There was a notable increase in the number of new tenancies last month as an increasing number of tenants took advantage of lower rents across London, according to Chestertons.
The firm’s August data reveals that almost 15% more tenants moved into a new property compared to July and 25% more than August last year, giving Chestertons’ rental department a record August for revenue – up 12% on last year.
But while ‘move-ins’ increased, the number of new tenants registering with the company was down 4% on July’s figures, while the volume of enquiries was down 2%, and both offers and viewings were flat, suggesting that the summer letting market had already started to slow.
Richard Davies, Chestertons’ head of letting, said: “There were substantially more rental properties available on the market in August than there were at the same time last year, which meant that many landlords needed to reduce their rents in order to attract tenants. We saw many tenants taking advantage of this and making a move in August to secure the best properties at the best prices.”
“This is undoubtedly a tough market for landlords and rents are still under a lot of pressure but September has started strongly, with applicant registrations up 50% compared to the same time last year and viewings and move-ins up 39% and 58% respectively. This shows that that there is a still a good opportunity for landlords to secure a tenant, providing the rental price of their property is competitively priced. However this window of opportunity continues to narrow as we head into the fourth quarter, which is traditionally quieter for the lettings market.”
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No lower rents have been necessary or given in my properties and there are still several groups after every available quality property.
I don't feel or hear rents falling either, there is very little available to let, and when you have the frenzied activity in lettings as we have seen reported over the summer, that simply isnt a natural climate for falling rents. This isn't the first time Richard has done some PR trying to persuade landlords that rents are dropping. Every agent has strict KPI for price reductions vs available stock, one leads to the other whatever rents are doing. Work the prices down, everything lets, more revenue, happy days. Enquiries dropping by 2% is not a sign that rents need to drop to let when there will still be a fistful of applicants per property.
I've had to reduce rents by at least 15%.
Reduced some to zero while they are away returning end of Oct.
Rents are much lower then they used to be.
Can't wait to sell up!!
Same here, but until I can get the opportunist out of my house, I am forced to provide her with FREE accommodation. The eviction ban continues around Sheffield.
Lower rents in the London area very possibly, not in the Norwich area though.
@Chris Parkinson
Send the boys round. Now.
I am sure for a reasonable fee; your tenants will offer you the end of tenancy contract rather swiftly!
That's an interesting thought, but I'd end up in prison and she would be free to make lots of money from selling her sob story as a victim of the evil landlord. It would be better to knock some sense into the idiots who are making the laws. They don't care about the hardship because they are not affected by it. It's 14 months since I started proceedings to get her out and if this tier 3 situation merges with the Christmas ban it could be 18 months, with me still in the same situation. If these bleeding hearts are so concerned, why don't they buy my house from me. There you go Rotherham Council; wanna buy a house?
Given the atrocious treatment by this government and the grotesquely distorted attitude towards landlords, among the gimme gimme brigade, so many landlords are likely to sell-up and get out of the game. Then the remaining lettings will be in such high demand, rents are likely to rise significantly. No doubt that there will then be weeping and gnashing of teeth.
I love the idea of rents going up.
Bring it on fast please.
Always remember a colleague who was a LL removed the front door to repair it.
Tenant vacated next day!!
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