Tag Archive for: Property

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Shabir Hussain Ceo , SHAM LUXURY PROPERTIES London, England, United Kingdom

Shabir Hussain CEO & FOUNDER, SHAM LUXURY PROPERTIES London, England, United Kingdom

Shabir has years of experience in Banking, Corporate Purchasing and Real-Estate, having held positions at BNP Paribas, Fam Properties and Birmingham City Council.

When he saw there was a Demand, he didn’t wait for the opportunity he created it and became that bridging gap between the UK and UAE to serve investors.

The GLOBAL strategist

The market today

SHAM | EDITION VISION & VALUES

Our team has a great interest in focusing on key developing regions, that have a low supply and a high demand for property. Secondly, our focus is on London, Birmingham and Manchester as these are the top three cities with outstanding universities for the international clients to generate a lucrative return. We also provide Bespoke Residential Apartments in Dubai, built to impress with the unique designs and architecture overlooking the breath-taking views. These signature developments add value to our investor’s portfolios.

Moreover, we are that bridging gap between the buyer’s and the sellers worldwide, we make the possible happen, and facilitate the most important transaction with integrity.

Our team are highly driven and do things that other people are afraid to do, to win in the market. We have partnered up with several recognized developers in the United Kingdom and United Arab Emirates, serving clients to buy and sell the most luxurious properties with peace of mind.

FREQUENTLY ASKED QUESTIONS BY INVESTORS

Subsequently, with all the issues the world has been facing since the Global Pandemic, Investors are keen to ask questions about the condition of the market before making any decisions. The most common question I get asked is “when to invest”, well, my answer is, “there is not a Golden time to invest.

The best time to buy is in a low market, which enables you to minimize your risks, while maximising your upside potentials and most importantly to factor your exit strategy in place, this allows you to maximise your returns.

This can only be done right, if the investment advisor has made an educated decision in sourcing, reviewing and structuring the deal, in a way that will benefit your investment.

HOW RESILIENT WAS THE UK REAL ESTATE MARKET BEFORE COVID 19

As you all know the UK market is one of the strongest markets in the world, attracting thousands to invest in prime areas. In 2019 the national housing price growth come to a standstill due the lack of supply, this was a positive for landlords as the rental growth saw a slight increase during 2019 due to declining availability of homes to let. So, this just shows there was a Supply vs Demand issue that we were facing.

The private rents in London on average rose by 0.9% in nominal terms in the year to June 2019 (ONS). This is up from -0.2% in June 2018 and marks seven consecutive months of positive nominal rental growth.

DID THE PANDEMIC IMPACT THE REAL ESTATE MARKET

 

The whole world was on a standstill and the property prices fell sharply after the onset of COVID-19 when the ockdown measures restricted the completion of property transactions.However, they quickly recovered, reaching a new record peak by November 2020.

These increases were mainly driven by the policies introduced early on to support businesses, household incomes and the housing market. These boosts to demand interacted with the decades- long under supply of housing – exacerbated by even worse than usual construction levels in Q2 2020.

Movement restrictions introduced in the second quarter of the year followed by the gradual easing of restrictions and the subsequent introduction of a property transaction tax holiday in July 2020 (which was due to run until March 2021) have made 2020 an unusual year in the housing market.

HMRC estimates pointed towards a 14.9% yearon-year increase in UK residential property transactions over 2021-22 (1,374,050), with annual volumes reaching their highest level since 2007- 08 (1,473,950) and year-on-year growth in the post-financial crisis era surpassed only by that in 2013-14 (22.8%).

Despite transaction volumes contracting for three consecutive quarters through Q4 2021, from the record high of Q2 2021 and as a combination of temporary stimulus support being wound down and exponential growth in house prices pressured affordability for many, quarterly transaction volumes remained both above or in line with the long-term average, and above levels recorded during the lockdown nadir through near-term post-lockdown recovery period.

shabir-hussain ceo sham luxury properties

Shabir-hussain Ceo Sham Luxury Properties

WHAT’S HAPPENING IN THE MARKET NOW

As a result of the fall and the subsequent recovery of London rents during the pandemic, annual increases in average asking rents were at a high of 15.8% in the second quarter of 2022, with Rightmove recording the highest annual growth ever in any region.

Demand for private rental homes remains above supply in London and there are signs that both supply and demand are continuing to increase slowly, despite reports of many landlords considering leaving the market.

According to the House Price Index from the ONS, London house prices rose by 7.9% over the year to April, up from 4.9% annual growth in March. The average house price was highest in
Kensington & Chelsea at £1.5 million, and lowest in Barking & Dagenham at £336,000.

