Tag Archives: tenant demand

Give tax breaks to landlords to ease housing crisis Buy to Let News, Landlord News, Latest Articles, Lettings & Management, Property News

Buy to let landlords should get extra tax breaks to encourage them to provide more homes lower rents and more stable tenancies, according to a new study.

The action is needed to help a predicted 1.5 million young renters find a home because they are unlikely to ever afford to buy a property, says social care charity the Joseph Rowntree Foundation. Continue reading Give tax breaks to landlords to ease housing crisis

Benefit Cuts Price Poor Families Out of Buy to Let Buy to Let News, Latest Articles, Lettings & Management, Property Market News

Rents of around a third of private rented homes in Britain are beyond the financial reach of the poorest families as government welfare cuts start to bite.

More than 800,000 buy to let homes are now too expensive for housing benefit claimants and many face a stark choice – cut living costs to pay rents or try to find a cheaper home, says research published by the Chartered Institute of Housing (CIH). Continue reading Benefit Cuts Price Poor Families Out of Buy to Let

Tenants Grab Buy to Let Homes in Record Time Buy to Let News, HMO's & Student Lets, Latest Articles

Tenants are snapping up buy to let homes within hours in some areas – although the average is 12.7 days, according to letting agent Countrywide.

Although homes are disappearing fast, the national agent reckons more homes are coming to the market to maintain supply. Continue reading Tenants Grab Buy to Let Homes in Record Time

Tenant Demand is Still Increasing, Report Landlords Buy to Let News, Latest Articles, Lettings & Management, Property Investment News

Rising Blue Arrow

"49% of landlords believe tenant demand will continue its upward curve"

Tenants are still clamouring for buy to let homes, according to the latest survey of landlords.

Many landlords (44%) reckon tenant demand has increased in the three months ending September 30th, says Paragon Mortgages, the firm instructing the research.

Only 4% feel demand decreased.

Almost half of landlords (49%) feel tenant demand will carry on rising over the next 12 months.

Rents also continued their upward trend for the third consecutive quarter with a third (34%) of landlords reporting an increase, while only 4% confirmed rents fell.

Buy to let property yields remained steady – with a moderate 0.1% decrease to 6.1% over the quarter.

Average void periods – the time a property stands empty between rentals – also remained steady at 2.8 weeks.

Nigel Terrington, the mortgage firm’s chief executive, said: “Tenant demand has continued to increase for a third quarter, which is perhaps not surprising considering the current squeeze on the UK housing market as a whole.

“More people than ever before are relying on the private rented sector so it is positive to see that landlords are looking to invest in their portfolios and are also diversifying the types of property in which they are investing to meet tenant demand.”

One in four landlords (27 %) consider buy-to-let mortgages are either reasonably or widely available. The rest felt finance was not so accessible.

Meanwhile, a separate buy to let mortgage survey from broker Mortgages for Business revealed the number of mortgage products for landlords is soaring.

The number of buy to let mortgages and remortgages was 508 for the quarter ending September 30th, compared to 403 for the previous quarter.

Managing director David Whittaker said: “This is the third straight quarter in which the number of buy-to-let deals has risen in response to overwhelming demand from professional investors.

“With the base rate set to remain low for the medium term, property prices falling and demand from tenants showing no signs of dropping, investors will continue to capitalise on the healthy returns available from the buy-to-let market.”

Seven Tenants Chasing Each Home for Rent Latest Articles, Property Market News

tenant panel

"7 tenants are after each property according to Countrywide"

Up to seven new tenants are competing to rent each home- and the gap between available properties and the number of tenants who can’t find a home is widening.

The number of tenants seeking a home has jumped by 15% during the three months ending June 30 compared with the same period last year, according to Countrywide, the UK’s largest letting agent.

On average, rental properties are on the market for just 13.3 days before a tenant signs up.

Family homes with three or more bedrooms are growing in popularity with tenants and now account for four in every 10 rentals – up from around a third of all rentals last year.

Countrywide suggests this is due to homeowners who can’t sell are moving and renting while letting out the home they own behind them.

John Hards, co-managing director of Countrywide Residential Lettings said: “The latest findings are an interesting insight into recent changes across the lettings landscape where both demand and supply has been affected by a subdued sales market.

“Feedback from our branches shows a lot of unsuccessful sellers have chosen to ‘let-to-move’, tempted by the prospect of a quicker return on investment by letting out their property. Interestingly, some sellers may also be looking to ‘rent-to-move’ whilst they wait for both a realistic offer on their unsuitable property and their ideal home to come along at the right price.”

Around 40% of buy to let homes in London are two-bed properties letting in 12 days – four days quicker than the same time last year.

In the West Midlands, 7.2 tenants are chasing each property up for rent, while in the North West, the number of tenants seeking to rent is 3.9 per property.

In Scotland, 75% of homes for rent have one or two bedrooms, while at the opposite end of the scale in London, 40% are two bed homes.

Property Forum and News website where UK landlords and letting agents share best practice