Today’s unprecedented 1.5 per cent cut in base rate is great news for those with tracker mortgages – and may also bring relief for those on variable rates.

Buy-to-let investors at Young Group’s myBASE1 development in Southwark completed on their purchases earlier this year, the majority taking tracker rate mortgages; many on 3 year deals tracking below the base rate, for example with Birmingham Midshires – part of HBOS - tracking 0.4 per cent below base rate, and thanks to subsequent base rate cuts, are now saving over 50 per cent on their cost of finance.

This translates to a widening in the yield gap on an average £360,000 2 bedroom apartment at the development to 2.4 per cent, providing investors with an additional £650 per month in their pocket.

“The death of buy-to-let is something that’s been touted in the press for some time, but looking at the hard facts the picture is far from one of doom and gloom, and the benefits seen by investors at myBASE1 in Southwark, London are being experienced by anyone on a tracker mortgage” pointed out Neil Young, CEO of property portfolio managers Young Group.

“Providing that investors have purchased sensibly and had the right advice regarding mortgage products and projected rental income, they will weather the current economic climate. Buy-to-let is one of the world’s oldest professions and has an important long term role in the housing market.”

The figures:

2 bedroom apartment at myBASE1, London, SE1

Purchase price: £360,000

Loan to value: 85%

Product: Birmingham Midshires 3 year tracker

(0.4% below base rate)

Mortgage Amount: £312,120 (inc. 2% fees)

Rental income: £1,798 per calendar month

Mortgage per mth: £676 per calendar month

Gross Profit: £1,122 per calendar month

Neil Young, continues, “These numbers show there are many happy property owners, this example shows £1,122 pcm positive cashflow for well purchased investments - £650 of this is due to the base rate reducing from 5.5% to 3% over the last few months.

“However, the current issue is regarding new mortgages where we’ve seen lenders protect their own positions and a number of well-known high street lenders have imposed collars on their tracker deals, limiting the amount by which the mortgage holder can benefit in the event of substantial base rate reductions. We’re looking very closely at the small print of products currently on offer and urge everyone to do the same to understand fully the products that they are signing up to.”

Since the previous 0.5% base rate cut on 8 October, many lenders have discontinued their tracker products on the assumption that further base rate cuts are in the offing and are now only offering fixed rate products.

Indeed a number of lenders have withdrawn tracker products, only to relaunch them with higher interest rates. Abbey, now one of the UK’s largest mortgage lenders following their take over of the Alliance & Leicester, raised the interest rate on their 2 year tracker products by 0.5% immediately after October’s base rate cut announcement.

“The MPC clearly believes that the UK economy will benefit in the medium term from this further cut in base rate, and those on tracker mortgage will see a significant immediate benefit. I urge lenders to reflect the base rate cut in their wider mortgage products to the benefit of homeowners and investors across the board,” explains Neil Young.

Commenting on today’s announcement that BAA will inject £230 million to London’s Crossrail project, Neil Young, CEO of property portfolio managers Young Group, welcomes the boost to property market confidence that the project will bring.

BAA’s £230 million commitment to the Crossrail project comes hot on the heels of Canary Wharf Groups’ £100 million pledge as part of the planning approval of its new Wood Wharf development in London’s docklands.

Neil Young, Young Group’s CEO comments, “The impact of infrastructure improvements on property prices is well documented and Crossrail is a prime example of a project which will provide a much needed boost to confidence in the local markets close to the route’s stations.”

Young Group has identified that historically, new stations have resulted in an uplift of around 10% in property prices – over and above the general market growth, with the impact concentrated on station location as the epicentre, with the effect diminishing by c. 1.5% every 1km further away you are from the new station.

The statistics have been researched by the London School of Economics and use sample data from the impact on property prices of the Jubilee Line Extension and the Docklands Light Railway (DLR).

Neil Young continues; “The support that property prices receive from infrastructure projects is demonstrated nicely by the new East London line extension that’s currently under construction. Within 18 months of the project announcement, prices in Dalston at Young Group’s development, The Interchange, increased by around 9 per cent over and above the average for London during that period, which provided our purchasers with a healthy cushion against the current conditions.”

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Neil Young, CEO - Young Group, is available for interview

About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities and end-to-end management service in London.

Young Group manages the entire investment process from sourcing the opportunities through to financing, furnishing and letting. Young Group owns all the property that it sells, and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million.

The majority of our units are bought by private high net worth clients for their own portfolios. The Group’s portfolio managers liaise with the Young London (www.younglondon.co.uk) estate agency team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.

Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk). Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

· Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture.  The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.

· Young Group’s COO, Sylvana Young, has been named Bradford and Bingley’s Property Woman of the Year, 2008 for London.

Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.

About Young Finance

Young Finance (www.youngfinance.co.uk) is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

Neil Young, CEO – Young Group, is available for interview/further comment

PortugalVillaRenters.com has launched as a unique vacation villa web site offering villa and apartment owners a fourm where renters can contact them directly.  It is believed that up to 40% of savings can be made by cutting out agency costs and commissions.

Although many vacation rental sites exist, Portugal Villa Renters is the first to offer listings in Portuguese, thereby tapping into an extensive local market which has previously been overlooked by many of the larger operators.  Portuguese listings on the site has also led to improved rankings on Google.pt as well as Portugal associated keywords.

