We understand that each client and project is unique – and that client requirements must shape the strategy of any project. Taking account of various factors such as risk profile, capital expenditure and time-scale, we tailor a strategy to fit the identity of each client and project to deliver results that both exceed expectations and generate quantifiable value.
Our team includes experienced developers and consultants, who throughout their careers, have experience of leading multi-disciplinary project teams, working on some of the most prestigious projects across London. Whether it is the comprehensive “Asset Evolution” service or individual specialist advice you require, the team is able to significantly enhance returns on your project.
Our consultancy service includes
Establishing Value
Land valuations and viability advice, using expert local market knowledge and experience
Maximising Value
Guidance on height massing and bulk, complementary uses, architecture and placemaking to help ensure the planning consents drive value
Funding & Partners
Provide options of suitable partners or funding to suit our clients’ requirements
Who is going to buy
Understanding who you are selling to will dictate pricing and the look and feel of the product
Understanding Market
Provide detailed and backed-up pricing with strong rationale, using our market knowledge of new-build and wider market sales
Minimising risk
Ensure the product suits the target market and maximises achievable value and minimises risk
Crafting your product
We understand market trends, new technology and have contacts in the best design teams in London to create detailed design, layouts and specification
Sales Strategy
Craft a strategy that achieves our clients financial goals and is relevant to current demand and market dynamics.
Marketing and Branding
Provide advice on the most appropriate marketing and branding agencies and advise on recommended identity
LAND DISPOSAL & ACQUISITION
With a team of seasoned property developers and consultants who have led multi-disciplinary project teams on some of London’s most prestigious residential development projects, Marsh & Parsons London Land Team offers clients significant experience in all aspects of the London land acquisitions, development and disposals markets.
Influenced by both national and international factors, the London development landscape is constantly evolving, and great potential exists to deliver exceptional returns. Whether it is the comprehensive “Asset Evolution” service or individual specialist advice you require, the team is able to significantly enhance returns on your project.
Prioritising client requirements and delivering value is central to our mission. From identifying joint venture partners on a discreet basis to delivering national marketing campaigns, we tailor our strategies to each client’s requirements, enabling them to maximise the value of their assets.
Our services include
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Asset Evolution
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Development consultancy
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Development appraisals
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Acquisition advice
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Land assembly
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Option negotiation
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Marketing strategies
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Disposal
Affordable Housing is a key component of all major residential developments. Working alongside private developers, landowners, Local Authorities and Housing Associations, the Marsh & Parsons Affordable Housing Team has the expertise – and experience – to deliver viable and innovative Affordable Housing solutions for any residential development project.
Our relationships with Housing Associations or Registered Providers (RPs), knowledge of how they operate, together with extensive experience working with Local Authority planning and housing departments across London, enables us to maximise the value generated from affordable housing for our clients.
Our Affordable Housing Consultancy service includes:
1. Pre-acquisition and pre-planning
Providing clients with crucial advice on the structure, design and value of affordable housing both prior to site acquisition and planning submission.
- Bespoke advice including comprehensive reports to support investment decisions on all key affordable housing assumptions
- Quick and accurate assessment of the value of affordable housing, using our in-house affordable housing financial appraisal model
- Extensive knowledge of local and regional planning policy, as well as emerging trends within the affordable sector, including the application of this knowledge in innovative affordable housing solutions
2. Planning & viability assessment
Working closely with our land and planning teams, we advise clients on financial viability and affordable housing throughout the development cycle.
- Scheme development viability through pre-acquisition option appraisals and pre-application negotiations on property and land
- Section 106 negotiations, including disposal and acquisition Section 106 tenure within new developments
3. Disposal and joint ventures
We manage the marketing and sale of affordable housing allocations to RPs. Our extensive network ensures that we maximise the value of affordable housing and find the best partners for our clients.
