Docklands News

Landlords could see stamp duty bills jump by a third if Rishi Sunak introduces a new tax in his Spring Statement. The Office for Budget Responsibility left a note in autumn Budget documents pointing to the three percentage point stamp duty surcharge on additional properties increasing to four. Ben Beadle, of the National Residential Landlords Association, says a four percentage point charge would shut out new investment at a time when rental supply was at an extreme low, warning: “Increasing stamp duty would lead to a sharp fall in the supply of homes to rent”. Such a move would particularly hit those landlords who chased high yields in the North. 

The Daily Telegraph (16/03/2022)  

First-time buyers take an average of eight years to save enough money for a deposit on their first home, new research has found. According to the Barclays Mortgages' First Time Buyer Index, the average person starts saving for a deposit at 24-years-old and buys their first home when they are 32. The research also found that the number of first-time buyers in the UK has almost doubled in the past year. However, 56% revealed that they would have struggled without support from their family. First-time buyers paid an average of £281,000 for a house in 2021, down £12,600 compared to 2020 but more than the average house price in 2019, which was £249,700. The survey also revealed confusion from potential homeowners about how to even start the process. More than 55% confessed they had no idea where to begin, while 39% didn't know they had to factor in solicitor's fees. Nearly half were unaware of stamp duty. 

Metro (15/03/2022)   The Independent (15/03/2022)  

With the Queen moving out of Buckingham Palace to "work from home" at Windsor Castle, research has found it would cost almost £250m just for a deposit to purchase the London landmark. Mortgage solutions specialist Henry Dannell found that the building's estimated market value is £995m, with monthly mortgage repayments sitting at nearly £1m per month, or £3m for anyone paying off the loan. Other Royal residencies would also come with a hefty price tag, with Windsor Castle costing £124m up-front, while Sandringham would require ‘just' under £200,000 each month in repayments, Henry Dannell calculated.  

City AM (14/03/2022)  

A £1.7bn Docklands project backed by Boris Johnson during his time as London mayor has been put up for sale after the the developer behind the project fell into administration. Six buildings at the Royal Albert Dock development are being sold by Savills. The developer behind the proposals, ABP (London), collapsed earlier this year following an extended period of troubles that owner Xu Weiping blamed on the UK's decision to leave the European Union. The site, just east of Canary Wharf, will have “retail, leisure and residential accommodation, all conveniently located within five minutes of London City Airport and Crossrail", Savills said in the marketing document. 

The Sunday Telegraph (06/03/2022)  

British Land has sold 50% of its share in the 53-acre Canada Water Masterplan to AustralianSuper for £290m. AustralianSuper is one of Australia’s largest pension funds with more than £140bn in assets under management and a growing presence in the UK property market. The joint venture is to begin Phase 1 of the Masterplan, one of the largest London regeneration projects in history, with completion expected in the third quarter of 2021. “The investment by AustralianSuper, who have extensive experience investing in major regeneration schemes, is testament to the strength of British Land’s reputation and best in class development and operational platform", said British Land chief executive Simon Carter. "This new partnership enables us to move faster, delivering new homes and workspace, creating new opportunities for local people and delivering value for our shareholders".

Property Week (08/03/2022)  

House prices increased at the fastest annual pace since 2007 in February to hit a new record high. Halifax said that at 10.8%, the annual rate of house price growth was the strongest since June 2007. The increase took the average house price across the UK to a new record high of £278,123. Property values increased by 0.5% month-on-month. Russell Galley, managing director, Halifax, said a lack of supply continues to underpin rising house prices. He continued: “Looking ahead, as COVID moves into an endemic phase and almost all domestic restrictions are removed, geopolitical events expose the UK to new sources of uncertainty.” The average house price in the West Midlands in February was £234,481 – an annual increase of 9.7%. 

The Independent (07/03/2022)