Falling rents create a tenants’ market
As the lettings market continues to favour tenants, there are more properties than ever to choose from, forcing rents down.Because of the increase in choice, we are encouraging landlords to ask for realistic rents which reflect the market, reducing rent by 5-10% in some cases.
In our experience, landlords have been very receptive to this advice. They would rather drop the rent and fill the property than hold out for a higher rent and it remain empty.
The picture does fluctuate across the UK. Where landlords are starting to sell, the pendulum is swinging back, keeping rental income strong where the amount of available stock is reduced. However, for many, renting out property is still a quick-fix solution for private owners who are struggling to sell in the current market or for developers who are waiting for the market to pick up.
Whilst the current market conditions lend themselves to tenants, it is certainly not all doom and gloom for landlords, helped by lower mortgage rates. The key for landlords is to learn how to work with the current conditions and always be one step ahead of the market.
Labels: landlords, lettings, rental properties, tenants
posted by blogger @ 10:40
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