Category Archives: Lettings

Redstones Hayes Office Image

Redstones opens new Hayes office

On Saturday 5th August, Redstones was delighted to open its latest franchise in Hayes, West London. Redstones is growing fast as a leading estate and letting agency, quickly and confidently expanding its reach throughout the UK, particularly the London region.

The Hayes launch was an ideal opportunity to welcome potential local property buyers and landlords to the brand new offices, whilst explaining the business strategy of the Hayes office and how it intends to set itself apart from competitors.

The new office benefits from a prime High Street location, although similarly to all franchises, it will have a strong online presence.

A new business offer that is capturing the interest of those is Hayes and beyond is Redstones new launch offer to sell your property from £666, including VAT.

New franchisee, Pasoon Ebrahim stated that, “The launch was a great event for all that attended and helped to solidify strong relationships that I’m building in the area. There are lots of excellent business opportunities in Hayes and I believe the new branch will be a fantastic addition to Redstones growing network of high quality, value for money and reputable estate and letting agencies.”

Redstones Lettings

Understanding costs and returns as a landlord

Particularly if you are a new landlord, getting your head around the costs you will incur and your potential return on the property or properties you rent is essential.

Buy to let investing comes from two income streams – rent and the capital growth of the value of the property increasing.

The property market fluctuates, so it is possible to lose money if property values go down, if your outgoings exceed rental yield or if the property is vacant for any period of time. Being a landlord is a medium to long-term investment.

The costs involved are the costs of purchasing the property for rent including stamp duty, valuation, legal costs and mortgage arrangement fees. If you are renting your property as a business, Class 2 National Insurance is payable and so is income tax, which is payable on rental income minus day to day running costs.

Day to day running costs include landlord’s insurance, letting agent’s fees, mortgage interest, annual safety checks, redecorating and general maintenance.

But how about the profit you will earn? Here’s a useful article about calculating rental yield.

Also, if rent arrears are a worry, our Redstones Platinum Total Care service is invaluable, as it offers guaranteed rent paid on time, every time, whether the tenant has paid or not!

redstones epc

Government stamping out rental of energy inefficient homes

Calling all landlords and tenants! Please be aware that as of the 1st April 2018, all properties in the private rented sector will require a minimum energy performance rating of E or higher. These regulations apply to new lets and renewals of tenancies that come into effect in April 2018 and apply to all existing tenancies on 1st April 2020.

Therefore, it will become unlawful to rent a property that breaches the requirement of a minimum E rating, although some exceptions do apply. For any breaches, civil penalties of up to £4000 will be imposed.

Please note that Energy Performance Certificates (EPC) will be required for many types of property, including individual dwellings, self-contained flats, bedsits, shared flats and self-contained accommodation. The fixed penalty for those failing to provide an EPC certificate when required is £200 per dwelling and there is a six month time limit for any enforcement action to be taken.

Previous legislative changes mean that all property advertisements since 2013 have contained EPC ratings and SAP ratings and since October 2015, landlords have had to provide EPCs to tenants.

Currently, almost 10% of privately rented homes in England and Wales (4.2 million properties) fall below the E rating.

Manjit Virdi, Managing Director of Redstones explains, “The idea behind the changes are to ban the renting of the most poorly insulated homes in a bid to cut energy bills and carbon emissions, whilst improving the housing stock available in the country by ensuring landlords make efforts to improve the energy efficiency of their homes.”

He continues, “Redstones have advised all the landlords we feel will be directly affected by this but if anyone, either a landlord or tenant, has any concerns, we would encourage them to get in touch with us.”

Redstones Board design

Eye-catching new sales and letting boards launched

As part of a regular drive to refresh the Redstones brand, a new design for Redstones’ sales and letting boards has been launched, which eagle-eyed sellers, buyers and landlords will notice soon!

Redstones Board design

Redstones Board design

Manjit Virdi, Managing Director of Redstones explains, “We are a marketing led company who work hard to protect and position our brand effectively. The new board design is all part of that.