With an interactive map of Portugal on the home page, Portugal Villa Renters aims to make it as easily navigable as possible.  The easy user interface helps villa renters allocate their desired property quickly and assists with the comparison of prices, location, photos and property descriptions.  A “wish list” at the top of the screen saves your most desirable holiday properties for up to 30 days and automatically remembers your selections when you next log on the site.  This type of technology overcomes the necessity of writing down reference numbers and the much more tedous job of finding a previosuly selected listing by browsing all the properties in the same area.   A search bar also assists with this task by buidling up an algor

Following the success of London Update, the regular monthly round up of market news from property portfolio managers, Young Group, the company has launched a series of London Update podcasts.

The London Update podcasts enable anyone with an interest in London property to listen to latest news and views whilst on the move.

Initially launching with 2 channels, each month, Young Group’s London Update: Economic and Market News podcast presents an objective and unbiased roundup of the UK’s latest economic indicators and gauges of London’s property market. The podcast also takes the opportunity to highlight latest regeneration activity being undertaken across the capital. Its impartial delivery enables listeners to form their own opinions of the current state and future outlook of London’s residential property sector.

In addition, Young Group’s London Update: Feature podcast takes an in-depth look at a different aspect of the world of property; from construction and the role of housing; to the economy, market movements and investments. This month’s feature podcast casts an eye over the world’s tallest buildings, examines how construction is changing, the new heights that sky scrapers are reaching and asks what the future holds for high-rise living.

Both of Young Group’s London Update podcasts can be downloaded from www.younggroup.co.uk/podcast or via iTunes.

Commenting on the new London Update podcasts Neil Young, Young Group’s CEO explains; “We enjoy keeping on top of the news agenda, but it’s also a vital part of our property portfolio management service. By assessing the implications of economic and market news and sharing our expertise, knowledge and opinions, we’re able to offer an enhanced service to our investor clients, whilst giving them the information to enable them to form their own views.

“Young Group’s London Update has gained a superb readership since launching back in October 2005 and we’re keen to ensure that as many people as possible can benefit from the concise, impartial information that it has to offer. By launching the London Update podcasts, we’re offering readers the chance to subscribe and listen to the news at a time that’s convenient to them.”

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About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities and end-to-end management service in London.

Young Group manages the entire investment process from sourcing the opportunities through to financing, furnishing and letting and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by high net worth clients for their private portfolios.  The Group’s portfolio managers liaise with the Young London (www.younglondon.co.uk) estate agency team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.

Young Group clients have access to all available finance products through Young Finance (www.youngfinance.co.uk), Young Group’s FSA regulated mortgage business. Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

· Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture.  The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.

· Young Group’s COO, Sylvana Young, has been named Bradford and Bingley’s Property Woman of the Year, 2008 for London.

Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.

London-based estate agency, Young London (www.younglondon.co.uk) is offering for rent a selection of brand new 1 and 2 bedroom luxuriously appointed apartments at Kings Quarter, Kings Cross, N1 from £275pw.

The flats for rent are stunning properties. All feature private outside space, underfloor heating throughout and top quality appliances. The quality of finish and attention to detail is superb. One bedroom apartments are available from £275pw and spacious 2 bedroom homes can be rented for £350pw.

Situated just off York Way, Kings Quarter offers stylish accommodation, in a fantastic location at a great price. The properties have never been lived in before and are in perfect condition. Available furnished or unfurnished, these stylish flats will make a perfect home or pied a terre.

Kings Quarter is part of the £2 billion regeneration of King’s Cross and is probably the best connected location in London. Kings Quarter’s luxury flats are within a few moments walk of 7 underground lines as well as national rail services and St. Pancras International’s rail links to Europe.

Young London

www.younglondon.co.uk

+44 (0)845 356 1010

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Kings Quarter Summary

• Brand new apartments from a well established, reputable developer
• Private development in a vibrant urban setting
• 99 apartments in total make up the development
• The apartments feature a high standard and contemporary specification
• All apartments for rent benefit from private outside space
• Within an easy walk of Kings Cross Underground station
• Less than 2 miles to Oxford Street and the West End
• All amenities are within a few moments walk
• Adjacent to the £2 billion regeneration of Kings Cross

About Young London (www.younglondon.co.uk)

Young London is a lettings, sales and management specialist and is a Young Group company (a wealth manager which has transacted on more than £700 million of London property since 2003).

As part of an organisation that prides itself on delivering outstanding levels of customer service, Young London is proud to ensure that clients are treated with the utmost respect and that their expectations are always exceeded.

Young London currently has more than 250 properties under management and has found homes for more than 500 tenants this year.

About Young Group (www.younggroup.co.uk)

Young Group is a wealth manager with a focus on London residential property as an asset class, providing a portfolio management service to its global client base of high net worth private individuals.

Focusing purely on investments in London (a global marketplace, which has an inherent imbalance between property supply and demand), Young Group typically selects off plan development opportunities in areas that are set to benefit from regeneration investment and infrastructure improvements.

Young Group has bought developments across the capital in locations including Dalston (in advance of the East London line extension announcement), Kings Cross, Southwark, Elephant and Castle, Canary Wharf and Canada Water.

Young Group owns all the property that it sells into clients’ investment portfolios, and also retains a number of properties for its own company portfolio.

