Figures reported in Belvoir’s Q3 monthly rental index highlights clear regional differences across the country in terms of rents achieved and the impact of a shortage of good quality accommodation.
“Belvoir’s rental index is produced by property expert Kate Faulkner, and looks at national and regional trends. The Q3 index shows that almost six years post-recession, average rents in England, Scotland and Wales exceeded the Q3 2008 – but only by 3.5%,” says Dorian Gonsalves, Belvoir’s Director of Commercial and Franchising.
Denise Rhodes, owner of Belvoir Paisley in Scotland says: “The sales market has picked up, so ‘reluctant’ landlords have taken the opportunity to sell. Rental prices remain static but the market remains buoyant.”
Northern Ireland is affected by a shortage of rental properties. Trevor Burns of Newtownards & County Down, Northern Ireland says: “The rental market here is suffering from a real shortage of properties across all agents. This is resulting in rents increasing and low void periods for landlords. From a tenant perspective, they are keen for longer term, 12 months or more tenancies.”
Rob Price of Belvoir of Cardiff, Wales reports: “Rents have been increasing, with most landlords keen to review rent when re-letting their property. Many of our £950pcm four-bed properties are now reaching rent levels of up to £1,100pcm.”
Lee Durrant of Belvoir Ipswich says: “The lettings market in Ipswich is currently quite buoyant. July to September saw an increase in rentals and it continues to be a strong 2015, showing growth from 2014 with rents creeping up, especially on houses, because of the shortage, but good apartments are also showing a small increase.”
Glenn Wakeham of Belvoir Guildford office says: “July-September continued to see strong tenant demand with rental figures on new tenancies increasing between 5-10%. Landlords with ongoing good tenants were more likely to leave the rent the same or ask for...
a modest increase of 1% in line with CPI.”
Jeremy Wasden of Belvoir Uxbridge comments: “Average rents in Uxbridge have increased over the past year, particularly for smaller properties, such as studio and one bed flats. Tenant demand remains strong for good quality affordable housing in Uxbridge.”
However, over in Whitehaven there appears to be a reverse situation. Angela Parton of Belvoir Whitehaven says: “Property rental prices here have fallen in the last 12 months by approximately 10%”.
Dorian Gonsalves concludes: ““The Belvoir Q3 rental index shows that a total of 14 Belvoir offices in counties that include Lancashire, Norfolk and Devon have yet to recover to levels reached in 2008. Clearly the market is far from ‘spiralling out of control’ in terms of rental increases, although this has repeatedly been suggested in media reports throughout the year. It is very clear that a shortage of good quality accommodation is strongly impacting on the market and the ability of agents to meet tenant demand.”
Belvoir now has 211 offices nationwide. To find your nearest Belvoir office, visit their website at www.belvoir.co.uk©LandlordZONE® – legal content applies to England and is not a definitive statement of the law, always seek professional advice. If you have questions on these issues go to the LandlordZONE® Forums