Do we have a long-term issue that needs addressing
I have been doing a few property network events, giving landlords some advice on the most effective and legal way to remove a tenant. I have noticed that some landlords are claiming, they are experience a small down turn in demand for rental properties? With some having to reduce the rent to secure a tenant. However, it does appear to be very regional with others claiming that they cannot purchase buy to let rental properties quick enough. Are you noticing a slow down in demand for your rental properties?
Are so many landlords selling up and leaving the sector that it is impacting on property prices? Who is buying these properties? I have noticed more section 21 being served to evict the tenant, due to landlords not being able to sustain the rental property and wishing to sell up.
During a recent property event in Birmingham I was speaking to someone who was representing the tenancy deposit protection scheme and they were claiming that the trend for decreased rental is definitely on a downward slide, yet when you look at the actual figures, yes it’s slightly down, on average only 2.1% across Britain. Is it something that landlords should be worried about? What is causing the downward trend?
Do we have a long-term issue that needs addressing?
However, when I spoke to a couple of national letting agents they reported that demand from tenants is still gathering pace, they are noticing a slight reduction in the number of new properties for renting. This is then pushing up rental prices in some areas of the country.
I have noticed that some letting agents are now turning to open days and ‘sealed bids’ to achieve record rent levels. Is this really the way the industry wants to go? Are we not inviting even further legislation from the Government?
Speaking to a regional manager he was saying that in general the quality of rental properties has increased considerably, with a fundamental switch in culture, with renting no longer considered the second option but the preferred option for many.
It seems more and more people are taking an objective view between renting and buying and when it is more cost effective to rent, choosing that option. Rather than blindly going down the must purchase route.
Once again, our industry is sending out mixed messages. What are your thoughts on the alleged downturn in rental income and the apparent increase in demand for good rental properties?