In a crowded market, it’s vital for us to have an even more eye-catching board design that will stand out to serious buyers or passers-by and help promote and showcase properties as effectively as possible. Sales and letting boards have always been an important marketing tool to us, which is why we refresh their design every 2 years or so.”

The new boards help ensure that properties attract the right attention and the new board design extends to premium gallow boards, the swinging boards used to sell high value properties.

Redstones Lettings

Good news for landlords with long-term rentals on the rise

It’s good news for landlords as a survey conducted by the Deposit Protection Service (DPS) has uncovered that two in five renters are not looking to buy a property and instead intend, consider renting a home to be a long-term plan.

From those who intend to buy, 62% stated that they do not expect to own a property within the next year and a quarter stated that they hoped to purchase a property within 6 months.

Of course, with buying a home being a major financial commitment, renting also suits those saving for a deposit before taking on a mortgage.

In terms of housing, it’s now recognised that the UK needs a flexible housing sector that suits the varied life choices and priorities of an increasingly diverse population and the rental sector plays an important role in offering quality housing in areas where shortages are occurring.

The survey reflects Redstones own observations. Managing Director of Redstones, Manjit Virdi says, “The number of tenants we are taking on is on the increase. We are finding that many people choose to be tenants as it better suits their plans or lifestyle, enabling them to be flexible.”

With demand at an all-time high, so is the potential for attracting high quality tenants. At Redstones, we attract landlords through our ‘Switch Agents’ programme, which ensures that new business is gained on the quality of service delivered. The programme makes it easy for landlords to switch their property or property portfolio to Redstones if they’re dissatisfied with their current agent.

Another favourite for landlords, Redstones Platinum Total Care ensures the landlord’s rent is paid on the date it is due, regardless of whether the tenant has paid on time.

Redstones also advises many landlords on property management, helping them to grow their portfolio without the time-consuming difficulties attached with managing property.

Alternatively, if you’re a tenant looking for a new home, find out more about what’s involved when renting through Redstones.

Franchise security

A beginner’s guide to property yields

You may have heard people talk about property yield but what does this mean?

It is a way of measuring the rental potential of a property and is the amount of rent that can be earned in a year for the landlord. This amount is expressed as a percentage of the price of the house.

So, if a rental income of £10,000 was earned from a house costing £200,000, the yield would be 5%. It’s helpful to use a percentage because it better enables comparison between different properties, so that landlords can assess which would earn them the most. For example, a £10,000 income on a £160,000 house represents a rental yield of 6.25%, demonstrating greater value than the previous property.

Many factors impact upon property yield and the larger or more expensive houses don’t necessarily offer higher returns. Landlords can achieve a high yield in areas where there is a shortage of properties, a strong demand due to special amenities, such as a university nearby, close proximity to good schools, a strong local economy, good road or rail infrastructure or even a young population who aren’t yet ready to buy property.

Managing Director of Redstones, Manjit Virdi says, “Not every property will get you a great yield. For our various regions, our staff are equipped with excellent local knowledge and can advise landlords or potential landlords on which properties will generate them the best yield for their budget.”

He continues, “However, to make the right property investments, it’s important to look at potential capital growth as well as property yields to ensure you benefit from any future increases in both rents and property values.”

A professional lettings agent such as Redstones will advise you on how to succeed as a landlord, offering valuable local knowledge on targeted areas. Due diligence is the key and we can help you assess rental amounts in advance, so that you can calculate your all-important return on investment.

Here are some of the many reasons landlords choose to rely on Redstones.

Redstones West Midlands House Head Office

Centre of Operations

This new office will be the centre of operations for the companies expanding lettings and estate agency franchise, as well as serving landlords, tenants and property sellers and buyers in the Willenhall and Walsall areas.

Manjit Virdi, founder and Managing Director of Redstones, said, “It is an exciting time for our company. As well as moving to our new Willenhall base, we will be revamping our website and online presence. We feel we can utilise our online platform to spread the reach of our service, and give an even more cost-effective service to our customers.”

“We have continually sought to be innovators in the UK property letting and management industry. Our Platinum Total Care Service, which guarantees rental income to landlords, and our Easy Switch Agents Scheme are two examples of that innovative spirit. 2017 promises to be our best year, and I am excited at what we will be delivering for our customers.”

