210 First Timer Buyers in Clapham Bought Their First Home in 2017

A little bit of good news this week on the Clapham Property Market as recently released data shows that the number of first time buyers taking out their first mortgage in 2017 increased more than in any other year since the global financial crisis in 2009. The data shows there were 210 first time buyers in Clapham, the largest number since 2006.

I expect in 2018 that this increase of first time buyers will level out and maybe dip slightly as, nationally, figures demonstrate that first time buyer’s average household income was £40,691 and this represented 17.3% of their take home pay. Although, it might surprise readers that it is actually cheaper to buy than it is to rent at the ‘starter home’ end of the housing market. Many of you can remember mortgage rates at 12% ... even 15%. Today, at the time of writing this article, I found on the open market, 189 first time buyer mortgages at 95% (meaning only a 5% deposit was required) with 3 year fixed rates from a reputable High Street ba…

An extension could add £150,625 to the value of your Clapham home

As our families grow bigger the need for more space, be that bedrooms or reception rooms, has grown with it. Also, as our older generation lives longer and nursing home bills continue to rise quicker than a rocket on the 5th of November (the average nursing home bill in the area being £862.50 per week) many families are bringing two households into one larger one.

So, should you move somewhere larger, or extend your Clapham property to make it large enough for you and your family? In some circumstances the choice has been made for you. If you live in an apartment with no garden, there isn’t much of an opportunity of making it larger. But if you have a house with a garden or an attic with sufficient headroom, extending your home becomes a real prospect.

Even if it makes more sense to extend or move, the choice hangs on a number of different dynamics – your future plans, money (both saved and access to finance), in what way you are emotionally attached to your home, the particular a…

Clapham Property Market – The 22.7% ‘New Build Premium’

According to the National House Building Council (NHBC), more than 17,800 new homes were registered to be built in London last year, an increase of 1.5% on 2016 levels of 26,150 dwellings. Great news when you consider it is one of the highest number of new builds in the region since the pre-recession levels of the Credit Crunch and the uncertainty of Brexit and the General Election.

So, when a landlord recently asked me why the brand-new property she was considering buying was a lot more expensive compared to a second-hand/existing property of similar type, accommodation, location and structure I thought this would make a fascinating topic to do some homework on … homework I want to share with the homeowners and landlords of Clapham.

You might believe that the difference between purchasing a new build home against purchasing a second-hand/existing home is just individual preference. Some buyers/tenants like the ostentatious trendy modern feel of a new home, whilst others like a hom…

Clapham’s ‘Millennials’ set to inherit £200,920 each in property!

That got your attention ... didn’t it!

But before we start, what is Generation X, let alone Generation Z, Millennials, Baby Boomers ... these are phrases banded around about the different life stages (or subcomponents) of our society. But when terminologies like this are used as often and habitually as these phrases (i.e. Gen X this, Millennial that etc.), it appears particularly vital we have some practical idea of what these terms actually mean. The fact is that everyone uses these phrases, but often, like myself, they are not exactly sure where the lines are drawn ...until now…

So, for clarity …

Generation Z: Born after 1996
Millennials: Born 1977 to 1995
Generation X: Born 1965 to 1976
Baby Boomers: Born 1946 to 1964
Silent Generation: Born 1945 and before

My research shows there are 1,152 households in Clapham (SW4) owned by Clapham Baby Boomers (born 1946 to 1964) and Clapham’s Silent Generation (born 1945 and before). It also shows there are 11,587 Generation X…

Clapham’s £96,067,680 “Rentirement” Property Market Time Bomb

Yes, I said ‘rentirement’, not retirement ... rentirement and it relates to the 193 (and growing) Clapham people, who don’t own their own Clapham home but rent their home, privately from a buy to let landlord and who are currently in their 50’s and early to mid-60’s.

The truth is that these Clapham people are prospectively soon to retire with little more than their state pension of £155.95 per week, probably with a small private pension of a couple of hundred pounds a month, meaning the average Clapham retiree can expect to retire on about £200 a week once they retire at 67.

The average rent in Clapham is £2,074 a month, so a lot of the retirement “income” will be taken up in rent, meaning the remainder will have to be paid for out their savings or the taxpayer will have to stump up the bill (and with life expectancy currently in the mid to late 80’s, that is quite a big bill … a total of £96,067,680 over the next 20 years to be paid from the tenant’s savings or the taxpayers cof…

Clapham Private Rents Hit £35.56 per sq. foot

As I am sure you are aware, one the best things about my job as an investor is helping Clapham other investors with their strategic portfolio management. Gone are the days of making money by buying any old Clapham property to rent out or sell on. Nowadays, property investment is both an art and science. The art is your gut reaction to a property, but with the power of the internet and the way the Clapham property market has gone in the last 11 years, science must also play its part on a property’s future viability for investment.