Established in 2003, Young Group has since transacted on more than 1,700 apartments, with a retail value in excess of £700 million. Our approach is to bring a corporate discipline to investing in property and our management team of accountants, surveyors, bankers and engineers is supported by a board of non-executive directors with international business and finance experience.

Young Group’s portfolio managers liaise with the group’s ‘Young London’ branded high street lettings team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets. Young London has more than 250 apartments under management.

Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage business, Young Finance. Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

Young Group’s latest – and most striking – investment purchase is The Landmark at Canary Wharf. The two residential towers (of 31 and 45 storeys) will be the highest apartments in London and one of the tallest in Europe when completed in 2010.

For each property exchange, Young Group donates £50 to CHILDREN with LEUKAEMIA, the UK’s leading charity dedicated exclusively to fighting Britain’s biggest childhood cancer through pioneering research, new treatment and support of children with Leukaemia and their families, and to NORWOOD, the Children and Families First charity which provides support to families facing social difficulties.

www.younggroup.co.uk

www.younglondon.co.uk

“Buy-to-let is arguably the world’s second oldest profession and is certainly
alive and kicking. With the correct advice and an analytical, long term
approach, good returns are there to be made. Latest results from the Young Index of market sentiment show buy-to-let investors are in it for the long term”

Neil Young, CEO, Young Group

Young Index: Summary Results for Q3 2008

• 98% of investors intend to hold their residential property investments for the next 12 months (up from 91% in Q2). 34% intend to hold their assets for at least 10 years and more than 20% of buy-to-let investors aim to keep their property investments for the next 15 years or more.

• 32% intend to buy additional residential property investments within London within the next 12 months (compared to 36% in Q2 2008) whereas just 8% of investors intend to buy UK residential property outside London. (the same proportion as at Q2 2008).

• The outlook for London property prices is 4½ times higher than for the rest of the UK. 55% of investors believe that London prices will be at current levels or higher by this time next year, whereas just 12% expect the same to be true of UK property outside London.

• 82% believe that the Government’s housing initiatives alone (such as the stamp duty ‘holiday’) will have little or no impact in easing the property market.

No Evidence of Buy-to-Let Exodus

The Young Index results for Q3 2008 show no evidence of an exodus from buy-to-let. Indeed, 98% of investors indicated that they intend to hold investment property over the next 12 months. The survey shows that the majority of buy-to-let investors are looking to the medium to long-term. More than 1/3 of respondents intend to hold their property investments for at least the next 10 years and more than 20% expect to retain their portfolios for 15 years or more.

This should come as no surprise. By far the most common reason for people holding property investments is to provide for their future. Their long term aim is to build wealth to boost their pension provision. Neil Young points out; “To a certain extent, short term market fluctuations aren’t a concern to most investors as long as their property is financed appropriately and paying for itself in the short term.

Buy-to-Let Yields Up

Investors who keep a watchful eye on the performance of their investments will have been buoyed by the Government’s surprise base rate cut of 0.5%. The 3 million people currently on tracker mortgages will see an immediate positive impact on their monthly income/expenditure schedule and an increase in their investments’ yields as mortgage costs have been cut by approximately 10%.

Property Price Outlook Holds Steady

This quarter’s Young Index shows a slight increase in positive sentiment towards house prices across the UK as a whole, but most noticeably within London. Respondents to Young Group’s quarterly market survey of buy-to-let investor sentiment indicates that more than half (55%) of investors believe that property prices in the capital will remain at current levels or rise by this time next year, up on last quarter’s results and showing a level of confidence more than 4 ½ times greater than for property outside of the capital (12%).

Neil Young, CEO of property portfolio managers Young Group, comments: “The positive shift in sentiment is by no means dramatic, but does demonstrate that investor sentiment has held steady and not slipped despite the current economic upheaval.”

Confidence in the capital’s property market remains around four times higher than the rest of the UK, with 32% of investors indicating that they intend to buy additional buy-to-let investments within London during the next 12 months.

Neil Young attributes this to the inherent gap between supply and demand that exists in London; the capital has the advantage of strong demand for housing from a population that is expected to swell from 7.2 million to more than 8 million by 2020 and is also the city most affected by changes to the country’s demographics. As a nation we’re living longer, marrying later and more likely to live alone than ever before. This growing demand for housing is against a backdrop of falling construction levels. Despite the government’s commitment to helping the industry deliver two million new homes by 2016, the credit crunch has limited the amount of bank finance available to developers to fund new housing projects. According to the Royal Institution of Chartered Surveyors (RICS), only 66,200 homes have been built across the UK since the start of this year and next quarter fewer than 25,000 properties are expected to be delivered.

The effect of supply and demand varies locally and in London property prices are cushioned from the downward pressure that is seen in many regional cities. This regional disparity is reflected anecdotally by professionals operating in the market. Neil Young, points out; “Dealing with property and land agents, mortgage lenders and the major banks on a daily basis, it is clear that London stands apart from the rest of the UK and almost without exception, the sector is focusing on the capital.

“The demise of Inside Track and Grant Bovey’s Imagine Homes being handed to HBOS sends negative messages. But their business models did not focus significantly on the London market and their exposure in regional locations where there became an over supply of property driving down prices was not insignificant. At a time when property valuations at completion are vital to purchasers being able to secure funding to complete their transaction, the businesses proved unsustainable.”

