There are plenty of opportunities for landlords and investors in the current rental market, as Rightmove report the most competitive market in 16 years!
The facts about the current landlord market
Average asking rents outside London hit a new record of £1,126 pcm - up 11.8% compared to last year.
Rents outside of London are rising at the highest annual rate Rightmove has ever recorded in 16 years of reporting.
- Rental demand is up 6% compared with last year and available properties are down 26%.
- Average monthly rental payments are now 40% higher than they were ten years ago, while average mortgage payments for the same properties are only up by 13%.
- Despite challenges, more landlords are planning to expand their portfolios in the coming 12 months (34%) than reduce them (11%).
What does this mean for landlords?
Since the rise in living costs tenants have been choosing to move outside of price hotspots and looking in areas within commuting distances to city centres. Areas such as Peterborough are proving popular for London workers, with accessibility to London Kings Cross in under one hour!
Buying in an area that is close to big cities is a great investment strategy for capital growth.
In this strong market we advise landlords to focus on growing their property portfolio to benefit from the rise in rental yields across the country.
Looking for a letting agent?
Whether you are a new landlord or an experienced investor, our letting service provides everything you need; from finding suitable tenants to fully managing the property. Find out more here.