Property Advice

Monday 31 July 2017

My Tenant Has Disappeared – What Shall I Do?

In the main tenancies are conducted without disruption and within the usual processes and procedures, there will be a check out meeting and keys handed back to either the landlord, his agent or the Inventory clerk.



Though on the odd occasion, you may find that your tenant has just disappeared, what then?  Do you just re enter, clean the place up and re let?
Well, yes and no- and many landlords act instinctively and go with their gut feeling. The typical thing is to change the locks, though this puts you on the wrong side of the law with your actions resulting in an unlawful eviction.
You could get hit from both sides here as firstly, the Local Authority can prosecute you and secondly, if the tenant reappeared out of the blue, he/she could sue for compensation.
If you had reason to believe that the tenant had finally vacated, then this is your one line of defence. In situations like this and for the sake of covering your own back – best practice is to leave an abandonment notice on the door. save any comebacks.
The only drawback with this is if there was some kind of unforeseen event concerning your tenant; he/she may have been involved in a serious car accident and was in intensive care for 2 weeks or even the sudden passing of a close relative would both suggest that your tenant may not even have seen the notice.
As this is a Civil matter, in law there is the concept of what is known as Implied Surrender, this means that if the tenants actions were not consistent with vacating in the usual way, as a landlord you can accept the offer to vacate the property and go in and change the locks.
The question is how you know when this will apply – here are the four different scenarios:
1      Has the tenant indicated that he will vacate by a certain date?
If the tenant told you in April that he would be leaving in June and there was no further correspondence or contact and you visited the property say in July and saw there was no one there – it’s a fair assumption that your tenant has left. This however, may be subject to the following;

2     Have any keys been left behind?
This is the most important sign- if keys have been left behind, then it suggests that possession has also been given up.

3    Are any possessions left behind?
If you see no sign of any personal possessions left in the property, then it would be safe to assume that the tenant has given up possession of the place, especially, if the keys have also been found in the property.
In the instance that you find the tenants possessions remain in the property, then it may be wise to take a cautious approach and apply for a possession order from the Court.
Are there any rent arrears?
Unless you can see that the tenant has clearly moved out, do not go for possession of the property if you have been receiving rent and payments are actually up to date. If the tenant wants to leave the property empty that is their prerogative
If on the other hand there are arrears and you find the place empty and keys left behind, then it’s safe to proceed with getting the place ready for re letting.
It will also make it safer for you to repossess, if the tenant was to make a claim against any illegal eviction, any award he gets would be off-set against any rent arrears.
Again, it pays to be cautious as tenants are entitled to occupy the property whilst be in arrears, until such times they are evicted by a court order.
Final thought

If you have used an Agent to rent your property or otherwise, it’s always worth having details of your tenants next of kin as a point of contact in such a situation may prove to be very handy, in this situation. It’s also been known for dishonest tenants to make it look as if they have moved out to entice the landlord to gain possession  only to try and sue them later to be compensated for unlawful eviction. 



How Much Is Your Property Worth? Click Here To Find Out For FREE

If you are looking for an agent with experience that can help you find the right tenant for your property, then contact me to find out how we can get the best out of your investment property. Email me on chris@ashmoreresidential.com or give me a call on 020 7435 0420. Pop in for a chat – we are based at Ashmore Residential, Suite 7, 25-27 Heath Street, London, NW3 6TR. There is plenty of parking and the kettle is always on.

Don't forget to visit the links below to view back dated deals and Hampstead Property News.

Friday 21 July 2017

Hampstead Homeowners Move Once Every 18 Years


Now that some of the dust has settled from the result of the General Election, the local market has become somewhat subdued and I expect that the ferocious rise in house prices we have seen over the past 2-3 years will stabilise of the next 12 months. We have seen the share price of these large house builders drop significantly since June 8th,  though  it’s this supply and demand imbalance that brings me on to what I see unfolding as a long term trend in the Hampstead property market.

Monday 17 July 2017

Are first time buyers really priced out of The Hampstead Property Market ?


We are constantly hearing stories in the press about the severe housing shortage and lack of new build properties that is fuelling house price inflation, making home ownership further and further out of reach for the younger generation. 
As a landlord and as someone who advises landlords, I'll be the first to admit that daring to ask the question wont win me any popularity contests. 
Having said that, after avidly listening to Property Hour on LBC at 9pm and reading various articles in property publications, the topic aroused my curiosity. 

Friday 7 July 2017

Hampstead Property Market – Summer time Blues?

The Land Registry has just released their latest set of figures for the Hampstead Property market. It makes interesting reading, as average property values in Hampstead have stagnated since June of last year. This leaves average property values just 0.3 % higher than 12 months ago, meaning the annual rate of growth in the area fell to its lowest level since January 2012. When we compare Hampstead against the regional picture, London property values fell by 1.2 % between April and June, from 5% the previous quarter.  

Obviously this is a far cry from the price rises we were experiencing in Hampstead throughout 2014. At one point (August 2014 to be exact) property values were rising by 22.7% a year. All the same, even with the tempering of the Hampstead property values in 2015, property values are only marginally higher than a year ago, though once we account inflation of 2.9%, values have fallen in real terms. This is not good news for local homeowners who had been affected by the downturn after 2008, though they can take solace in the fact that prices today are 57% higher. 



However, the thing that concerns me is that the average number of properties changing hands (i.e. selling) has dropped substantially over the last couple of years in the area. For example in April 2014 (see above), 90 properties sold in Hampstead but in April 2015, that figure dropped to 41. The most significant event that had bucked the trend in 2016 was the announced Stamp Duty hikes on both primary residences and second homes which saw a substantial increase in supply in the first quarter to 115 properties sold from January to April. In practice, chains need a buyer at the bottom to allow everyone to move, this was heightened by investors keen to avoid the 3% stamp duty hike that was due to take effect from April 1st. Interestingly, a Bank of England Survey of lenders revealed that the majority of those who sold where first time sellers looking to trade up, as opposed to the common assumption that there was a flurry of landlords selling to other buy to let investors. The surge in demand from investors who were in competition with first time buyers was used to help them get their foot on the next rung of the housing ladder.

I have been in the Hampstead property market for quite a while now and the one thing I have noticed over the last few years is the seasonality of the local market. Since the changes in Stamp Duty, I was curious about the number and type of homes selling and how the trends have changed. Below are the results from April 2016 to April 2017. (Source: Home.co.uk - House Prices Report for Hampstead 2016-17)


There is simply not as much choice of properties to buy in Hampstead and with its population set to increase by 10% over the next decade this will generally strengthen house price growth for the long term.


How Much Is Your Property Worth? Click Here To Find Out For FREE

If you are looking for an agent with experience that can help you find the right tenant for your property, then contact me to find out how we can get the best out of your investment property. Email me on chris@ashmoreresidential.com or give me a call on 020 7435 0420. Pop in for a chat – we are based at Ashmore Residential, Suite 7, 25-27 Heath Street, London, NW3 6TR. There is plenty of parking and the kettle is always on.

Don't forget to visit the links below to view back dated deals and Hampstead Property News.





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