Forecasts for squeeze on rental property

 

The changes made to tax regulations may lead some landlords to reduce the number of properties in their portfolio and will, in return, lead to an increase in rental prices, surveyors have suggested.

According to the Royal Institution of Chartered Surveyors (Rics), rental prices could rise faster than house prices over the next five years to come. This would be the result of more tenants chasing after fewer rental properties available on the market.

https://www.buyassociation.co.uk/2016/10/05/governments-buy-let-taxes-will-create-rental-supply-crisis-2025/

The main reason for landlords to possibly slow down are the tax changes that have recently been made by the Government.

The Rics survey was originally conducted before Sajid Javid revealed the Government’s Housing White Paper, and it seems like the paper picked up on a couple of the points.

The BBC reports that Jeremy Blackburn, Rics head of policy, said that ministers had listened the the institution’s point of view to give the private rental sector more priority alongside homeownership.

https://www.buyassociation.co.uk/2017/02/02/london-drop-started-prime-sales-fall/

Furthermore, the survey stated that house prices continued the upward trend in January with no stopping in sight for most of the country over the next 12 months. The only exception to this forecast is London, which may see a drop or at least a plateau.

Rics also mentioned that the number of properties available for purchase remains at a record low, with a rise in demand expected from buyers over the months to come.

Highgrove Mews

High Net Yield Freehold Houses

  • Commutable to London (27 mins to central Paddington station)
  • Rental demand extremely strong with large industry presence in Reading
  • Freehold with 4% net yield

£284,955 - £457,000

St Petersgate – Stockport Manchester

New Launch - Stockport Manchester, apartments from £160,000

  • Discounted launch prices from £160,000
  • Excellent transport links with 3 trains per hour to London Euston and only 9 mins journey to Manchester Piccadilly
  • Experienced development team

Assured Rent Housing Association Leases

Assured Rent Housing Association Leases

  • Assured rent & no rental voids
  • Tenant damage cover & newly refurbished inline with requirements of a corporate sitting tenant
  • Free property and lettings management

From £62,000

Emerging Birmingham Commuter Town With Properties From Just £104,000

The emerging Birmingham commuter town where properties are selling in an average of just 24 days

  • A collection of 62 two bedroom apartments and 28 one bedroom apartments.
  • DE14 is one of the fastest selling postcodes in the West Midlands.
  • 23 minute train journey into Birmingham New Street Station.

Properties from £104,000

Mill, Stockport

The Northwest's emerging property hotspot

  • Discounted off-plan 2-bed prices from £162,000
  • Completion date - Q4 2021
  • Rental yields - 6% plus

Discounted off-plan 2-bed prices from £162,000

South Central – Birmingham City Centre Apartments

Highly anticipated 28 storey launch in Birmingham City Centre with an impressive roof garden and communal facilities.

  • 154 units across 28 storeys
  • Residential multi-media community room, gym, roof garden and sky cinema
  • Excellent future connectivity via the metro system to other key transport hubs and locations around the city

from £205,800

ba-

Talk to us

Speak to our UK property experts today: 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

+852 9865 4446

Open from 9am-6pm HKT

Stamp Duty Calculator

.

Unlock members only investment opportunities and full development details. Join now – it’s free, quick and easy.

Login

Not a member? Sign up for free

Forecasts for squeeze on rental property

Forecasts for squeeze on rental property

Example

By submitting your details via this online form you agree to be contacted via email/phone/SMS by Direct Marketplace Ltd t/a BuyAssociation in relation to property investment and property developments . We do not share your personal details with third parties.  To view our full Privacy Policy click here.