The recent ARLA PropertyMark survey revealed that the lack of available (close gap) properties for rent in the Capital in January this year was ‘at a critical point.’ This was because there was 46 percent less rental properties available than the UK national average.
London rental property numbers in steep decline
There were, for instance, 99 properties being managed for every London estate agent in January compared to almost double the national average of 184. In the previous month, the figures were 130 compared to 200 properties respectively – showing a steep decline.
The drop has been blamed on high property prices in London and tougher financial constraints on buy to let landlords such as an additional three per cent stamp duty on second properties, as well as a gradual reduction in the amount of interest landlords can reclaim on expenses. The tightening financial climate for landlords has caused many to sell up and leave the sector and, as a result, fewer properties available for rent.
Professional landlords leaving runs risk of rogue landlords moving in
The survey was carried out by commissioned by the Association for Residential Letting Agents (ARLA) PropertyMark. It involved an online survey of 361 letting agents (68 of whom were London-based), during the first week in February 2018.
David Cox, Chief Executive of ARLA PropertyMark reported the survey’s findings as disturbing.
“…the capital is a hub for business and culture and attracts a huge influx of new residents every year,” he said. “But the prospect of being a landlord is becoming less tenable, as the potential buy to let investors are deterred by increased taxes and ever more complicated legislation.”
Property prices in London were also becoming untenable for landlords, he added. The end result was many professional landlords were leaving the sector to pursue more profitable opportunities in other sectors with the result it was leaving the way clear for rogue landlords to take over.
From a more localised point of view, we are finding that tenant demand is actually down on previous years, and most tenants have a choice of properties to view and choose from. This is not to say that the local buy to let market is booming, or there’s more stock hitting the rental market because that simply isn’t the case, indeed interest from buy to let investors is exceptionally low; however whilst the number of overall rental properties might be on the decline, current demand is fairly balanced so it’s important to understand what is going on in your local market when listening to regional and national news reports.
Our rental properties in Leytonstone and surrounds
From four bedroom terrace houses full of character and charm to cosy maisonettes, brand new contemporary apartments and quirky cottages – here at Trading Places we have a wide range of properties for families, individuals and couples to rent and make their home. All are in Leytonstone and its surrounds, meaning that tenants are guaranteed excellent transport links – with many rental properties a mere 10 to 20-minute walk from Leytonstone or Leyton Central Line tube stations.
Prices range from £800 pcm for a stylish studio apartment to £1,400 for a two double bedroom conversion flat and £2,400 for a fabulous four bedroom family terrace house.
It’s not just the local market we can cover, we have also let properties in, Chigwell, Ilford, Stansted, Stratford, Walthamstow and Woodford Green.
Here at Trading Places, we offer a flexible service, with many landlords seeking a bespoke offering, best suited to their needs, which is why we are approached by landlords who are recommended to us from far and wide