It’s no secret and definitely no surprise to tenants, rents have been steadily rising over last few years, only to be enhanced by this year’s rise in stamp duty on second homes and investment properties. Could these constant hikes, however, be finally coming to an end?
The London Evening Standard’s Homes and Property have recently recognised that perhaps rental hikes are about to effectively hit a wall. With average monthly rental costs in central London equaling £2,475, have tenants eventually been pushed to their limits?
No longer being able to afford the desirable ‘spare room’, adding on average £845 to Londoners rent, although this is less in more northern areas, Homes and Property report that the number of renters with a spare room has halved over the past 6 years, with only a quarter of tenants able to afford this.
Although these sacrifices have helped tenants keep their cost of living down, they may now have been stretched as far as they can be, which is likely to put a cap on rent increases.
The UK is currently seeing the lowest level of rental hikes this year, at only 24% (Guardian). This comes with a higher supply of unlet properties on the rental market, due to an influx of buy-to-let investors buying pre-stamp duty increase. This, in turn, means less scope for Landlords to bump up rent prices.
These points all indicate a positive rental market for tenants, however, buy-to-let investors are also still more than keen even post-Brexit. The current renters market it a positive one and Letproof only looks to make this an even more positive experience for tenants and landlords alike.
With the aim of offering a less competitive letting process and to give tenants more choice, freedom and flexibility when finding their property, Letproof.com offers a social media style platform which matches tenants with landlords directly, cutting out tenant fees!