Are the good times over for buy to let landlords

At the moment the property market In the West Midlands is showing no signs of slowing down compared to other parts of the country like the home counties and London. For buy to let investors the past 20 years have been good, the previous crash around 2008 now seems more like a slight dip. House prices in Wolverhampton are now at an all time high, things have changed for Investors however, the government has been tightening the legislation for landlords for some time and investment property prices are high.

Are the good times really over for buy to let landlords I am not so sure, I think the next few years could be unusually rewarding. If there are less buy to let landlords entering the market and certain portfolio landlords are reducing their housing stock, then sooner or later more competitively priced investment properties, will come to market.

Right now mortgage deals are looking great with a low base rate and lenders becoming generous with their products and terms. Lenders have to lend to stay in business and because the buy to let market has shrunk slightly, they are now constantly improving their mortgage products to entice investors. This combination of factors a low base rate, high lender competition and a shrinking investor pool will not be around forever. So you now need to review the lending across your portfolio and speak to Paul at Apple Finance mortgage brokers about how you can take advantage while lenders are in pain, this is your mortgage gain.  01902 213201


Wolverhampton where homes are affordable

The property market in Wolverhampton and the whole of the midlands needs first time buyers, at the moment there are plenty of first time buyers around. A couple were in our Wolverhampton office the other day and they commented “ We are so glad you can arrange a mortgage for us but are there any properties out there at the moment”  To which I replied “ You will have to search the market hard for your dream home because of Brexit lots of sellers are waiting for a certain outcome”

They then replied shall we wait, I said ” If you wait for the market to move subject to Brexit you will pay a lot more for your first home and also the saga of Brexit and its aftermath could dare I say it go on for years”. I also added “First time buyers are now the majority purchasers in the property market place the first time since 1995, mortgage rates are low conditions are good”

The top 10 most affordable postcodes are:

    1 WV2 – All Saints, Wolverhampton = £101,617

    2 B19 – Birchfield, Birmingham = £111,711

    3 WS2 – Pleck, Walsall = £113,297

    4 B6 – Aston, Birmingham = £114,364

    5 WV1 – City Centre, Wolverhampton = £114,565

    6 DY2 – Town Centre, Dudley = £117,328

    7 WV13 – Willenhall, Walsall = £119,398

    8 WS3 – Bloxwich, Walsall = £119,488

    9 B7 – Nechells, Birmingham = £119,958

    10 B21 – Handsworth, Birmingham = £119,968

My name is Paul from Apple Finance contact me for a no obligation independent review of your mortgage finances on  01902 213201

Looking for a mortgage

Looking for a mortgage then make sure that you speak to a Independent mortgage broker who helps first time buyers and clients looking to remortgage. Who specialises in buy to let and commercial mortgages.  Contact  Paul on 01902 213201

The Brexit Property Crash

What happened to the terrible – terrible Wolverhampton property crash due to Brexit?  Sorry it never happened. Look at the figures, and they show a pretty stable housing market. The Halifax index is up 0.8 per cent over the past 12 months, the Nationwide index up 0.1 per cent and the Department for Communities and Local Government’s index up 2.5 per cent. Transactions in the last quarter of 2018 were 0.8 per cent higher than a year earlier.

People selling their properties in Wolverhampton and the West Midlands in general are not dropping their prices by massive amounts as previously predicted by the media. (London based media). No one has satisfactorily explained why the housing market should suffer from Brexit, unless you believe George Osborne’s pre referendum forecast that unemployment would surge by between 500,000 and 800,000 in the event of a Leave vote.

Will people stop moving house or buying property in Wolverhampton just because we are no longer in the EU? If you do have any questions about obtaining a mortgage to buy a property or re-mortgaging your current property get in touch and we can have a chat.

More first time buyers now than the last 20 years

First time buyers make up the biggest part of the property market in the UK for first time in over 20 years. First time buyers reached 372,000 in 2018, accounting for the majority of home purchases for the first time since 1995. This is a rise of 2% in the last 12 months, continuing an upward trend over the last seven years. Although growth in 2018 was at a slower rate than 2017 when it was 7.6% and 2016 when it was 9%, first time buyers overall have increased by 92% from an all-time low of 192,300 in 2008.