Many metrics most property professionals (including myself) use when deciding the viability of a rental property is what properties are selling for, the average rent, the yield and an average value per square foot.

However, another metric I like to use is the average rent per square foot. The reason being is that is a great way to judge a property from the point of view of the tenant ... what space they get for their money. Now of course, location (locatio…

Video 18/30 - Making Money from "Sitting" tenants!

Have you ever heard that phrase - "sitting tenants"? Well it's a pet hate of mine when someone misuses it, but you can spin it to your advantage. Here's how!

Excellent investments are in my blood! I find more deals than I can buy myself, so if you are keen on expanding your portfolio then you have to register here for me to send you deals straight to your inbox. WeSourceLondon.Properties is my new outlet for deals that I can't do, primarily because I'm hitting the ceiling of angel investment I am able to raise. So there's two things you can do: 1. Become a property owner yourself and let me source you a deal or 2. Part-fund one of my projects! Get in touch to learn more.

Investing Tips - Video 17/30 - Qualifying Tenants

Have you ever done a viewing with a tenant and left facepalming yourself? Surely it's easy to remember to ask them about move date and whether they can afford it? WRONG! We all forget to do the basics sometimes but here's a video that will help!

Some may say I can sniff out a good deal. Well perhaps. If you want to know about every good buy to let property that comes my way then REGISTER HERE! My company WeSourceLondon.Properties will deliver turnkey investments straight to your inbox. I'll source. I'll manage the brokers, solicitors, builders and ultimately get the property let and managed for you at a preferential rate. But it all starts here!

Video 16/30 - Bridging Finance!

You'll have heard me talk about bridging finance before, primarily because I use it to expand my portfolio rapidly.

Here's a video explaining the ins and outs.

Are you looking to expand your buy to let portfolio? Sign up here to receive my hand-selected buy to let deals straight to your inbox. With all the sums done for you and my team and I sorting out the

Second Sourced Property of the year - Exchanged! Video Tour for you to watch! 👀😎🏚➡️🏡

And here we go! Another property has been sourced by WeSourceLondon.Properties, my deal sourcing and packaging business. In this video I take you around the new project and show you what we're going to do.

If you are interested in seeing properties that I have sourced and negotiated a super purchase price on, be it on or off market, then sign up here. As always if you'd like to come and have a look at one of my projects just drop me a line and let's start the conversation. Or allow me to answer your questions in person at the next Clapham Property Meet!

Video 15/30 - All About Notice Periods

How much notice do you need to give your tenant? Vice versa? Well here's all about notice periods and how you can use them to your advantage.

Remember, if you want to learn more about property investing join me at this month's Clapham Property Meet and have a chat in person.

Video 14/30 from Investing Video tips series - Statutory Period Tenancies!

So what is a Statutory Periodic tenancy? In this video I'll reveal all!

Remember if you are looking to expand your portfolio do get in touch. I have set up my separate Deal Sourcing Company call WeSourceLondon.Properties which, if you register, you will receive regular deals straight through to your inbox. Register here.

£2,641.52pm – The Profit made by every Clapham Property Owner over the last 20 years

As we go headlong into 2018, I believe UK interest rates will stay low, even with the additional 0.25% increase that is expected in May or June. That rise will add just over £20 to the typical £160,000 tracker mortgage, although with 57.1% of all borrowers on fixed rates, it will probably go undetected by most buy-to-let landlords and homeowners. I forecast that we won’t see any more interest rate rises due to the fragile nature of the British economy and the Brexit challenge. Even though mortgages will remain inexpensive, with retail price inflation outstripping salary rises, it will still very much feel like a heavy weight to some Clapham households.

Now it’s certain the Clapham housing market in 2017 was a little more subdued than 2016 and that will continue into 2018. Property ownership is a medium to long-term investment so looking at that long-term time frame; the average Clapham homeowner who bought their property 20 years ago has seen its value rise by more than 434%.


It's that time again - for an update on my Peckham Project!

Update on my Latona Road project. A stunning refurbishment of a run down property. It will end up being a 5bed 2bath luxury apartment for professional sharers. i purchased with bridging finance and will refinance on to a long term product once I've added £100k of value and the property is let at circa £3000-3250pcm. Nearly done, just painting and tiling and we'll get it all dressed ready for immediate occupation!

