How long does an eviction take – and more useful information

Repossession is the last situation a landlord wants to consider, but if you find yourself in a position where you need to retrieve your property from tenants you need to know where you stand. But if you found yourself needing to take back control of your property, would you know how to proceed in court?

Find out how long does an eviction take

and more useful information on possession, an often tricky, costly and time-consuming process.

How to evict a tenant in the UK

Possession is a tricky process to navigate and can be costly and time-consuming. So, it’s very important to explore other options before taking this route. Try to resolve the situation with informal talks with your tenant to see if the situation can be resolved amicably.

If that fails and you decide on the repossession route for assured shorthold tenancies (ASTs) in England and Wales, you have two options.

  1. You can use Section 8 where there has been a breach of tenancy,
  2. or Section 21, which requires two months’ notice, but can be used at any time after the fixed term.

How long does an eviction take & how much it costs

The time it takes to regain possession surprises many landlords, even under the Section 21 accelerated procedure which doesn’t require a court hearing.

On average, Section 21 takes 104 days to regain possession, and Section 8 takes 145 days.

Costs range from £3,525 for Section 21 and £5,730 for Section 8.

Under Section 8, you must indicate which grounds you are using to reclaim possession. Many grounds are discretionary, even if you prove the ground, the judge can choose whether to grant possession.

How many rent arrears before eviction

For Section 8 claims, rent arrears or late payments were by far the most common reasons, with over 90%. Ground 8 is a mandatory ground – two months or more arrears on the date of the court hearing. Therefore, there is a greater probability of repossession.

Seek advice

Regaining possession can be stressful, time-consuming and costly. Forms and paperwork can be confusing and not intuitive to fill in. This results in landlords also commonly make procedural or administrative mistakes. Unfortunately, these can delay the process or cause rejection. If you not served any notice or issued any court proceedings before, it’s best to seek advice before beginning the process to avoid any issues down the line.

It’s also important to note that in order to successfully serve a Section 21 in England you need to have issued the correct prescribed information (in some cases before the tenancy commences). Failing to do so could potentially render your Section 21 invalid, so it’s important to get everything right from the start to avoid issues later on. Evicting a tenant and recovering the rent

What is West London Property Networking?

If you have any questions on property or block management, please contact Pelin Martin to book a 30-minute complimentary property consultation on +0208 994 7327 –

UK Housing Stock Availability and Demography

Many young Britons believe that the housing market is against them.

In the past two decades, house prices have doubled in real terms, because of both

  1. tight planning restrictions, which have limited the supply of homes,
  2. and low interest rates, which have stoked demand for them. Buy to let mistakes

Theresa May, the prime minister, has described the scarcity of housing as

the biggest domestic policy challenge of our generation.

But the reality is that it challenges some generations more than others.

Elderly generation, who bought their houses before the boom, own a huge slice of overall housing wealth relative to their share of the population.

It is a different story for youngsters. A 27-year-old living today is half as likely to be a home owner as one living 15 years ago. Yet there may be a silver lining for Millennials. The thinking goes that, within a decade or two, baby-boomers (the bumper generation born between roughly the early 1940s and early 1960s) will begin to sell up, as they first start to downsize, then move into elderly people’s accommodation and, eventually pass on. As their properties are put on the market, supply will rise, depressing prices and bringing ownership within reach for more people. Calculations give an idea of the effect on house prices when boomers begin to sell up.

England’s owner-occupier baby boomers live in houses with an average of three bedrooms.

If all of them downsized to homes with 2 bedrooms, that would free up housing equivalent to around 2.5% of the current UK housing stock.

A 1% rise in the UK housing stock leads to a 2% fall in prices and rents, all else being equal. On that basis, a mass downsizing would imply a cut in prices of about 5%. Yet so far, the British boomers are in no rush to scale down. In contrast to America, Britain does not have much of a downsizing culture. By one calculation just 40% of Britons who owned their homes at age 50 will move to a new house before they die. The evidence points to geography and climate as the instigator for movement where in Britain sunnier climates are in short supply. Although an intrepid few pensioners retire to the continent, Brexit is likely to make that harder. Government policy also discourages downsizing.

Stamp duty, the tax on home buyers, makes moving expensive.

As house prices have risen in the past decade, the average amount of stamp duty charged per house-purchase has risen by half in real terms. Meanwhile, there is a little direct cost associated with remaining in a large empty nest. If downsizing is unlikely, boomers may at least sell up when they move into an old people’s home. But here, options for elderly Britons are also limited whereby there is a huge opportunity for developers. Perhaps 3% of British over 65s are in some sort of residential care, compared with more like 5% in America.

Britain is undersupplied with good retirement housing.

More than half of the existing stock was built or last refurbished more than 30 years ago. This points to a massive opportunity for assisted living accommodation which needs to be brought into mainstream supply. All this means that it may be only when baby-boomers start to pass away, that lots of housing will begin to change hands. The most common year of birth for the baby-boomer generation is 1947. Since their most common lifespan is around 87 years, peak death could occur in 2034, when Britain will see around 15% more fatalities the house hunters it will be a help. By that time, baby-boomers’ deaths will be pushing down on house prices by around 0.7% a year. Yet just as the housing crisis affects different generations unequally, the impact of the great baby boomer sell-off will have an unequal effect on different groups of youngsters. Landlord Tax on holiday lets

The boomers will leave record amounts of wealth to their descendants.

