11:59 AM, 19th December 2016, About 5 years ago 2
In the first report from ARLA since the announcement of a ban on letting agent fees, 80 per cent of agents expect rent prices to increase next year.
Following the Chancellor’s announcement to ban letting agent fees for tenants during his Autumn Statement, 80% of agents expect to see rent hikes in 2017.
Demand for rental properties:
Supply of rental housing:
David Cox, Managing Director, Association of Residential Letting Agents (ARLA), said: “The number of rent hikes reported by letting agents continued to decrease in November, and it’s a shame the ban on letting agent fees will have the opposite impact on rent prices when the measure comes into force. The BTL market is becoming less attractive for investors as the ban on fees, combined with the scrapping of mortgage interest relief and the stamp duty increase on second homes push costs up for landlords. So unfortunately, regardless of the uplift we saw in supply this month, we expect to see the number of properties available to rent fall next year.”
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