- Advice on joint ventures between RPs and the private sector
- Advice on development agreements, securing legal agreements and managing relationships post-contract
- Acting on behalf of RPs in securing new Section 106 homes, ensuring we have a holistic understanding of the requirements of all parties concerned
- Working alongside our Land, Planning and New Homes teams, we provide dedicated affordable housing services to a range of clients.
Buy To Let Investment
Investing in bricks and mortar has been a long-held tradition, and for very good reason. With low bank rates and stock markets in constant fluctuation, buy-to-let properties are an attractive option for those looking to invest.
Here’s why:
Rental yield:
- This is the income received from tenants in rent payments.
- Rental yield is used to indicate the value of properties as an investment – the higher the yield, the greater the return.
- As rental market conditions improve over time (e.g. investment in new transport links), rental yields can be increased by raising rent.
Capital growth:
- This is the amount by which a property’s value increases over time;
- Capital growth can be triggered by a variety of factors, including redevelopment plans, interest rates and the housing market itself
Why invest in a buy to let property?
Whilst bank rates fluctuate and inflation continues to increase, traditional saving accounts are no longer a viable way to save money, whereas property investment can be both lucrative and a safe means of planning for your future. This is where buying to let comes into its own:
- Monthly rent provides tangible returns on investment;
- Potential for longer-term capital growth;
- As housing prices fluctuate, tenants are committed to renting properties. With an increase in demand, the rental yield is potentially higher; and
- Increase in rental demand means void periods of lettings are highly unlikely.
In practice, finding an affordable buy to let that rewards landlords with all of the above can be tricky. But that’s where we come in. Our buying team will help you find a property in a good location, that suits your requirements as a landlord. We can also help you ensure your property is compliant and tenant-ready, and guide you on applying for a buy to let mortgage.
Once your property is ready to let, we can help you find and manage reliable, long-term tenants who will respect and enjoy living in your property. Our aim? To ensure both tenant and landlord are happy, secure, and benefiting from each other.
What’s involved in buying to let?
It’s important to note that when you become a landlord, you’re essentially running your own business. As a form of investment, buy to let allows you to invest your money, while remaining totally in control of your monthly output.
Of course there are risks involved in becoming a landlord, along with strict compliance that both you and your property must adhere to. It’s important to note that if your tenants leave and there is a gap between finding new tenants, you will still have to pay your mortgage repayments and monthly bills.
This is why, in our experience, many landlords find it easier to work with an agent who can manage the legal and day-to-day running of a buy-to-let property.
Finding a buy-to-let property is the first step, but here’s what else you’ll need to consider:
- Securing your buy to let mortgage
- Completion, including Stamp Duty costs
- Obtaining landlord, building and contents insurance
- Getting your property tenant-ready, furnishing if necessary
- Investing in professional property management
Whilst this may sound daunting, it shouldn’t be. Here at Marsh & Parsons, we’ve been supporting investors with their buy-to-let purchases and subsequent management since 1856. We pride ourselves on our unrivalled knowledge, and are confident that we will find you the most suitable property at the most fitting time. We’ve been doing it successfully for 160 years, and we do not intend to stop.
Re-mortgaging your property
Do you have an existing mortgage that is fixed for a set number of years? Do you know when it expires? Many people forget or don’t realise when their mortgage rate switches to the standard variable rate and therefore possibly start to pay far more for their mortgage than they have to. Remortgaging involves switching your current mortgage to a new deal either with a new or your existing lender. There are many reasons that you may consider taking this step – the main one is simple; it may save you money.
Advisors offer a re-mortgage service whereby they will contact you six months prior to your mortgage expiring and advise you on the best possible rate for you to switch to straight after.
For most people, a mortgage is their biggest financial commitment. It therefore follows that streamlining the largest debt can produce the largest savings. If you are paying the lenders standard variable rate (SVR) on your current mortgage, then you are almost certainly paying too much.
Imagine you had a repayment mortgage for £100,000 and were currently paying 4% interest. If you move halfway through your 25-year term to a 2% deal then you would save almost £10,000. If you kept switching to the best deal every couple of years you save even more.
