“Ireland has topped the European buy-to-let investment league table for the second year running, research by world first has found.”
“Seeking value is important when it comes to making any investment, but especially with property. Some property can be over-priced and others under-priced, and I know which side of that equation I’d prefer to be on.”
“Investors in search of better buy-to-let returns are looking away from London, to cities where prices are low and build-to-rent schemes are booming. Martina Lees crunches the numbers…”
According to the Financial Times, there has been a huge shift in the need for a broker during the buy to let process. Compared to 2008-09, where 70% of the market was done through two lenders, there is now much more choice and with this much more information.
“Article 50, the starting gun for the UK to leave the European Union was triggered on the 29th March and now the UK property market braces itself to see how it will be affected, both in the short and long term, by Britain’s decision to withdraw from the EU.”
The property market tends to be cyclical, when you study property markets from across the globe, it is clear that the majority move in cycles of boom and bust. Governments often aim to control and stabilise market movements but are generally unsuccessful in their efforts.
So, what actually causes these boom and bust scenarios we see time and time again in all parts of the world?
“Speaking at Property Wire’s Future of Buy-to-Let panel discussion Paul Mahoney, founder and managing director of Nova Financial, said London – previously a safe haven for investors – was becoming a less viable option for those looking to build a portfolio as yields have not risen in line with prices.”
James Mole, head of finance and mortgages at Nova Financial, said the LISA was an improvement on the Help to Buy ISA and would give first-time buyers a welcome boost.
“The affordability stress test of residential mortgages has gone too far the other way after years of being too easy. The vast majority of the time people will pay their mortgages on time and lenders know this, but the FCA have made lenders scared to lend. I think this will ease off as we get further away from the last crash but it needs to happen faster.”
According to Paul Mahoney, managing director at Nova Financial, the landlords’ landscape might be changing but property can still be a valuable investment.
“When considering the tax changes and higher rental coverage rates for lending, there are certainly some areas where buy-to-let property investment is becoming less viable. London and the South-East represent standouts, given lower rental yields that average around 3.5 per cent that restrict the maximum borrowings in most cases to less than 60 per cent, so a lot more cash needs to be applied. Given that the average property price in the capital is now in excess of £500,000 the average cash investment is well over £200,000 including costs.”
Paul Mahoney, founder and managing director of Nova Financial, explained that it is the market that will determine the rent not what a landlords think they can charge.
“Mahoney also pointed out that yields are important in the current market and he believes that cities other than London can make better financial sense, citing Manchester, Birmingham and Liverpool as examples.”
The Budget has been set and the Chancellor will not be reversing the mortgage interest tax relief changes expected to come into effect next month, with many reacting to this by saying that the heady easy money days of buy-to-let property investment are well and truly over. But is this really the end of the buy-to-let property dream? We recently attended the Landlord Investor Show, where Paul Mahoney of Nova Financial gave an interesting talk on whether property can still be profitable in 2017.
Due to the Government’s recent so-called attack on buy-to-let, you would be forgiven for believing that property investment is no longer a viable option. But if you invest in major UK cities, excluding London, it still could be…
Combined with Brexit, stricter lending criteria and an unaffordable property market, the Government’s tax changes are making buy-to-let seem like a broken market.
But investing in buy-to-let could still be a lucrative option if you choose major UK cities, explains Paul Mahoney, the Managing Director of Nova Financial, a property investment and finance advisory company.
Nova’s head of finance and mortgages, James Mole, said that there are already lenders slotting into the specialist areas of the market which the big lenders are too inflexible to cater for.
“I think for the large lenders to regain lost ground they need to become more flexible.”
Our managing director, Paul Mahoney, helps understand how one can invest in Britain
“To make solid money in 2017, you should look North.”
Our managing director, Paul Mahoney, helps understand how one can invest overseas especially in Australia.
“Thanks to its reputation as a stable country with sound economic growth — not to mention endless sunshine — interest in moving to Australia is keener than ever”
Finance expert Paul Mahoney, of nova financial, advises on financial protection.
When it comes to financial protection, “the majority of the nation is severely underinsured for if the worst happens,” according to James Mole, head of finance and mortgages at Nova Financial.
“Over the past year, the buy to let market has experienced some substantial changes, most recently the new taxation laws which have left landlords rushing to protect themselves from higher tax bills.”
Paul Mahoney, Managing Director of Nova Financial, shares his thoughts on offset mortgages.
‘Offset mortgages are a great idea and people should use them more. Although the gap between savings and mortgage rates isn’t as large as it was before, depending on how much savings you have, offset can make a big difference.’
Here’s our opinion on why Peterborough is an ideal location for retirement planning as featured in the mail on Sunday.
Nine years into a 15-year, £1bn re-generation, Peterborough remains a good buy-to-let investment. However, there’s still huge potential for house price growth in this burgeoning pocket of East England.
Our managing director shares his views on RICS’s call from more rental homes: “RICS has taken the words out of his mouth in recommending that the government reverse the recent stamp duty changes for second properties and in fact incentivise build-to-rent supply in a vastly under supplied market. He will go one step further and call on the government to incentivise buy-to-let investors to buy new build and off-plan properties and further boost supply.”