According to calculations, roughly 100 billion are left behind each year. Over the next 20 years, the total value of bequests is expected to more than double, peaking in 2035. By 2020 a couple will be able to pass on a house worth 1 million tax-free. Most of this new-found wealth will go to a relative few. Nearly half of non-homeowning millennials have no parental property wealth at all according to current research. The other half will be able to use their inheritance to gain greater purchase in the housing market, for themselves or their own heirs and heiresses. A class of wealthy oldsters is moving on, only to be replaced by a class of wealthy inheritors. Demography will put downward pressure on house prices. But some people have a lot more to look forward to than others. For developers, this is something to bear in mind. How do mortgage lenders calculate the affordability

The opportunity for assisted living accommodation is great and the demand is there as the baby boomers become more reliant on healthcare and mobility restricted.

Contact Valeska Pack at SpaceShapers Architects, Project Managers and Low Energy Designers, to have your property or project assessed for how you can expand and rework it to develop a feasible brief and maximise your returns.

D: +44 (0)7972 803451

T: +44 (0)20 3092 6183

Buy to let mistakes

In this article, we talk about property investment we are referring to buying and holding for the long-term, as in 10 years or more, rather than an entrepreneurial activity where one buys with a view to renovate and sell.

There are many buy to let mistakes you can make when purchasing an investment property.

Cash Flow

Most property investors will name financial freedom as the primary reason for investing in property.  Generally, the main way you can achieve that financial freedom is by replacing employment income with passive income from your investment, in the form of cash flow.

So, it stands to reason that cash flow is most important, right? We find that most investors and would-be investors start out with a default position of “cash is king” and simply chase cash flow as their main form of investment return. This goal is all well and good so long as you already have a sufficient asset base to generate an acceptable level of income to enable you
to replace your income. Capital growth is quite important in the cases that you are investing a small proportion of the property in the deal. For instance; £50,000 invested in a £200,000 property that doubles in 10 years mean that you’ve turned your £50,000 into £250,000. Do that a few times and you will achieve your £1M and be able to generate the required £50,000 per annum. Tenant Eviction and Rent Recovery

Buying Cheap

Why wouldn’t you want to buy cheap properties? Well, unless you are buying at the bottom of the market and able to get good quality properties in good areas that are being sold in distressed situations, then usually “cheap properties” are cheap for a reason. The lack of demand for the property is due to a lack of desirability. Unless you are going to do something significant to change the lack of desirability, like a major refurbishment or a complete knock-down and rebuild, then that probably won’t change. You want to invest in a property with growth or rental return potential.

Supply and demand drive the property market. So, you want as much rental and buying demand as possible as that will drive your returns. The desirability to potential tenants and future buyers is of utmost importance. If you have the most desirable property in an area, then you can have confidence in high demand. Landlord Tax on holiday lets

Target Market

Understand who is your target market is and what they want. Analysing the socio-economic levels and demographics of an area is key. Look at average incomes, vacancy rates, unemployment rates, household make-up, average age etc will help you understand who your potential tenant and resale market will be. One way to do this is to analyse census data. However, these are only done every 10 years. So, depending on how long since the last census, this data can be out of date. You must understand what your target market wants and make sure the demand is skewed in your favour. If you’re investing in an area that has high single occupancy rates then a one-bedroom apartment is probably the best purchase, if you’re investing in a family oriented area than a 3-bedroom house probably makes the most sense. How do mortgage lenders calculate affordability

Emotional Buying

A recent report stated that 90% of all buy to let investors buy within 5 miles of their own home as that is the area that most people are comfortable with as they know the area well. They can go around to the property whenever it is necessary.  This isn’t generally the best strategy as there is the high statistical probability that the chances of the best investment being within that circle are fairly slim. Not impossible but slim to say the least. This is where seeking advice on what is most suitable for your situation becomes of utmost importance. An experienced and qualified property advisory company can assess your situation and conduct thorough due diligence on finding the most suitable investment opportunities from the entire market to ensure you make the best possible investment and achieve the right outcomes. How to check if a property is gas safe

Fearing Debt

Many investors spend a large portion of their time trying to reduce the mortgage on their homes and achieve a debt free position. So, why would they now want to go out and leverage themselves again?

For instance, turning £50,000 into £250,000 with your property investment, if you invested that same £50,000 in cash and the investment outcomes were the same (doubling over 10 years) you’ve turned £50,000 into £100,000. This is £150,000 less than the geared example.

In the current low-interest rate environment where mortgages are being offered at 2-3% and properties are yielding between 4-10%, it simply makes sense to have some leverage to take advantage of the differenceBills included rent

Fearing Leasehold

We have all heard the horror stories of service charges rising exponentially. What we don’t often hear though is the costs associated with freehold properties.

In usual cases, the costs of maintaining a freehold property are often higher than maintaining a leasehold apartment even after service charges.

Over the past 20 years, apartments have outperformed houses in terms of capital growth and rental yields and most apartments being leasehold. They also tend to be located in populated areas. So, disregarding leasehold apartments could be a big mistake.

The point to make here is that both types of properties can be good investments. You should consider all properties on a case by case basis and with an open mind. Generally, new or near new properties are lower maintenance and more passive. Hence, they incur less risk of high or rising costs. However, new builds don’t tend to increase in value in the first few years.

Cost Calculation

Rent – Minus Mortgage Repayments = Net Income

Is this how we should be calculating rental income when buying a property? Anyone with property experience would tell you that is absolutely not the case.

Costs that need to be considered include;

  • Maintenance
  • Management
  • Lettings
  • Service charges
  • Ground rent
  • Re-Mortgaging
  • Tax & Accountant fees
  • Mortgage repayments

Then there are also capital costs (entry costs) and exit costs such as;

This list may seem long and they will not all apply to all properties but you are always better of over accounting for costs and under-accounting for returns and then you shouldn’t be disappointed. if you’re unsure what costs will apply to your properties or a property you are considering, seek advice.

What is West London Property Networking?

If you have any questions on property or block management, please contact Pelin Martin to book a 30 minute complimentary property consultation on +0208 994 7327 –