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Cologne property market: Prices level out at a high

Cologne property market: Prices level out at a high

  • Average asking prices of 1 million euros in Lindenthal
  • Cologne most favourably priced city in “Top 7” national comparison
  • Energy-efficient new buildings in particularly high demand

Hamburg, 18 August 2022. With a population of more than one million, Cologne is one of the largest cities in Germany – after Berlin, Hamburg and Munich. The cathedral city on the River Rhine is one of the most sought-after residential locations in the Federal Republic, thanks to the high quality of life it offers, and its importance as a centre of business, research and education. “In spite of interest rate increases and inflation, the level of demand for property in the city and the surrounding region is constant,” says Christian Sprave, Managing Director of Engel & Völkers Cologne, adding: “Real estate remains a crisis-proof investment with high value retention. There is also a lack of attractive and reliable investment alternatives. Energy-efficient new buildings in Cologne’s city centre are in especially high demand at the moment.”

Freehold apartments: City centre is most expensive and desirable location

Average asking prices for existing freehold apartments rose to 5,153 euros per square metre in H1 2022, marking an 8 percent increase over the previous year (H1 2021: 4,771 euros per square metre). Comparatively speaking, Cologne remains the lowest-priced of Germany’s “Top 7” cities. With average asking prices of 6,817 euros per square metre, the city centre ranks among the most sought-after and expensive addresses for freehold apartments, followed by the districts of Rodenkirchen and Lindenthal with average asking prices of between 5,279 and 5,607 euros per square metre. Premium properties in very good locations can reach top prices of up to 20,000 euros per square metre.

The segment for newly constructed freehold apartments saw an even sharper price rise – to an average of 7,037 euros per square metre in the first half of 2022, marking an 11.4 percent increase over the previous year (H1 2021: 6,317 euros per square metre). “We’re seeing a strong demand for new builds that are particularly well insulated and energy-efficient. These have become more important criteria for buyers, in light of the upcoming winter and uncertainty surrounding the gas supply. However, increased construction costs, labour shortages and global supply chain problems have meant that there have been delays in the completion of many new buildings. The availability of such properties on the market is hardly increasing at all as a result, and prices are levelling out,” says Christian Sprave.

Detached and semi-detached properties: Moderate price rises in H1 2022

Prospective buyers are also focusing their attention on features such as insulation, a fireplace and a high energy classification in the segment of detached and semi-detached houses. In the first half of 2022, the average asking price for detached and semi-detached houses in Cologne was 710,000 euros. This represents an increase of more than 9 percent compared to the previous year. As in the segment for freehold apartments, the districts of Lindenthal and Rodenkirchen, along with the city centre, were also the most expensive districts for detached and semi-detached houses: Here, the average asking prices ranged between 785,000 and approx. 1 million euros. Particularly exclusive residences in very good locations are currently on sale for asking prices of 1.75 to 7.5 million euros. “We are currently noticing a somewhat greater reluctance to buy, but assume that things will naturally settle back down to normal in the medium term. Real estate serves as a safe investment particularly in times of crisis. Not only as a long-term financial asset, but as a place to retreat with emotional returns too,” says Christian Sprave.

As was the case for city locations, market activity in the immediate surrounding region also remained stable in the first six months of 2022, buoyed by an ongoing desire among people to move to the countryside. Nevertheless, prices in these surrounding areas still remain below that of Cologne’s city locations. The highest prices were in Rösrath in the Rheinisch-Bergisch district, with average asking prices of 679,000 euros, followed by Pulheim and Bergisch Gladbach at approx. 630,000 euros.

Outlook: Prices expected to flatline in all locations

The experts at Engel & Völkers are anticipating a flatlining of prices in all Cologne locations for the remainder of the year. The month of June saw a slight drop in asking prices for freehold apartments in Cologne for the first time in years, due to the rise in interest rates. There could therefore be further moderate price corrections, especially in simple and average locations. “Many people acquired homes at top interest rates a few years ago and now have to budget more for follow-up loans. That said, the current interest rate is still relatively low when compared historically, meaning that seriously interested buyers now have opportunities to acquire properties that were more difficult to obtain in recent years due to the sheer number of buyer offers being made,” says Christian Sprave, summing up: “The current market climate is a special one, and long-term forecasts are difficult. Professional advice is therefore highly recommended to both sellers and buyers; it is absolutely necessary to be able to assess the current situation correctly.”

Other trends relating to purchase power and property prices in German cities can be found (in German) in the “Engel & Völkers Market Report for Residential Property in Germany 2020/21”.

Sources: Asking prices: VALUE Marktdatenbank, Gutachterausschuss Köln

Charming old villa on park-like property in Rondorf

Built in 1920, this old villa in Cologne Rondorf impresses with its classic architecture and is for sale for 2.3 million euros. The former rectory extends over a plot of around 1,523 square meters and offers plenty of privacy and space to relax. The 321 square meters of living space with eight rooms reflects the representative residential character of the property. A special highlight is the spacious park-like garden. (Image source: Engel & Völkers Köln-Rodenkirchen)

Modern old-building apartment in the Belgian Quarter

This bright two-room apartment with its own terrace is located in a listed former backyard-building from 1900 and is marketed by Engel & Völkers for 520,000 euros. In 2013, the property was extensively renovated using high-quality materials. Thanks to solid wood parquet flooring, listed wooden windows and an open kitchen-living area, modern design and old building charm are cleverly combined. (Image source: Engel & Völkers Köln City)

copyright: Image source: Engel & Völkers Köln City

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