Have a look at the video and follow the progress!

You need to know this if you're letting a property in Clapham (or elsewhere)

Here we go, another regulatory update. You will, as a savvy investor and landlord, know about the various bits of paper that you need to give your new tenants upon move-in. Alas this list is an ever-changing one! This month the government has launched an updated version of the "How To Rent" booklet.

In the know (Before move-in/signing tenancy agreement you must give the tenant(s) a copy of: (and make sure they are either a pdf via email or hard copy, NOT a link) 1. EPC 2. Gas safety certificate (in date of course and it must be valid for 1 month after the date of move-in) 3. How To Rent Booklet which you can download here 4. Tenancy Agreement

Post Move-in 5. Inventory and check-in report 6. Deposit registration information (within 30 days)

Here are a few important notes: Take special care that you give them an updated version of the HTR booklet (link above)They must have seen the EPC (and if you are letting after 1st April 2018 your property must be rating E or above) before …

With Clapham Annual Property Values 1.2% Higher, This is My 2018 Forecast

Looking at the newspapers between Christmas and New Year, it seemed that this year’s sport in the column inches was to predict the future of the British housing market. So to go along with that these are my thoughts on the Clapham property market.

With the average 5-year fixed rate mortgage at 1.98% (down from 3.47% in 2014) and 2-year fixed rate at 1.47% (down from 2.37% in 2014), mortgage interest rates offered by lenders are at an all-time low (even with the slight increase on the Bank of England base rate a few months ago). Added to this, there has been a low unemployment rate of 5% in Clapham, which has contributed to maintain a decent level demand for property in Clapham in 2017 (interestingly – an impressive 741 Clapham properties were sold in last 12 months), whilst finally, the number of properties for sale in the town has remained limited, thus providing support for Clapham house prices, meaning …

Clapham Property Values are 1.2% lower than a year ago

However, moving int…

My thoughts on the future of the Clapham Buy-To-Let Market

I was recently reading a report by the Home website which suggested that hordes of landlords are selling their buy-to-let investments due to increasing burdens on them in the buy-to-let market. Their findings suggest the number of new properties that came onto the market nationally (for sale) jumped by 11% across the UK as a result.

Those increasing burdens include new tax rules coming in over the next 3 to 4 years and the announcement that all self-managing landlords (i.e. landlords that don’t use a letting agent to look after their buy-to-let property) will soon need to register with a compulsory redress scheme to resolve tenant arguments and disputes; as Westminster wants to heighten standards in the Private Rented Sector.

Interestingly I was chatting with a self-managed landlord from the north side of the Common, when I was out socially over the festive period, who didn’t realise the other recent legislations that have hit the Private Rented sector, including the ‘Right to Ren…

Youngsters unable to buy their first home in Clapham – Are the Baby Boomers and Landlords to Blame?

Talk to many Clapham 20 something’s, where home ownership has looked but a vague dream, many of them have been vexatious towards the Baby Boomer generation and their pushover ‘easy go lucky’ walk through life; jealous of their free university education with grants, their eye watering property windfalls, their golden final salary pensions and their free bus passes.

If you had bought a property in Clapham for say £30,000 in first quarter of 1977, today it would be worth £907,667, a windfall increase of 2925.56%.

But to blame the 60 and 70 year olds of Clapham for that sort of rise seems a little unfair, with the value of the homes rising like rocket, I don't believe they can be censured or made liable for that. A few weeks ago, I discussed in my blog the number of people in the Clapham area who have two or more spare bedrooms (meaning they are under-occupying the house). I see many mature members of Clapham society, rattling around in large 4/5 bed houses where the kids have flow…

Clapham Apartments are only 18.7% more expensive in REAL terms than 10 years ago

My research shows that certain types of Clapham property are a little more affordable today than what the newspapers might make you think.

Roll the clock back to 2007 just before the credit crunch hit which saw Clapham property values plummet like a lead balloon and the Clapham property market had reached a peak with the prices for Clapham property hitting the highest level they had ever reached. Between 2008 and 2010, Clapham property values lay in the doldrums and only started to rise in 2011, albeit quite slowly to begin with.

Nevertheless, even though property values have now passed those 2007 peaks, my research indicates that Clapham property, especially flats/apartments, are now more affordable than they were before the 2008 credit crunch.

Back in 2007, the average value of a Clapham flat/apartment stood at £387,385 and today, it stands at £560,530, a rise of £173,145 or 44.7%.

However, between 2007 and today, we have experienced inflation (as measured by the Government’s …