Rent rises predicted in 2017, according to majority of letting agents

News at Eden Harper | 21/12/2017

80% of letting agents expect rent rises in 2017 when a proposed ban on letting agents' fees comes into force. 

Chancellor Philip Hammond announced in November's Autumn Statement that letting agents' fees for tenants would be banned 'as soon as possible'.  

However, fewer tenants experienced rent increases in the month of November than when compared with October.  

Tenant demand fell in November, however, over half of letting agents expect to see demand rise in 2017.  

Landlords have had to swallow many tax and regulation changes in the recent years, including a 3% increase in stamp duty on second homes, the abolition of the wear and tear allowance, and the changes to mortgage interest tax relief, which will be phased in from next year.  

These measures have been introduced by the government in an attempt to slow growth in the buy-to-let market and make it easier for first-time buyers to get a foothold on the property ladder.  

Costs are increasing for landlords, and this may lead to a fall in the number of rental properties on the market. If potential investors decide not to invest in the buy-to-let market, this will mean fewer rental options for tenants. As rental demand continues to be high, this could push rents up even further for tenants.  

For more information on this story, click on the link below:

Your Mortgage

Our offices are now open from 10.00am - 6.00pm Monday - Thursday and until 5.00pm on Fridays. Saturdays normal hours are in operation 10.00am - 3.00pm. All visitors are requested to wear face masks and observe social distancing measures. Viewings are by appointment only and may be subject to screening questions. Our Property Management department are still part working from home, but will respond promptly by email and are contactable by phone. We ask all our clients and customers to observe safe practices due to the Covid 19 pandemnic, to help protect both themselves and our staff.
Covid 19 Information Hide