t: 0118 946 1800 e: [email protected] insight w: farmeranddyer.com Winter 2019 Bulletin New Year New Look Website

Review Our new website has had a makeover. It is now even easier to use and our property There were many events last year that kept us portfolio is now showcased with more and even better sized photographs. entertained and helped to lift any gloom over Brexit and mainly left the property market In line with new regulations all our fees for Visitors from GB on F&D website for 2018 intact. renting are clearly displayed for landlords 98% and we have kept the popular links for local The year was dominated by a host of sporting businesses and current planning applications 1% Wales with RBC & SODC. events, beginning with the Winter Olympics 0.75% Scotland and closely followed by the Commonwealth We’ve also added a infographic about the 0.25% N.Ireland Games. As summer approached we had formation of the company 18 years ago and you Don’t forget to follow us on facebook, the royal wedding in Windsor and then the can see all the team members for both the sales Instagram, Linked In and with twitter. unexpected progress of England in the football and lettings dept. World Cup.

For us, it was another welcome year and just The fight for playing fields when it seemed that sales were getting harder Local campaigners hoping to stop a school and instead, the judge gave preference to ‘a to put together and taking longer to reach being built on Mapledurham Playing Fields much needed school’. exchange of contracts, we were able to post a were disappointed to see their recent High 10% increase in the volume of sales from 2017. Court legal challenge fail. It has been a controversial process with many We were delighted to see our success continue local residents having felt there had been a as, according to Rightmove, we have now Mapledurham Playing Fields Action Group lack of consultation and a disregard to traffic outsold our competitors in the RG4 postcode (MPFAG) took its to the High Court after safety. Local residents group WADRA stated over the last two years. Reading Borough Council approved plans the proposition was ‘weak and incomplete’. to build a permanent home for The Heights The council’s planning officer said “some For Lettings, business increased by a small Primary School on the land in . difficult choices” had to be made and the margin in line with our predictions last year as The fields in Caversham are run by a council- new school would have “over-riding public a small proportion of landlords began to sell controlled charity and the 11-hectare site is benefits”. their properties as their profit margins have currently used for a range of sports. been squeezed by new tax implications and The Heights Free School is to be built by lower rent growth expectations. We expect Their lawyers argued that building a school the Education and Skills Funding Agency, this pattern to repeat itself in 2019. and car would lead to the loss of valuable an executive agency of the Department for public open space and playing fields for Education. So here we come 2019 – lets hope that sporting groups, that the council failed to Brexit only becomes a noisy sideshow to the lend enough weight to the emerging local economics of the property market and our plan, that an officer down-played government industry remains stable. So far, we haven’t policies designed to protect public open experienced any knee jerk reactions and whilst spaces and that the decision by the council it is a topical conversation most clients are just was procedurally flawed. simply getting on with it.

Although Justice Lang acknowledged that there was an arguable case on all four grounds, she did not find in our favour on any of them

1 Prospect Street, Caversham, Reading, RG4 8JB www.farmeranddyer.com First year of Mortgage Interest Relief If previous years are anything to go by, as the 31 January deadline looms, landlords across the country will be frantically preparing to file their self-assessment tax returns for the 2017-2018 tax period.

Landlords have previously been able to claim 100% Mortgage Interest as property maintenance. Some landlords will sell up altogether and Relief (MIR) for rental properties, but this year that has been reduced leave the sector and, over the long term, this will impact on the value to just 75% with the remaining 25% of mortgage interest qualifying for and quality of property available. 20% tax credit, as the new regime kicks in. The phased reduction, over four years, will see MIR disappear completely by 2020, with 100% of All tax returns filed online must be submitted by midnight on 31 January. mortgage interest instead qualifying for 20% tax credit. This payment will be half of the previous year’s tax bill, with the other half due by 31 July. If landlords miss this deadline a penalty will be The change will also push many landlords with buy-to-let mortgages up charged to them, even if they have no tax to pay or have already paid all a tax band, despite their income not increasing, as tax will be applied of the tax they owe. Furthermore if they are late on making a payment, to turnover instead of profit. To cover these additional taxes landlords they will be charged interest by HMRC. may increase rents for tenants and/or cut back on other expenses such Source ARLA

Top Facts for RG4 There were 631 registered sales for 2018 which was 5.4% less than last year.

New listings were up 10.4% on 2017 with an average of 99 properties coming on to the market per month. Source Rightmove

Fastest sales of 2018: From sale agreed to exchange of contracts

Royal Mail Depot, Caversham Road, Reading The developments set to change the face of Reading Chestnut Ave The Grange : : Iceland/Wickes, Weldale Street – Planning has been granted for 427 33 days 37 days units in 2017 although no date has been set for commencement

Toys R Us/Homebase, Forbury Quarter – Berkeley Homes have started demolition to clear the site to build 765 homes including retail units

Friars Walk, Friar Street – Demolition is set for April 2019 and Garrard Residents from the past Street car park will follow in August thereafter. Planning has been Roads in the Caversham area named after some of our noteworthy granted for 475 homes. residents from the past.

BMW garage, Napier Rd – Work has already started to build 315 flats that Crawshay Drive - Previous owner of Caversham Park Mansion have all been designated for the rental market and affordable homes. Coldicutt St– Previous owner of that land Royal Elm Park, – 618 units were approved by RBC in Cadogan Place - Previous owner of Caversham Park Mansion April 2017 & this site will include another hotel, convention centre and an ice rink. No start date has been given. Knighton Close – Founder of Hemdean House School Martin Cooper Close – Founder of the Masquerade theatre Kwik Fit/Offices, Kings Rd – Work is well on the way with this notable site with 103 apartments set to be released this year. Soane End – Renowned architect Rufus Isaacs Rd – Marquess of Reading Royal Mail Depot, Caversham Rd – No planning has been submitted although Hermes are aiming to build 650 units on this dormant site Marsack St - Previous owner of Caversham Park Mansion opposite the fire station. Fishers Court – Long standing based family

SSE building, Vastern Rd – Again, no planning submitted but Berkeley Donkin Hill – Founder of Port Elizabeth, South Africa Homes have secured this site and are aiming to build over 200 units Bell Court – Long standing Emmer Green based family including a pathway leading from Christchurch Bridge to Vastern Rd.

Cox & Wyman, Cardiff Rd – The former print works received permission for demolition in 2018 with the replacement for 96 homes

1 Prospect Street, Caversham, Reading, Berkshire RG4 8JB www.farmeranddyer.com