The home worth index is a certain indicator of tendencies available in the market and the publication of its state of play on the end-of-year featured in lots of UK property information headlines – simply as you may anticipate.
However developments within the personal rented sector additionally attracted their justifiable share of consideration as tales circulated about native authority licensing schemes and their powers of enforcement, particular considerations about damp and mold in let property, and additional authorities funding directed in direction of assuaging homelessness.
Let’s take a better look behind a few of these headlines.
Nationwide Home Value Index – December 2022
The home worth index maintained by the Nationwide Constructing Society confirmed the downward development that has characterised the UK housing market for the reason that closing quarter of final yr:
- for the fourth month in a row, the speed of progress continued its decline – marking an additional 0.1% fall in December, following a 1.4% drop in common costs in November, and leading to a 12-month improve to the top of the yr of a mere 2.8% (the corresponding determine for the yr to the top of November 2022 had been 4.4%);
- the general consequence was a drop in common home costs of two.5% from the height reached in August final yr – probably the most vital fall in costs since these recorded in 2008;
- the declining charge of progress was felt throughout all areas of the UK, the Nationwide’s figures present;
- the consequences had been most noticeable within the southwest of England, the place the annual improve in home costs fell from its excessive of 12.5% to only 4.3% by the top of the yr;
- Scotland recorded the worst market efficiency – with home costs rising by simply 3.3% over the entire of 2022;
- East Anglia, against this, carried out comparatively strongly by displaying a mean improve of 6.6% in home costs within the 12 months to the top of the yr;
- in Wales, progress slowed from an annual excessive of 12.1% within the third quarter to complete the yr at simply 4.5%;
- in Northern Eire, common home costs rose by 5.5% in the course of the course of 2022.
The distinction between the strongest and weakest performing areas was the narrowest it has been for the reason that constructing society started its index in 1974.
Propertymark: Licensing schemes and native authority enforcement considerations
In a press launch on the 30th of December, letting brokers’ and landlords’ strain group Propertymark questioned whether or not native authority licensing schemes do what they’re claimed to do in elevating the general requirements of lodging within the personal rented sector.
The group argues that licensing schemes can show costly for landlords and could also be an ineffective method of tackling anti-social behaviour by tenants, or managing the issues of low demand or of long-term empty properties.
Propertymark is particularly crucial of native authorities’ licensing of Homes in A number of Occupation (HMOs), fearing that over-regulation might find yourself denying the supply of this low-cost housing to low-income households and means that the planning system is likely to be a extra environment friendly method of managing the operation of such housing.
Glasgow council warns landlords over damp and mold
In Scotland, The Herald newspaper on the twond of January revealed that greater than 1,500 official notices have been issued by Glasgow Metropolis Council previously few years warning personal sector landlords of harmful ranges of damp and mold in let properties.
The warnings are made by the use of Statutory Nuisance notices issued beneath the Environmental Safety Act 1990, defined the newspaper story, and though the quantity reached a peak between April 2018 and March 2019, 150 have already been issued within the present monetary yr to the top of March.
Minister reveals thousands and thousands extra to fund PRS help schemes for homeless
The federal government is stepping up its monetary help to assist councils throughout England fight the incidence of homelessness, reported Landlord Zone not too long ago.
The Christmas announcement promised as much as £654 million in funding to assist native authorities help households liable to eviction and homelessness and people who may in any other case be sleeping tough.
Council will have the ability to use the funds in discussions and negotiations with landlords and in addition use it to offer non permanent lodging or to furnish a deposit for a brand new dwelling for weak households and people at risk of turning into homeless.
Along with an additional £24 million to assist home abuse victims who’ve been made homeless, the brand new funding provision is a part of the official £2 billion of public cash aimed toward tackling tough sleeping and homelessness.