What our tenants have to say….

 

We’re really proud of our apartments at Dun Works, as a lot of time, effort, planning and love has gone in to building them.

 

But, don’t just take it from us – here’s what some of our tenants have to say…

 

“I wanted to save money on renting, so when I came across Dun Works on Rightmove I was really excited – and surprised by the price.

 

“From the first viewing, I fell in love with the apartments. It’s a great location, the studio is spacious and kitted out with a large fridge/freezer, great cooker and stylish units! What really stuck with me though was how informative and helpful everyone was on move in day.

 

“My studio is furnished and I’m so happy with the overall look. It’s spacious, bright and well-ventilated plus I am a huge fan of the wood vinyl flooring. There’s plenty of storage space – even a utility room!

 

“I was blown away by the speed of the broadband when I moved in, and it was fantastic to be able to connect from opening that front door on day one. I’ve never had that in flats before.

 

“I’ve always fancied living in Kelham Island, as not only is the area itself fantastic but it’s close to the city with great transport links. Plus, my gym is in walking distance.

 

“The price for my studio apartment was way below what I was expecting – considering the specifications. I know I wouldn’t be able to get a flat as good as Dun Works elsewhere in Sheffield! Here’s to a happy first year in Kelham Island.” – Sooji

Should tenant fees be banned and what are the implications if they are?

Should tenant fees be banned and what are the implications if they are?

You may have heard amongst the recent election campaign hubbub that Labour wish to ban tenant fees.

As an agent that manages over 550 properties throughout South Yorkshire this is an issue that is close to our hearts and we would like to address why these charges exist.

The majority of letting agents base their business model on charging both the tenant and the landlord. Not being able to charge tenants would result in the agent having to pass these charges on to their Landlords, which in turn would put pressure on landlords to increase the rent on their properties to cover the additional cost.

You might ask yourself, however, if increasing rents is an option now why do we not instigate it?

In a mature provincial lettings business around 60% of income is derived from management commission and 40% from other fees including tenant fees. The average management commission nationally is 9%, which means that on average every £1 of rent generated is split 9p into the agent’s pockets and 91p into the landlord’s. So a ban on charging tenant fees, which translates into an increase in rents, will benefit landlords, but would have a large impact on the agent’s profit and loss sheet.

At Crucible Sales & Lettings our average tenant fee is £216 including VAT (dependent on how may people are applying). Our tenants are not VAT registered so this is a cost which they have to burden.

In context, this figure represents a very small percentage of what a tenant will pay over the lifetime of their tenancy based on our average rent and tenancy length. I am sure you would agree this does not feel exploitative.

It is also interesting to look at the average length of a tenancy in 2015. Approximately, 12 years ago the average tenancy was 14 months. It is now double that.

Private rental is now overtaking social housing and has been since 2013. It is no longer a lifestyle choice, a stop gap between leaving school and buying your first home. Increasingly, we house the nation, and with over a million new tenancies being granted every year, renting a home  will be the only property transaction many people will have had experience of.

With this growth in the private rental market comes a responsibility not to alienate a generation of renters. We must work with the new Government to secure longer tenancy lengths and prevent price gouging on fees. We need to ensure that fees are transparent and fair. Tenants must feel safe and secure in the lettings process and landlords should also have a clear understanding of what their agent is charging their tenant.

Important Tax Information for Landlords

Important Tax Information for Landlords

Landlords are being warned to ensure that their tax affairs are in order as HMRC is ramping up its ongoing campaign to catch investors believed to be avoiding paying what is due on their rental properties.

The latest figures available (for 2013-14) state that HMRC inspectors collected more than £130m as a result of investigations into capital gains tax underpayments alone.

HMRC estimates that the number of landlords in the UK is around 1.5m, yet fewer than 500,000 are registered with HMRC as owning rental properties. Continue reading “Important Tax Information for Landlords”

Renting becoming the “norm”?

A new report from housing charity Shelter suggests that renting is becoming the only option for thousands people who are struggling to put money aside for a deposit to buy.

This new trend shows no sign of changing in the near future and has both positive and negtive effects on the housing market.

There’s the obvious reduction in first time buyer numbers but an abundance of tenants for landlords and those looking to become landlords for the first time.

Read the report in full here: http://england.shelter.org.uk/__data/assets/pdf_file/0007/624391/Rent_trap_v4.pdf Continue reading “Renting becoming the “norm”?”