Local Lettings Market Update and Renters’ Rights Bill
As we approach the end of October, we are all eagerly awaiting the Autumn Statement, which is raising questions for businesses and consumers alike about what to expect.
Many landlords are anticipating increases in Capital Gains Tax, which we believe is likely. However, there is hope that this will be paired with purchase incentives to keep the housing market active.
The good news is that we’ve seen an increase in new investors actively entering the market recently. Despite the tax implications and legislative challenges, investment yields are currently the highest they have been in some time. We are now regularly calculating yields of 6-7% gross, whereas 4-5 years ago, the same properties would have achieved 4-5%.
In August this year, our offices saw demand for rental properties at its highest ever levels, with an average of 51 applicants enquiring online for each property we listed.
The market’s performance is typically driven by one or two-bedroom properties in urban locations, as demonstrated by our success across several recent build-to-rent sites.
An increasing number of landlords are choosing us to manage their properties fully, in light of recent legislation, which rest assured, we have our ears to the ground as we closely monitor.
The Renters’ Rights Bill is currently making its way through the parliamentary process, having passed its first and second readings and now reaching the consultation stage.
You can find a reminder of the key facts here:
I am in the process of writing to our local MP, Dame Harriett Baldwin, to share my views and comments on the proposals in the Bill, and we would appreciate hearing your opinions too, which will help us build our case.
Information on the key principles for landlords to be mindful of can be found in my recent book, HOME: The Ultimate Guide for Landlords, which can be purchased on Amazon as a paperback hard copy or the kindle version.
Paperback: £10.99
Kindle: £3.99
You can get your copy here: https://amzn.to/3XQhYcq
Our next Landlord Seminar will be held on Thursday 7th November at The Worcestershire FA, Claines Lane, Worcester. It will be an evening event starting at 5:45 pm and will cover discussions on the budget, mortgage rates, the Renters’ Rights Bill, insurance, and much more, including talks from specialists across various sectors. You can reserve your free spot here:
https://www.eventbrite.co.uk/e/nicol-co-landlord-event-tickets-895083126727
If you would like to discuss any of the items mentioned in this article or share your opinion on the Renters’ Rights Bill, you can reach out to Lettings Manager James Gwynne using the details below.
Email: [email protected]
Telephone: 01905 675999