The latest ARLA PRS report for September has recently been published, and it was found that:
- The number of agents witnessing rents hikes remained high in September.
- The number of properties managed per letting agent branch dropped in September.
- Demand from prospective renters also fell
For the full report, click here
“This report sums up the state of flux that the private rented sector currently finds itself in, thanks to current Government legislation. The tenant fee act has seen landlords pass on their increased costs to tenants by increasing rents. Legislative changes introduced 2 or 3 years ago by the Government are now really starting to impact some landlords who are leaving the market. This means that tenants in these properties that landlords are selling invariably have to move home and there’s less rented stock available, which puts upward pressure on rents. If the powers that be decide to change the Section 21 legislation, this could have a real impact on the market, with more and more landlords indicating that they may sell.
Our view is that the private rented sector still offers great long term investment prospects for regular income and capital growth. If you’re a landlord who needs some help negotiating the minefield of current and predicted legislative changes in the sector, please contact us and arrange for us to carry out a “landlord health check” for you.”
Will Ravenhill MNAEA MARLA, Director, Readings.