This does not mean that buy-to-let is dead. “Investing in property to rent out is probably the world’s second oldest profession. As long as investors approach property investment with the same analytical and practical mindset as they would any other asset class, there are good long term gains to be made,” believes Young Group’s Neil Young.

-ends-

About Young Index

Young Index is a quarterly gauge of market sentiment within the buy-to-let sector, polling Young Group’s client base of around 500 active investors who hold UK investment property.

About Young Group (www.younggroup.co.uk)

Young Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities in London.

Young Group manages the entire investment process from sourcing the opportunities through to financing (Young Finance: www.youngfinance.co.uk), furnishing (Young Furnishing: www.youngfurnishing.co.uk) and letting (Young London: www.younglondon.co.uk). Young Group owns all the property that it sells, and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by clients for their private portfolios.  The Group’s portfolio managers liaise with the Young London estate agency team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.

Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance. Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

· Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture.  The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.

· Young Group’s COO, Sylvana Young, has been named Bradford and Bingley’s Property Woman of the Year, 2008 for London.

Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.

Fine Taste at Mayfair’s Lansdowne Club

(London; 15/05/2008). Premier Clients of Mayfair based property wealth managers, Young Group [www.younggroup.co.uk] enjoyed an evening of fine wines in the illustrious surroundings of The Lansdowne Club’s ballroom on Wednesday night.

Hosted by specialist wine merchant, Cadman Fine Wines, a Champagne reception was followed by the opportunity to taste fine wines from the world’s finest producers: classic labels from famous names and regions that sit at the pinnacle of their craft, rare gems that have never been seen in the UK and exciting, cutting-edge wines from newly emerging stars of the fine wine world.

Specifically, a selection of Classed Growth Clarets, New Zealand Exclusives and Super Tuscans were featured and Cadman Fine Wines’ experts were on hand to provide guidance and information on an the impressive selection of quality wines, together with full tasting notes.

As well as mingling with other investors, guests had the opportunity to participate in an auction of rare and select fine wines*, conducted by Bonhams’ Master of Wines, Anthony Barnes. The event also offered Young Group’s Premier Clients the chance to discuss the investment market with their Portfolio Manager in the auspicious surroundings of The Lansdowne private members club’s historic ballroom.

The evening was a huge success with more than 250 guests in attendance.

Hi resolution images available from Michael Oakes – e: moakes@younggroup.co.uk or t: 0845 356 1000

*Highlights of the evening’s 16 lot auction included:

1 btl – Paul Jaboulet Aine Hermitage La Chapelle, 1978: Reserve £720

1 btl – Dom Perignon 1990: Reserve £140

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Press Contact:

Michael Oakes t: +44 (0)845 356 1000

Communications Manager – Young Group e: moakes@youngggroup.co.uk

Notes for Editors:

About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors; offering the best off-plan direct investment opportunities in London. Young Group manages the entire investment process from sourcing the opportunities through to financing, furnishing, letting and management. Young Group owns all the property that it sells and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of £700 million. The Group’s lettings division, Young London, has successfully let the majority of investors’ apartments within a week of completion. The Group’s portfolio managers liaise with the Young Lettings (www.younglettings.co.uk ) team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.

· Young Group clients have access to finance products from across the entire market via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk ).

· Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com ), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture . The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.

· Young Group’s COO, Sylvana Young, has been named Bradford and Bingley’s Property Woman of the Year , 2008 for London.

Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.

For further information, contact:

Michael Oakes +44 (0)845 356 1000

Communications Manager - Young Group moakes@younggroup.co.uk

Perran Springs Holiday Park are pleased to announce their new development - Badger Meadow - which will give you the option of owning your own brand new luxury caravan holiday home in Cornwall. You can relax and enjoy the freedom of the natural environment with your immediate family, escaping the hustle and bustle of everyday life as often as you wish.

A range of Luxury Willerby and Swift Caravan Holiday Homes are available for you to purchase via the proprietors of Perran Springs and the season will run from 1st March to 31st October, with a 12 year licence agreement and code of practice, as set out by the British Home and Holiday Parks Association (BH&HPA).

Stylish New Holiday Homes

Each brand new Willerby and Swift Caravan Holiday Home is expertly designed, with a focus on quality and style. They offer comfortable rooms, luxurious soft furnishings, quality fittings and are beautifully decorated. Your holiday home will be transported to Perran Springs Holiday Park and sited onto a concrete strip base, complete with axle stands and anchor restraints. It will be situated in peaceful surroundings, having it’s own grassed area and private parking bay. Skirting, verandah, steps, a normal TV aerial and an exterior storage unit may also be included. Electricity, gas, water and drainage will be installed and connected, ready for your use.

More About Perran Springs

The holiday park is set within twenty-one acres of a luscious, tranquil, sheltered countryside valley. Only families and couples are welcome and the holiday park prides itself as one of the only few ‘no pet parks’ within Cornwall, ensuring you holiday is both peaceful and relaxing.

The holiday park is located approximately two and a half miles from Perranporth Beach, and only six miles from the popular holiday resort of Newquay, providing a central base from which to experience the picturesque county of Cornwall.

Contact Details

If you are interested in finding out more regarding purchasing a caravan holiday home, please visit www.perransprings.co.uk for further details, or telephone 01872 540568. But don’t delay - as only twenty-five spacious plots are available, on a first-come first- served basis.