First time buyers now account for just over 50% of all house purchases with a mortgage, an increase from 38% a decade ago. The average price paid for a typical first home has gone up by 39%, from £153,030 in 2008, to £212,473 in 2018, and the average deposit has increased by 57% from £21,133 to £33,252 over the same period. Meanwhile, the average deposit put down by a first time buyer was 14% of the purchase price in 2008 at £21,366, jumping to 20% in 2009, the highest over the last decade. In 2018 the average deposit has come down to 15% of the purchase price, although the average property price has continued to increase.

Terraced houses, closely followed by semi-detached properties have continued to be the first-time buyer’s home of choice over the past decade, making up 67% of mortgages for first homes in 2018. New buyers coming on to the Wolverhampton property market are vital for the overall wellbeing of the housing market, and the continued growth in first time buyers shows a healthy movement in this area, despite a shortage of homes and the ongoing challenge of raising a deposit.

Last year was the first year that first time buyers accounted for the majority of the market since 1995, which shows that the factors reducing some of the associated costs, such as continued low mortgage rates and stamp duty, are supporting the increasing number of people taking their first step on to the property ladder. So what are you waiting for first time buyers of Wolverhampton if you are unsure about raising mortgage finance for your first home because you are self employed or have credit issues contact Paul at Apple finance on 01902 213201 for free mortgage advice.



Property Outlook 2019

The UK’s property market experienced a promising first month of 2019, the market gained momentum throughout January, with national figures showing month-on-month growth in new listings For Sale at 113.1% while figures for properties Sold remained on trend at 45.6%.

It soon becomes clear that 2019’s figures were more robust than those recorded in the same period of 2018. New listings For Sale the West Midlands 110%.  Towards the end of 2018 the the usual seasonal declines but the figures remained comparatively robust. Now a month in to the New Year, activity has picked up and this month’s figures have exceeded those recorded in 2018 and 2017. Now well into the New Year, activity has picked up and this month’s figures have exceeded those recorded in 2018 and 2017.”

Wolverhampton News

Perton Park Golf Club, which is based off Wrottesley Park Road, has had its 50 hectares of land offered up to developers to be turned into almost 1000 homes, due to concerns over long-term financial viability. The club has been put forward as part of the Black Country Core Strategy, which will eventually decide where homes will be based across the region in the next 20 years. “So this is bad news for Golf enthusiasts and good news for people in or looking to move to the Wolverhampton area, the long term view with declining membership is for housing as the demand in the Wolverhampton and surrounding areas is ever increasing”. Thanks for reading and if you do need advice to purchase or remortgage a home. Contact me Paul at Apple Finance on  01902 213201


Property repossessions the lowest since 1980

Property repossessions In Staffordshire the lowest since 1980

The number of homes repossessed in the UK fell to its lowest level since 1980 last year, industry figures show. There were 4,600 homes repossessed by mortgage lenders from owners who were unable to keep up with repayments on their home loans. Low mortgage rates and a less aggressive attitude from lenders has meant low levels of repossession in recent years.

The figures from UK Finance, which represents lenders, showed that the number of landlords falling behind on mortgage repayments was unchanged in the final quarter of last year compared with the same three months in 2017. However, within this group, there was a 7% rise in buy-to-let mortgage holders with significant levels of arrears, defined as 10% or more of the outstanding mortgage.

There are just over nine million homeowners with mortgages in the UK, and they have been encouraged to keep a close eye on their finances. “If you do have concerns about your current mortgage product speak to Paul  your local Independent mortgage broker about reviewing your financial situation at the moment apple finance are offering a free impartial review.”

“There is no room for complacency. Possessions may be declining but that can change and borrowers need to be prepared. We suspect that when it comes to their finances there are many people who don’t have a buffer to tide them over should they get into difficulty. Interest rates remain at low levels but there is always a chance they could rise. Borrowers must plan ahead and consider how they would cope if this happens. So you need to plan ahead speak to an Independent advisor about your options moving forwards with a long term plan.