Bear in mind, you may not have to move your mortgage to another lender to be on a better deal; before you go anywhere, try challenging your current lender to give you a new and better offer – they will not want to lose your custom. However, if you do need to move lender, remember that you may have to pay various fees and legal bills to do so.
Using an Independent Mortgage Broker will save time and effort in the search for the right lender for you. They have access to thousands of mortgage products on the market and will be able to guide you through any fees, charges and legal bills that may occur. Remortgaging may not always be about saving money; it may also be about getting a mortgage that is right for you and your circumstances.
Reasons to consider re-mortgaging
A change in income
– you may have received a pay rise, or maybe inherited some money and would like to make extra payments or pay a lump sum towards your mortgage but your current deal does not allow this.
A change in circumstance
– you may need the flexibility to miss a few mortgage payments due to changing jobs, going travelling or back into education.
Release equity for another purpose
– you may want to embark on a new business venture and release some funds to start up.
Home improvements
– you may need to release some money and add an extension or conservatory to your property.
Consolidate debts
– you may need to release some of the equity you hold in your home and consolidate other debts, such as a car loan or credit cards. Think carefully before securing other debts against your home.
Alter your mortgage
– you may want to reduce your mortgage term from 25 years to 20 years or increase it from 20 to 25 years.
Reasons to not re-mortgage
Already competitive
– your existing mortgage deal is already very competitive and there is no cost benefit in switching to a different lender.
Penalties
– your existing mortgage may have large penalties for leaving that it would make it foolish to move before the end of the mortgage term.
Outstanding amount
– your existing mortgage amount may have fallen below a certain amount e.g £30,000 and it may not be worth switching lender simply because the amount you will save is very unlikely to outweigh the cost. Some lenders may not even take on a mortgage of that size.
Types of re-mortgaging
1. Interest or Repayment?
With an interest-only mortgage, you only pay the interest on the loan, so the balance of your debt remains the same. Repayment is the only option that guarantees that you are actually paying off some of your debt every month.
Note: Unless you have a very good reason, repayment should be the way forward. The sooner you start paying off your mortgage the sooner you’ll finish.
2. Standard Variable Rate (SVR)
The lender’s variable rate (often referred to as the ‘standard variable rate’ or SVR) fluctuates and will generally follow the direction of the Bank of England’s monthly base-rate changes. SVRs are generally a couple of percentage points or so higher than the base rate. As the Bank of England shifts its rate up and down, lenders move their SVRs accordingly. But beware, lenders do not have to pass on the full change for example: If the Bank of England cuts rates by 0.5% your lender might only change its rate by say 0.35%.
3. Tracker
A tracker rate mortgage is occasionally linked to the lender’s variable rate but most commonly linked to the Bank of England base rate. The tracker follows the Bank of England base rate with a discount or a premium (or even sometimes at the same rate as Bank of England base rate) for a period of time. In this instance, any reduction will be passed on in full, which is not always the case if your rate is linked to the SVR. Some trackers, but not all, come with tie-ins.
4. Discount
Many lenders offer a discount from their SVR. For example, if you were offered a 1% discount off the lender’s variable rate of 5%, your rate would be 4%. It is important to note that your rate will also have the potential to go up and down with the SVR. The period over which the discount is available will vary. You will be tied in for as long as the discount rate applies and possibly beyond.
5. Fixed
A fixed rate mortgage allows you to set your rate at a certain level for a given period of time. So regardless of whether the lender’s rate changes up or down, your payments remain the same. Again, you will be tied in for as long as the fixed rate applies and possibly beyond.
6. Capped-rate mortgage
A variation on the theme of the fixed rate above is a capped rate. The ‘cap’ really means that there is an upper limit on the interest rate you will pay. If the lender’s SVR rises above this limit, your rate will be unaffected, just as with the fixed rate. However, if the lender’s rate falls below the level of your cap, then your rate will fall. Again, you will be tied in for as long as the capped rate applies.