The Treasury is reported to be evaluating options designed to alleviate the financial sector’s current liquidity issues.

Welcoming the move, Neil Young CEO – Young Group, comments; “As banks have become less willing to lend within the interbank financial market, the cost of financing has increased and mortgage lenders have had little option but to pass on the higher costs to their client base.

The Treasury will be Judged by the Mortgage Products Made Available
“It is on the High Street that the effects of the liquidity problems are being seen as, despite reductions in base rate, lenders continue to tighten their lending criteria, increase their arrangement fees and raise the cost of their mortgage products. Intervention by the Treasury cannot come soon enough for those seeking to finance a property purchase.”
Chancellor, Alistair Darling will meet with The Council of Mortgage Lenders (CML) next week. It is thought that details of the Treasury’s initiatives intended to ease the liquidity issues currently being felt in the market will be announced at this time.
Neil Young comments; “It is to be hoped that any measures that the Treasury puts in place are attractive enough to encourage lenders to get on board. We await the details with interest, but the Treasury will be judged on the impact that its initiatives have on the mortgage products that become made available by lenders.”

Buy-to-Let Disproportionately Affected

The credit crunch has disproportionately impacted on the professional buy-to-let sector and it is hoped that the Treasury’s measures, when announced next week, will enable lenders to return to evaluating each and every market on its particular merits.
Neil Young comments; “There are many areas across London that offer solid investment opportunities and rental yields in the Capital are outstripping the national average by 3:1, but lenders’ increasingly harsh criteria, higher rates and increased fees are applied across the board.
Lenders are making broad brush decisions and not taking into account the specifics of regional markets. The London market for instance behaves very differently to that of Manchester or Glasgow.”

London’s Rental Yields are c. 3 Times the National Average

The same broad brush approach is being applied to applicants. Rather than taking the time and resources to evaluate applications on their individual merits lenders have - in a bid to protect themselves - all but closed the door to purchasers seeking gearing in excess of 80%. However, with rental yields at around 5% investors with a long term outlook have no issue with gearing at this level.

Neil Young comments; “Lenders are taking a cautious approach and on the whole are not offering finance at more than 80% loan to value and products with LTVs of 85% are extremely rare in the current market, even for investors with impeccable credit ratings. It is hoped that the Treasury’s plans to release pressure from the financial markets will result in a sense of normality return to the mortgage market, with applications being considered on a case by case basis”
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Neil Young, CEO - Young Group, is available for interview

Michael Oakes
t: +44 (0)845 356 1000
Communications Manager – Young Group
e: moakes@youngggroup.co.uk

Notes for Editors:

About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors; offering the best off-plan direct investment opportunities in London. Young Group manages the entire investment process from sourcing the opportunities through to financing, furnishing, letting and management. Young Group owns all the property that it sells and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of £700 million. The Group’s lettings division, Young London, has successfully let the majority of investors’ apartments within a week of completion. The Group’s portfolio managers liaise with the Young Lettings (www.younglettings.co.uk) team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.

Young Group clients have access to finance products from across the entire market via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk).

Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture. The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.

Young Group’s COO, Sylvana Young, has just been named Bradford and Bingley’s Property Woman of the Year, 2008 for London.
Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year.
Visit www.younggroup.co.uk to learn more.

About Young Finance

Young Finance
www.youngfinance.co.uk) is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

For further information, contact:
Michael Oakes +44 (0)845 356 1000
Communications Manager - Young Group
moakes@younggroup.co.uk

Base Rate Down by 25 Basis Points to 5.00%

 

Reaction and Mortgage Market Commentary

As widely tipped, the Monetary Policy Committee (MPC) today announced that the base rate has been reduced to 5.00%.

Neil Young, CEO of Property Portfolio Managers, Young Group, provides his observation on LIBOR and base rate, the current mortgage market and implications for homeowners and property investors:

Inflationary Pressure:

“When the Monetary Policy Committee (MPC) was given control over setting the country’s base interest rate, its remit was to control inflation, not the wider economy. Today’s announcement that the base rate has been lowered to 5.00%, at a time of heightened inflationary pressure, may raise questions over whether this inflationary remit remains the MPC’s principal focus.”

Mortgage lending and LIBOR (London Interbank Offered Rate):

“LIBOR and base rate movements continue to be uncorrelated, so lenders remain reluctant to link mortgage product to base rate and are offering fewer new tracker deals – as base rate is no longer a true reflection of the cost of their finance. In addition, even in the current climate of falling base rates, anecdotal evidence points to lenders increasing the margin between their standard variable rate and base rate.”

Mortgage Lending: Good news for those on trackers

“It’s not all doom and gloom for homeowners and property investors. Throughout the past 12 months, there has been an exodus from fixed rate deals to tracker mortgages. This time last year, 76% of mortgages were on a fixed rate, compared to just 52% at the end of February. Those on tracker rates have already seen the benefit; over the last six months the base rate has fallen by 75 basis points, meaning that those on tracker deals will have saved up to 15% on their interest payments.”

“However, through our Young Finance mortgage business we’re seeing that the best rates are now being offered on fixed rate deals as banks are able to price in margin with confidence.”

“More good news for borrowers was Wednesday’s news that HSBC will price match homeowners’ existing deals – whether fixed or tracker – in an attempt to woo those who, coming to the end of a fixed term deal face lender’s higher standard variable rate.”

