Property Advice

Shared ownership is an increasingly popular way of getting onto – or moving up - the housing ladder in high price areas. It enables you to buy a share of a property and pay subsidised rent on the remainder. Ash-Ridge Private Finance is a company of fee-free mortgage advisers which works closely with housing associations to help people with affordable housing schemes such as shared ownership. They’ve created this guide to shared ownership finance to help you get started.

Before contacting an expert valuer there is some information you should gather about your (potential) residential leasehold property. Address, leasehold length and freeholder details are all important as well as a general impression of what the freeholder is like, do they manage the property well? Are they overpricing the lease extensions? Make sure that anyone you choose to help with this task is a member of ALEP and a clear fee structure so you know what you have to pay to extend the lease. Read our checklist and articles about extending leases.

A bridging loan can be helpful in number of circumstances from downsizing to auction purchases and can be arranged in a matter of days. They are for short term finance, usually between 1 day and 18 months and due to the complex nature of bridging loans the use of commercial finance broker is encouraged. You should choose a broker who is FCA regulated and a member of the National Association of Commercial Finance Brokers. You then need to ask yourself – How much do you want to borrow? Does the lender charge an exit fee? Is there a minimum term? Our helpful guides will make sure you start the process in the right way.

Refurbishing your property can have a multitude of benefits from boosting profits to securing tenants more quickly. However, before you crack on with the actual refurbishment you will need to sort out your finances. Is your broker FCA regulated? Are the experienced in sourcing renovation finance? Who will be overseeing the project? These are the sort of things you will need to consider when financing a refurbishment job. You will also need to calculate the various costs of labour and materials, know the time frame and understand any planning and building control requirements.

Do you know when you plan to retire? That’s one of the first things to decide if you want property to deliver a retirement income. What’s the value of your property portfolio? Gross income from rental properties? Have you taken tax into account? There are plenty of calculations to make to check if rents are a viable source of retirement income for you, but it’s essential with new tax changes introduced in 2015 such as stamp duty and mortgage interest relief to seek independent financial advice and this checklist explains why and how.

Is a property you own an HMO? It probably is if there are 3 or more unrelated people living there as at least 2 separate households and they share basic amenities (Kitchen & Bathroom). HMOs range from houses split into separate bedsits to shared accommodation for students. When determining an HMO project location, look at the target market, transport links and supply and demand situation. In terms of finance you need to think about gross yield vs net yield and ask yourself is your broker FCA regulated, a full member of the NACFB and an experienced HMO landlord? Use our helpful guide to investigate the best way to secure finance for an HMO.