Paul Mahoney shares his views on why buy to let is still a safe form of investment.
“From a cash flow perspective, in the current low-interest rate environment when there are 75% buy to let mortgages available at interest rates of sub 2% and achievable yields from property of over 8% there is fantastic potential for strong positive cash flow even at higher levels of debt.”
Our MD, Paul Mahoney shares his thoughts on the implication of Brexit for investors
“Our advice is to focus on areas outside of London such as Manchester and Liverpool that will continue to take advantage of strong population growth and infrastructure spending. The government has committed to maintaining current infrastructure projects and with lower entry prices and higher yields these cities offer a strong investment case.”
Our MD, Paul Mahoney being interviewed for Property Panorama regarding the Post Brexit UK Property market and mortgage market.
Paul Mahoney comments on the effects of Brexit so far as well as where the majority of Nova clients are investing and the recent shift to Northern Powerhouse cities such as Manchester & Liverpool as opposed to London.
Nova Financial’s managing director, Paul Mahoney shares his opinion on PBSA
“PBSA isn’t suitable for growth-focused investors, as it is the rental yield that makes this type of property attractive. It will not increase in value at the same rate as standard residential property.”
Paul Mahoney, managing director of nova financial, shares his opinion on the UK property prices post Brexit ”With the uncertainty in the market many buyers want a sweetener to make them feel more comfortable with making a transaction. Buyers should use this uncertainty and the slowdown in transactions to their advantage.”
Paul Mahoney, managing director of nova financial, expresses his views on Brexit “The response we’ve received from clients, who are in the process of purchasing buy-to-let properties following the Brexit vote has been far more positive than one might have expected. Most people are of the opinion that it is business as usual. In fact, we have posted a record month for transactions in June with more of the same expected for July.”
Nova financial’s managing director, Paul Mahoney comments on the London property market post-Brexit.
“With the uncertainty in the market many buyers want a sweetener to make them feel more comfortable with making a transaction. Buyers should use this uncertainty and the slowdown in transactions to their advantage.”
Our managing director, Paul Mahoney was featured in the new statesman, where he shares his thoughts on how buy to let can still be a great choice of investment despite the recent tax changes.
Recent tax changes on buy-to-let have made investors wary. But Paul Mahoney, managing director of nova financial, says with good advice it can still be a great investment.
Paul Mahoney, managing director of nova financial, express his opinion on how the devaluation of the pound has made UK property market for overseas buyers.
“We have experienced a surge in enquiries over the past week from Hong Kong and China on the best available property investment opportunities in the UK and there has been specific interest in city centre off plan opportunities in Manchester & Liverpool.”
Finance and property advisory firm nova financial has reported a record month for buy-to-let transactions in June, despite last month’s shock Brexit vote.
“The response we’ve received from clients who are in the process of purchasing buy-to-let properties following the Brexit vote has been far more positive than one might expect, and most are of the opinion that it is business as usual.”
Paul Mahoney of nova financial talks about the effects of Brexit on the UK property market.
“The response we’ve received from clients who are in the process of purchasing buy to let properties following the Brexit vote has been far more positive than one might expect and most are of the opinion that it is business as usual”
Buy-to-let sentiment has remained positive despite UK’s decision to exit the European Union, according to Paul Mahoney, managing director, nova financial.
“The response we’ve received from clients who are in the process of purchasing buy-to-let properties following the Brexit vote has been far more positive than one might expect and most are of the opinion that it is business as usual.”
Finance expert Paul Mahoney, of nova financial, advises property investors on planning for the future.
“The referendum is upon us, and regardless of the result, we are going to have to determine our property investment strategies moving forward.”
Paul Mahoney, nova financial’s managing director, shares his thoughts on investing in property at volatile times.
“Our advice to our clients is that property is a long-term investment and therefore isn’t about timing the market, but rather time in the market.”
Nova financial’s managing director, Paul Mahoney, tells us how last week’s budget will affect property investors.
“The stamp duty land Tax (SDLT) changes were confirmed as expected with a slight surprise regarding that it will apply to limited companies purchasing over 15 properties. Some were hoping the changes would be delayed, but that wasn’t to be.”
Managing director of nova financial, Paul Mahoney, explains what’s in store for buy to let investors in the near future.
“The property sector will remain resilient and continue to provide strong returns despite the changes.”
Paul Mahoney, managing director at nova financial, gives his views on the stamp duty changes and its effect on investments.
“The 3% stamp duty premium for buy-to-let properties and second homes has put somewhat of a deadline on those seeking or considering a property investment. That has and will continue to cause a spike in activity in the lead up to April.”
Nova financial is about to launch a ‘robo-advice’ tool to allow investors to access property recommendations through an automated online service.
“Some of our clients are not interested in coming in for a two-hour meeting, we are targeting investors who would prefer to go about their investments in their own way.”
Paul Mahoney, nova financial MD, feels that commissions are consideration but that there is always a quality of product v earnings level balance that needs to be carefully adhered to.
“When a property ticks all of our due diligence criteria there tends to be under strong demand from the market and hence developers do not have the need to pay high commissions.”
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