Buy-to-Let investment market:

“Today’s announcement by the MPC that the base rate has fallen to 5.00% will have a negligible on the buy-to-let sector. Investors who approach property investment in the same way that they would any other asset class will be looking at the overall trend in interest rates – which is downwards – rather than short term fluctuations.”

-ends-

Neil Young, CEO - Young Group, is available for interview

Press Contact:

Michael Oakes t: +44 (0)845 356 1000

Communications Manager – Young Group e: moakes@youngggroup.co.uk

Notes for Editors:

About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities in London, as well as access to indirect, development fund investment opportunities through its development arm, Young Property. Young Group manages the entire investment process. For direct investments this spans from sourcing the opportunities through to financing, furnishing and letting. Young Group owns all the property that it sells, and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by clients for their private portfolios. The Group’s portfolio managers liaise with the Young Lettings (www.younglettings.co.uk) team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets.

Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk).

Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture. The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe.

Young Group’s COO, Sylvana Young, has just been named Bradford and Bingley’s Property Woman of the Year, 2008 for London.

Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.

About Young Finance

Young Finance (www.youngfinance.co.uk) is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees.

For further information, contact:

Michael Oakes +44 (0)845 356 1000

Communications Manager - Young Group moakes@younggroup.co.uk

Joint Venture Announced Between Young Group and BridgeStreet Worldwide Exciting New Property Opening in Canada Water - London

Property portfolio managers, Young Group is pleased to announce its joint venture with BridgeStreet Worldwide, a leading international provider of serviced apartments, for The Water Gardens apartments in Canada Water, London. BridgeStreet is expanding its UK property portfolio of over 1,000 serviced apartments to include this additional offering in the in the heart of the Docklands area. Set in a tranquil landscaped garden, The Water Gardens is a brand new development comprising contemporary one- and two-bedroom apartments located in thriving Canada Water. The area offers plenty of open spaces and an excellent choice of shops at Surrey Quays Shopping Centre, with easy access to vibrant Canary Wharf, now recognised as the world’s premier financial centre. “We are excited to have been chosen by Young Group as serviced apartment operators for The Water Gardens” said Stephen Hanton, BridgeStreet Worldwide’s chief operating officer and managing director of Europe, Middle East and Africa. “We have seen an increase in demand from our customer base for this area of the city as serviced apartments have become widely recognised as a cost effective and comfortable accommodation choice.”

“We are delighted to have entered into a joint venture with BridgeStreet Worldwide,” said Neil Young, chief executive officer of Young Group. “As a world-renowned serviced apartment operator, BridgeStreet has an unrivaled reputation for maximizing yield and enhancing asset value. This made them an irresistible choice to manage the development as we were able to offer our clients, who had invested in property at The Water Gardens, the chance to benefit from high quality tenants as soon as the apartments completed. We will continue to look for additional opportunities to partner with BridgeStreet.” BridgeStreet’s vice president of development for EMEA, Max Thorne, added, “There is no respite in the demand for serviced apartments throughout the UK. Our expertise as operators enables investors to benefit from this growth. We hope this will be the first of many projects whereby Young Group and BridgeStreet Worldwide can continue to partner” BridgeStreet Worldwide is expertly skilled to provide consultation and services to property owners, serviced apartments operators, real estate developers and investors throughout Europe.

Additional information about BridgeStreet Worldwide’s operational and brand management programmes may be obtained by contacting Max Thorne at +44 (0) 20 7792 2222 or max.thorne@bridgestreet.com. -ends-

About BridgeStreet Worldwide
BridgeStreet Worldwide is a leading international provider of serviced apartments. BridgeStreet and its Global Alliance Partners offer over 15,000 serviced apartments located throughout the United States and 50 cities internationally. An award winner both in the U.S. and Europe, BridgeStreet properties meet uncompromising standards of quality, comfort and service. For more information about the company or to learn more about how BridgeStreet is Making Serviced Apartments Easy, visit www.bridgestreet.co.uk or call +44 (0)20 7792 2222.

About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities in London, as well as access to indirect, development fund investment opportunities through its development arm, Young Property. Young Group manages the entire investment process. For direct investments this spans from sourcing the opportunities through to financing, furnishing and letting. Young Group owns all the property that it sells, and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by clients for their private portfolios. The Group’s portfolio managers liaise with the Young Lettings (www.younglettings.co.uk) team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets. Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk). Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees. · Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture. The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe. · Young Group’s COO, Sylvana Young, has just been named Bradford and Bingley’s Property Woman of the Year, 2008 for London. The overall national winner will be announced on 13 March 2008. Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.

