn and find out about us leaving the EU, the more clarity we will get on future house prices.

There are still signs of confidence in the UK property. With mortgage interest rates still being so low, indicates there is still assurance that there will be no market crash after Brexit. It is unlikely we will see any drastic rise in mortgage rates anytime soon. If there was to be, then it would only be slight and nothing to cause any real concern with the property market.

Key points to take away:

1. Don’t always believe the media. These scary headlines are only there to make good news, there are no real reasons to believe the market will fail.

2. Don’t be put off buying or selling during this period. The trend for the past 100 years has been at a consistent steady increase, so there is nothing to say this won’t continue after Brexit.

3. People won’t wait forever. Sooner or later people will get bored of waiting for Brexit to end and will act regardless of the circumstances.

Would you be interested in getting a valuation for your property? If so, head to our website where you can get an instant online valuation, or book a market appraisal.

Is Buying With A Friend A Smart Investment?

Buying a house can be a clever investment. The more you pay back, the more equity you will gain on the property that organically grows overtime, and even more so if you invest money into the property. It can be an unnerving thought saving independently, so the question often arises to whether it is a smart decision to invest with a friend.

It’s easier with two!
Anyone who has bought a house before, will understand the test of applying for a mortgage loan. When applying for a conventional home loan, the lender will need a minimum of 680 credit score and at least a 5% deposit. For some people, this can be quite daunting and infeasible. But having two people signing the mortgage application can increase the odds of agreement.

If you do decide that buying a property with a friend is the right move, the mortgage lender will base the approval on the combined income and the average of both your credit scores. This of course increases the financial opportunity for you both and will also ease the overall fee by splitting everything equally.

One bad credit report can reflect badly on you both
It may all sound well and good splitting everything equally, but it can also be tricky relying on someone else with such responsibility. Your friend may begin to be punctual with payments, but for whatever circumstances; job loss, demotion, or just struggling to afford the mortgage from their monthly income, and they are late paying, it can then put your credit rating at risk.

Because both of your names are on the mortgage, you both are responsible for that commitment. If payments are late, then the bank will report you both to the credit agencies for nonpayment, despite whose fault it is. But don’t stress, you do have a full 30 days after your payment due date before the lender can make an official report to the credit bureaus.

Monthly expenses halved
A big advantage of living with somebody else is being able to split the household bills. Paying for this alone, as well as the mortgage can be hard and could leave you with very little left over at the end of the month. Taking that pressure of, by sharing the cost can be a beneficial aspect.

Council tax, utility bills, telecom, TV license and insurance are your typical household bills. And that isn’t even including food, travel costs, gym memberships, credit card payments or healthcare! With all that you will be thankful for that extra person.

Are you ready to test your friendship?
Things can quickly turn sour over the slightest disagreement. Whether it be over your bills or just simply pulling your weight with the cooking and cleaning! To avoid this, cover your back. In your written agreement, go into detail. The breakdown of expenses, how repairs are managed and how together, you will maintain the property.

Unlike renting, it’s not as simple as finding a new roommate if things go bad. Removing someone from the mortgage can be hard. You either would have to sell the property or refinance the loan under just one name. Neither option is easy. Selling can take months and approval is never a guarantee. Have an agreed-upon exit plan outlined in the written agreement to protect yourself.

Key points to take away
• Try renting first. There are options to rent month to month at some properties, so why not test it out first. See how you both split the cost, take on responsibilities and look after the place.

• Do your research. Just like a bank, check their credit reports. See how much they earn and If they have made previous payments on time.

• Hire an attorney to write your informal contract. Cover all avenues and be detailed. Just do your research and make sure you and your friend both have the income to cover the monthly investment.

VIVA LAS VEGAN

shimmy on down and buckle up for a five-course meal of Grand Canyon proportions. With shimmering entertainment, casino style games and straight-shooting cocktails, no-one will want to leave Las Vegas!

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Craft beer Tasting Tour

A superb tasting tour of some of the best brewery taprooms of Bermondsey's beer mile. Your guide will navigate you to four fantastic breweries, each with their own unique take on craft beer.

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