What Will Happen To Wolverhampton House Prices

What do you think will happen to house prices in Wolverhampton after Brexit

Well, that is an easy answer they will go up. Whether we leave with a deal, leave without a deal or even if we don’t leave at all, they will go up. It is just a case of when, how quickly and by what amount. Even with Brexit uncertainty affecting the UK property market, now is an excellent time to be a first-time buyer. If you are thinking of buying your first property, you will face less competition from other potential buyers in such a quiet market. When Brexit is over with, there will be more first time buyers looking and therefore more demand, which will increase prices. If you buy now you could end up paying less than if you had waited. First time buyers have never had it so good Brexit uncertainty is making it easier for first-time buyers to get a good deal on a home. House prices have stagnated in some parts of the country, especially in London, fewer  buyers around has forced some sellers to accept offers way below asking price.


As well as taking advantage of the current “buyers’ market”, first-time buyers can also benefit from historically low interest rates on their mortgage. This has led to monthly mortgage repayments being lower than rent in most of the UK. You’re also throwing away less money. For example, if your monthly mortgage is £1,500, the amount you are paying in mortgage interest may only be around £500. ‘I’ve seen sellers willing to accept 15% below asking price’ This means around £1,000 a month is being knocked off the total amount owed. If you were to rent a place for a similar amount, the whole £1,500 would essentially be money down the drain, as you are paying someone else’s mortgage. So if you can save for at least a 5 per cent deposit to buy a property, there is still the potential to save money every month. Plus, home-buyers can now secure a low fixed mortgage rate for five years at a competitive rate to protect themselves from future interest rate rises. Mortgage deals have never been cheaper for home buyers in Wolverhampton.



Bleak Year Ahead For Wolverhampton Property

British homeowners could be in for another disappointing year as Brexit uncertainty threatens to sap all enthusiasm out of the property market in 2019. New housing market data released on Thursday paints a bleak picture. Nationwide reported that house price increases all but stopped in January, making it the worst month for price growth in six years. “Annual house price growth almost ground to a complete halt in January, with prices just 0.1% higher than the same time last year,” said Nationwide’s chief economist Robert Gardner. “The economic outlook remains unusually uncertain,” he said, noting that prices weren’t budging despite “a backdrop of solid employment growth, stronger wage growth and continued low borrowing costs.”

He predicts that average housing prices would only get a meagre “low single-digit” uplift in 2019 and that’s only if the economy keeps growing at a modest pace and unemployment rates and borrowing costs remain steady. Average annual house price growth was around 2% in 2018, slightly weaker than in 2017, according to Nationwide data. This contrasts sharply with the boom days of mid-2014, when average house prices were rising by more than 11%.

“However if you are looking to buy in Wolverhampton now is a great time, once Brexit has been put to bed and done with and the confidence returns to the market prices will start to rise at a quicker pace”. Do not miss the boat as they say the time is now, buy property and wait not waiting for a stronger market when you will pay more”.

Regards Paul.

Cheap Mortgages In Wolverhampton

First-time buyers and homeowners remortgaging their properties in Wolverhampton have been given some good news at the start of the year as a number of lenders have cut their rates in an increasingly competitive market. The cuts come at a time when the outlook for property sales is at the lowest level for two decades. A report from the Royal Institution of Chartered Surveyors (Rics) said that the looming threat of Brexit had dragged down the UK property market further, with prices falling at the fastest rate in six years.

HSBC said it was reducing fixed and tracker rates. A two-year fixed rate for a loan 95% of the value of the home was cut by 0.1% to 2.99%. A five-year fixed rate was also down 0.1% to 2.29% on a home with 90% loan to value. Both of these moves will help first-time buyers. Meanwhile, Coventry building society dropped the interest rate on its 10-year fixed mortgage – one of the most competitive from 2.35% to 2.25%. However, this only applies where there is a 50% loan to value, so may have a limited number of customers. Accord Mortgages, NatWest and RBS are among the others that have cut rates. Commentators have said that the new rates are a response to increased competition in the market. However this is good news for People in Wolverhampton who are looking for a competitive mortgage product at the moment.

Research shows that mortgage providers have generally left their ranges unchanged during the second half of December, but it seems that some providers have been quick out of the stalls early in January to make sure that they take a competitive advantage into the new year. Coventry was not alone in reducing rates to kick-start 2019. So far January has seen falling rates from HSBC, Furness building society and Accord Mortgages, with the latter making significant cuts in some cases, as well as increasing cashback amounts and decreasing fees on selected products. Virgin Money and Barclays have followed suit, reducing some fees and rates

Contact Paul on 01902 213201 for mortgage advice