For further information, contact:

Michael Oakes Communications Manager - Young Group

t: +44 (0)845 356 1000m: +44 (0)7932 021 993
e: moakes@younggroup.co.uk
w: www.younggroup.co.uk

Omar Hadjel Marketing Executive - BridgeStreet Worldwide
t: +44 (0)20 7313 2824
e: omar.hadjel@bridgestreet.com
w: www.bridgestreet.co.uk

“For some it may be the best of times and the worst of times, but the UK’s property market in now A tale of Just One City…London, as Young Index data for the first quarter of 2008 reveals that investor sentiment is robust in the capital” Neil Young, CEO, Young Group Young Index: Summary Results

• 86% of investors believe residential property values in London will rise or remain static over the next 12 months (compared to 82% in Q4,2007)

• 39% of investors believe UK residential property values outside of London will rise or remain static over the next 12 months

• 95% of investors intend to hold their residential property investments for at least the next 12 months

• 50% of investors intend to buy residential property investments within London within the next 12 months

• 6% of investors intend to buy UK residential property outside London

• 84% believe the proposed changes to Capital Gains Tax (CGT) has had no impact on their investment plans or behaviour

• 89% of investors expect the Base Rate to be below 5.00% at Q1 2009

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Neil Young, CEO of Young Group, commenting on the latest Young Index figures, points out: “As purchase transaction volumes in the residential property investment market reduce, it is increasingly evident that the London market is distinct from that of the UK as a whole. Both property and rental values in the capital are cushioned from the cooling in the housing market, buoyed as a result of the inherent disparity between supply and demand.” The capital has the advantage of strong demand for housing from a population that is expected to swell from 7.2 million to more than 8 million by 2020 (GLA and ONS). London is also the city most effected by changes to the UK demographics; as a nation we’re living longer, marrying later and more likely to live alone than ever before. This growing demand for housing, coupled with a house-building industry that is delivering new homes at the lowest rate for 70 years (Barker Report), buoys property prices. The uncertainty created by the current economic climate also means that there is record rental demand for homes from those choosing not to buy, and those not able to buy (affordability is at an all time low according to the latest figures from Halifax). This record demand means that landlords are benefiting from record rental income and experiencing the highest rental yield for two years (according to specialist mortgage lender, Paragon). The same cannot be said for locations outside of the capital where the disparity between supply and demand is not as pronounced and is reflected in the Young Index results which show that over the next 12 months, only 6% of investors expect to buy additional UK residential property outside of London, compared to 50% who expect to add a London property to their portfolios. Perhaps surprisingly given perceived general public sentiment to the contrary, confidence in the buy-to-let sector remains high, at a similar level as at the end of 2007 with almost all investors (95%) intending to hold their property investments for at least the next 12 months, into 2009. This confidence is mirrored anecdotally by professionals operating in the market. Neil Young, comments; “Dealing with property and land agents, mortgage lenders and the major banks on a daily basis, it is clear that London stands apart from the UK as a whole and almost without exception, the sector is focusing on the capital. It is very much business as usual.” However, Neil Young, delivers a note of caution; “As with any investment asset class, it’s imperative to scrutinise each opportunity carefully and ensure that it is supported by sound fundamentals. In the case of buy-to-let, investors need to ensure that the balance between property supply and demand is in their favour and the strongest market for buy-to-let investments is London. Young Index figures show that confidence in the London market outstrips the rest of the UK by more than eight times, which is a consequence of the continued undersupply of property in the capital and London’s dominant position as the world’s leading centre for global business and finance.” London’s dominance is also reflected when looking at property prices. 86% of investors believe that property values in London will not fall over the next 12 months (and 29% expect prices in the capital to rise). This compares to just 1% of investors expecting the price of UK property outside of the capital to rise and only 38% expecting it to remain static. Of those predicting a drop in prices, a fall in value is expected to be more than four times likely outside of the capital than in London itself. “We always urge investors to take a long term view and ensure that they are financially able to accommodate any short term fluctuations in market conditions that may occur. The Young Index results clearly show that buy-to-let investors continue to have confidence in the sector.” With regards to the ongoing effects of the credit crunch, Neil Young concludes: “The world has not come to an end; mortgage funding has become more difficult to come by. Lenders have tightened their lending criteria, which has created a shakedown in the property sector. This is no bad thing as it encourages investors to think appropriately about their investment decisions and ensure that they approach buy-to-let with the same analytical mindset as they would equity or commodity investments.”Concluding, Neil Young, rounds off; “Buy-to-let property remains a solid medium to long term investment class, provided that people do their research and look at the facts and fundamentals of each opportunity, without being swayed by marketing spin or doom-mongering press reports.”
Young Index figures for Q1 2008 show that 84% believe the proposed changes to Capital Gains Tax (CGT) has had no impact on their investment plans or behaviour.Young Index: Detailed Results Purchase Expectations (12 month outlook) London

• 50% of investors expect to buy London property (54% at Q4 2007)
• 50% of investors do not expect to buy London property (46% at Q4 2007)

UK (outside London)

• 6% of investors expect to buy UK property outside of London (10% at Q4 2007)
• 94% of investors do not expect to buy UK property outside of London (90% at Q4 2007)

Overseas

• 33% of investors expect to buy overseas property (21% at Q4 2007)
• 67% of investors expect not to buy overseas property (78% at Q4 2007)

Expectation of House Price Movements (12 month outlook)
London

• 29% of investors expect London property prices to rise (39% at Q4 2007)
• 56% of investors expect London property prices to remain static (43% at Q4 2007)
• 14% of investors expect London property prices to fall (19% at Q4 2007)

UK (outside London)

• 1% of investors expect UK property prices outside London to rise (3% at Q4 2007)
• 38% of investors expect UK property prices outside London to remain static (33% at Q4 2007)
• 61% of investors expect UK property prices outside London to fall (63% at Q4 2007)

Holding Property Investments (12 month outlook)

• 95% of respondents intend to hold their property investments (93% at Q4 2007)
• Only 5% intend to sell property and move investment funds to other asset classes (7% at Q4 2007)

Interest Rate Expectation (at Q1 2009)

• 100% of investors expect the Base Rate to be at or below 5.75% (95% at Q4 2007)
• Average Base Rate expectation is 4.88% (5.18 at Q4 2007)
• 93% of investors expect the Base Rate to be at or below current level of 5.25%
• 89% of investors expect the Base Rate to be at or below 5.0%
• 75% of investors expect the Base Rate to be between 4.75% and 5.0%

-ends- About Young Index

Young Index is a quarterly gauge of market sentiment within the buy-to-let sector, polling Young Group’s client base of around 500 active investors who hold UK investment property.

