RENTS ARE STILL ON THE RISE
According to the Office for National Statics the average rent paid by tenants in the last year (July 2015-July 2016) has risen by 2.4%. Interestingly rents increased by 2.6% in England compared to only 0.2% in Scotland. Wales had no movement at all in rent levels.
In England the biggest rent increase was seen in the south east where they were up 3.5% and the least was seen in the north east where they only rose by 0.9%.
This is great news for landlords but of course worrying news for tenants when rents are increasing at a greater rate than wages. It also means it is an ever increasing struggle to get on the property ladder as it’s so difficult to save for a deposit.
Another point for consideration is tenant’s affordability for rent- never has it been more important to perform scrupulous referencing on tenants to make sure they are in a positon both financially and historically (in terms of landlord reference) to afford to pay the rent. Most importantly, this should include making sure tenants are going to be employed for the term of the tenancy agreed (i.e. not employed for a temporary short term contact) and that their earnings are sufficient to cover the cost of the rent, utilities and all other outgoings.
If you would like some guidance in letting your property, then please contact Laura Fiddes-Baron on 0121 445 7410 or email email@example.com.