Redstones services include residential sales, lettings, and property management. The nature of the property market is developing, with over 80% of all property searches now carried out online. Redstones utilises this to present property in the best manner, including 3D floor plans, providing a  “walk through” experience.

Whilst fully embracing the internet, and the latest technology, Manjit Virdi feels Redstones have a particular advantage in the property industry. “We never forget that this business is about people,” he says. “Although we may be dealing with bricks and mortar, at the end of the day we are helping people. That may be taking the pressure off a property owner by managing their property and tenants, or getting the best possible price for someone selling their property.”

“Our people make the difference too. We call ourselves the ‘local’ property experts, and the knowledge we have of our communities and the local property markets, means we can add extra value for our customers, that some of the big box agents struggle with.”

New year, new start – buy a Redstones franchise

Like many people, with the end of the year in sight, are you starting to re-evaluate your career?

If you want the new year to truly mean a new start, becoming a business owner as a new Redstones franchisee is one of the best career decisions you’re ever likely to make.

In stark contrast to being an employee, owning your own business gives you more control of your career and work-life balance. Many people feel daunted by making such a move. However, with Redstones you wouldn’t be on your own.

Redstones offers all new franchisees initial training and ongoing support to help them achieve their business plan. With a tried and tested business model, franchises are much more likely to succeed than independent businesses. In fact, 9 in 10 franchises report profitability.

Due diligence is very important, so we recommend that you speak to us and find out all you can before making this big decision in the new year. If you find yourself answering yes or positively to all of the following questions, we definitely need to talk:

  1. Are you currently working or have you previously worked in the property industry? For a business to succeed, prior knowledge and a real passion for property is very beneficial.
  2. Do you think becoming a Redstones franchisee could give you the career satisfaction you may be lacking right now? Research and speaking to other franchisees is the only way to find out.
  3. How do you rate your relationship building and communication skills? These are crucial skills for any business owner.
  4. How ambitious are you? For hard-working franchisees, we offer plenty of opportunities for business acquisition and growth in the future.
  5. Do you believe that Redstones could offer you the work/life balance or other career benefits you are currently lacking?

For many of our franchisees, joining Redstones has turned out to be their best career decision yet. As Richmond Franchisee, Brinder Bains states,The feeling of being part of a national organisation is definitely a great one for me. I have all the independence of running my own business but with the support of a recognised national brand. When someone tells me they have ‘heard of Redstones’ it is a real boost and affirmation of my decision to join.  Redstones has a solid reputation in a tough market for its commitment to customer service and attention to detail.”

To find out more about how you can transform your career and become a Redstones franchisee, visit our Franchise website, call 01922 235 350 or email franchise@redstones.co.uk    

Redstones Management Team

Are you our next Redstones Academy Apprentice?

With ‘The Apprentice’ back on our screens, it’s a timely reminder that Redstones is recruiting for a new apprentice too!

Those with the knowledge, skills, vision and ambition to run their dream estate agency and letting business can win a FREE franchise territory to open their own successful estate agency. All franchisees gain the full support of Redstones, in terms of our coveted business model to ensure their new business succeeds.

We welcome candidates who are existing property professionals or business owners interested in
re-branding to Redstones, with a minimum of two year’s industry experience. With an understanding of business development and client relationship building, candidates also require sufficient funds to maintain their success after the business is launched.

Just like the TV show, candidates must be prepared to enter a competitive selection process and prove why they should be our next Redstones Academy Apprentice.

Managing Director of Redstones, Manjit Virdi explains, “In the past, our Redstones Academy Apprentice initiative has been a great way for us to help talented professionals establish or grow their business. This is a great opportunity and we’re really looking forward to reviewing some new entries.”
All applicants need to complete an application form, send us your CV and will be required to conduct a presentation and participate in an interview.

Don’t miss out on this great opportunity. If you think you’re our next apprentice, call 01922 235 350 or e-mail franchise@redstones.co.uk. Quote ‘Redstones Academy’ for further information and to request an application form.