Supply of rental properties is diminishing in all English regions, Scotland and Wales. In fact, it’s down a combined 36 percent since December 2020. In respect to London, the pandemic has divided into two-halves. Read on to find out more.
Rents in Inner London have been hardest hit as the rise of flexible working has seen fewer new tenants move into the capital, while some tenants have moved to leafier neighbourhoods in search of more space. But the resumption of office life and opening of global travel marked a turning point for the London rental market in November.
Doug Shepherd, director of the website Home, and author of its respected monthly lettings and sales market snapshot, says in his latest report: “The capital’s rental market now offers 63 percent fewer properties available to let compared to a year ago and central London rents are seemingly going berserk. Asking rents in the borough of Kensington and Chelsea, for example, have risen just over 50 per cent in the last twelve months.”
And the report adds: “Surging rents (and yields) in central London, coupled with ‘free money’ for borrowers, has triggered greater demand in the London sales market. Our forecast for 2022 is that prices and rents will continue to rise overall due to scarcity caused by the current easy money policies”.
Despite this, London rents are correcting in several regions following the reversal of the Covid-related London exodus. So this nationwide rise is likely to be transitory. Furthermore, the largest annualised average rent hikes are outside of London, in the East of England and the South East, up 7.1 and 5.0 percent respectively.
What does this mean?
Due to the increase of rentals on these last dates, we know that it can be difficult or sometimes even time consuming to find a good option, but at Rickman Properties Limited, we help you step by step. And if you’re a new or prospective real estate landlord, read on for our top pre-tenant tips to help you prepare.
For private landlords, this means a great opportunity to rent all your properties. But in order to do so, you have to take into account several aspects, as well as be guided by professionals so that the process can be safe and reliable.
How can Rickman Properties help?
At Rickman Properties, we understand the amount of work involved to manage a buy-to-let London property. For Landlords, we offer a free pre-letting service to advise you on the condition of your property.