About Young GroupYoung Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities in London, as well as access to indirect, development fund investment opportunities through its development arm, Young Property. Young Group manages the entire investment process. For direct investments this spans from sourcing the opportunities through to financing, furnishing and letting. Young Group owns all the property that it sells, and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by clients for their private portfolios. The Group’s portfolio managers liaise with the Young Lettings (www.younglettings.co.uk) team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets. Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk). Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees. · Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture. The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe. Young Group’s COO, Sylvana Young, has just been named Bradford and Bingley’s Property Woman of the Year, 2008 for London. The overall national winner will be announced on 13 March 2008. Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more.Press Contact

For further commentary or to arrange an interview with Neil Young, CEO of Young Group, please contact:

Michael Oakes

Communications Manager - Young Group

t: +44 (0)845 356 1000

m: +44 (0)7932 021 993

e: moakes@younggroup.co.uk

Reaction to MPC Announcement and Buy-to-Let Commentary

As widely predicted, the Monetary Policy Committee (MPC) today announced that the base rate will remain at 5.25% during March.

Neil Young, CEO of Property Portfolio Managers, Young Group, comments; “The MPC is engaged in a delicate balancing act between keeping the base rate at an appropriate level for the current economic conditions and ensuring that future inflation is held in check.”

Inflationary Pressure:“Latest data from the Chartered Institute of Purchasing and Supply (Cips) reveals that demand in the economy is slowing, but not as sharply as previously expected. The MPC will want to see a further slowdown to ensure that the inflationary spike that they have warned could hit 3% later this year does not linger, so I expect the base rate to remain static for the short term.”“Inflation is the principal focus of the MPC, so today’s announcement that they have voted to hold the base rate at 5.25% comes as no real surprise.”

Buy-to-Let investment market:“Today’s announcement by the MPC that the base rate will remain at 5.25% during March should have negligible effect on the buy-to-let sector. Investors who approach property investment in the same way that they would any other asset class will be looking at the overall trend in interest rates rather than short term fluctuations.”

Mortgage lending:“The effect of last year’s credit crunch is filtering down to borrowers and mortgage funding is becoming more difficult to come by as lenders, rightly, tighten their lending criteria and increase the due diligence process on mortgage applications. But, a purchaser with a good credit history and a realistically priced property will still find good mortgage products from lenders.“Although the current conditions make it more arduous and time consuming for those seeking funds for property purchases, the shake out in the mortgage market will result in a stronger and more robust market. We are already seeing sense coming back to the market.”-ends- Neil Young, CEO - Young Group, is available for interview

Press Contact: Michael Oakes t: +44 (0)845 356 1000 Communications Manager – Young Group

e: moakes@younggroup.co.uk

Notes for Editors:

About Young Group

Young Group specialises in providing Property Portfolio Management services to private investors, offering the best off-plan direct investment opportunities in London, as well as access to indirect, development fund investment opportunities through its development arm, Young Property. Young Group manages the entire investment process. For direct investments this spans from sourcing the opportunities through to financing, furnishing and letting. Young Group owns all the property that it sells, and also retains a number of units in each development for its own portfolio. As the principal in every transaction, Young Group does not realise any profits until completion and has transacted in excess of 1,700 apartments, with a retail value of more than £700 million. The majority of our units are bought by clients for their private portfolios. The Group’s portfolio managers liaise with the Young Lettings (www.younglettings.co.uk) team in advance of completion to let investors’ apartments to quality tenants, often through corporate lets. Young Group clients have access to all available finance products via Young Group’s FSA regulated mortgage desk, Young Finance (www.youngfinance.co.uk). Young Finance is an appointed representative of Thinc Assured Network, one of the UK’s largest financial advisory firms and is not tied to any group of lenders, nor does it charge commission or transaction fees. · Young Group’s iconic Canary Wharf development, The Landmark (www.TheLandmarkE14.com), has been awarded two Daily Mail Property Awards in the categories of best high rise development and best high rise architecture. The Landmark East Tower rises to a height of 459 ft, making it one of the tallest residential properties in Europe. · Young Group’s COO, Sylvana Young, has just been named Bardford and Bingley’s Property Woman of the Year, 2008 for London. The overall national winner will be announced on 13 March 2008. Young Group supports NORWOOD and CHILDREN with LEUKAEMIA, two charities particularly close to our heart, donating £50 per property exchange and providing additional support throughout the year. Visit www.younggroup.co.uk to learn more. For further information, contact: Michael Oakes +44 (0)845 356 1000Communications Manager - Young Group moakes@younggroup.co.uk