Landlords express concern about falling rents
Rents in London have fallen for the first time in nearly six years, according to a new survey.
At £1280 on average, monthly new lets in London were around £7 cheaper in July than a year earlier, the research found.
The last time rents inside the M25 recorded a year-on-year fall was in November 2010, when the average monthly rent in London was £923.
The drop in income generated by new lets is being blamed on landlords snapping up buy-to-let properties before the introduction of a 3% stamp duty surcharge on second homes in April.
Many of these homes may now be appearing on the rental market, widening the choice for tenants and easing the upward pressure on rents.
The report points out that in the capital a third more houses and flats were available for rent in July when compared with 12 months earlier.
It adds that in the past 60 days, 14.1% of all properties withdrawn from the sales market in London have been listed for rent.
This has had a marked effect on landlords receiving more than their asking price.
In July 2015, 32% of tenants in London paid over the asking rent to secure a home compared with 11% in July 2016.
If you are a landlord concerned about your rental income, Assetgrove’s Guaranteed Rent scheme could be the answer.
It works by guaranteeing you a fixed monthly rental income while we get on with the often
time-consuming business of managing all the day-to-day tasks of running a rental property, such as inspections, lettings, viewings, maintenance work and legal issues.
We offer a completely personal and professional service that prioritises you and your property, treating each home as if it were our own.
Assetgrove can often let a property within 48 hours of taking it on. And if any repairs need doing to bring the rental home up to the standards demanded by the ever-increasing amount of legislation governing the private rented sector, our in-house maintenance team can carry out the work with no payments up front.
For more information on rental values, click on the link below