7. Cashback mortgage
To attract your business, you may be offered a cash incentive or ‘cashback’, which is payable on completion of the loan. However, this type of mortgage may only be offered to you by linking it to the lender’s SVR.
8. Flexible mortgage
A flexible mortgage offers the facility to underpay or overpay or even take payment holidays. It also allows you to borrow lump sums back from your loan free of additional arrangement fees. There are often no tie-ins with flexible loans, meaning you can redeem the mortgage at any time without penalty. A true flexible mortgage will calculate your interest on a daily, not an annual basis.
9. Offset mortgage
An offset mortgage takes a flexible mortgage one stage further and comes with all the flexible features described above but in addition, offsets your savings – which must be transferred into an account with the lender – against the debt of your mortgage. For example, if you had £5,000 in savings and a mortgage of £100,000, you would only pay interest on the remaining balance of £95,000. The reduced interest you pay as a result of this arrangement means a shorter loan term. You will not receive interest payments on the credit balance of your savings but this means you will not pay tax on that interest either. Also, the interest you are forfeiting on your credit balance is nearly always lower than the rate you pay on debt balances. However, offset mortgages work most effectively if you have considerable savings – something that many first-time buyers might prefer to put towards a deposit. Interest rates on offsets can also be more expensive.
10. Current account mortgage
A current account mortgage is also completely flexible and works along the same lines as an offset mortgage. The main difference is that all balances are thrown into one big pot rather than being kept in separate accounts. You are also able to incorporate credit cards and personal loans into the pot. So, if you had a total debt – including your mortgage of £130,000 and savings of £5,000 your balance at the ATM machine would read £125,000 overdrawn. But all debt is charged at cheaper mortgage rates and all credit is offset against this debt, further reducing its cost.
The costs involved
Although re-mortgaging may save you a lot of money, there are costs you will have to take into account. You will need to bear in mind any early repayment charges that may apply on your existing mortgage and the extent to which these may reduce the potential savings to be gained by re-mortgaging. It is important to work out the repayment costs carefully, because even if you move to a new lower rate, it may be many years before you receive any real benefit. The following costs may be involved:
1. Early repayment charges
If you have an existing fixed, capped or discounted rate mortgage or if you have a cash back mortgage there is a possibility that there is an early repayment charge (ERC) which will apply on your loan. Typically you will have to pay your existing lender a number of months interest should you wish to cash in the loan before the end of the ‘tie-in’ period.
Be careful of any overhanging ERC’s which may be levied years after the fixed, capped or discounted rate period has run out.
If you have received cash back then you may be expected to pay some, if not all, of the money you received if you move your mortgage elsewhere.
2. Re-mortgage valuation fees and costs
As your re-mortgage will be secured on your home, the lender will want to make sure your home is worth the amount to cover the loan and that the property is in good condition to lend on. Therefore they will need a survey or valuation to be done, and this cost will generally have to be paid by you. Some lenders, however, may offer free valuations as part of their mortgage offer.
3. Legal fees
When you switch your mortgage lender there will need to be some conveyancing work done by a solicitor. The good news is that the work involved is much simpler than when you buy a home and so, the solicitor’s fee will also be smaller. Some re-mortgage deals will pay the solicitors fees for you.
4. Lenders arrangement fees
You should expect to pay a lenders arrangement fee. These vary from lender to lender and have been increasing over the past 12 months. The amount of the fee can be added to your loan, which seems attractive in the short term, but you need to question whether you really want to pay interest on it for as long as you have your mortgage.
5. Higher lending fees
If you plan to borrow a high proportion of what your home is worth, say 90% or more, you have to pay a higher lending charge. This is a form of insurance for the lender, to compensate them for the increased risk they take on when lending at a high loan to value.
Why sell with us?
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Unbeatable local know-how
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Award-winning customer service
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The best possible price, in the shortest time
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Viewings and appointments that fit around your schedule
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Totally switched on marketing and a brand Londoners love
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Exposure to thousands of buyers across London and the world
