Are House Rental prices dropping?

piggeh

Thanks for the feedback. They may have fallen by a small amount then I guess, but it's not really noticeable from a buying perspective (ie if a one bedroom place has dropped from £700 to £650 it's not going to make much of a difference!).

Chris2685

If I was to renew my rental agreement now and it didn't at least stay the same, I would certainly go and look elsewhere. Just in the 3 or 4 months I have been renting, the prices have dropped around here about 10% from what I can see by looking on Rightmove.

beingjdc

A house identical to the one I rented in Spring 2003 for £390 a month is on for an asking rent of £415 a month.

The flat I rented in Spring 2005 for £155 a week is currently on for an asking rent of £165 a week.

Our current flat we moved into in Autumn 2006, and rental prices went up not long after. Now, there are placed I'd regard as better (similar but in a nicer part of the area) available for the same as we pay.

TJ27

beingjdc wrote: »

A house identical to the one I rented in Spring 2003 for £390 a month is on for an asking rent of £415 a month.

The flat I rented in Spring 2005 for £155 a week is currently on for an asking rent of £165 a week.

Have they actually got tenants at those prices though?

The properties that I know have been empty for several months are still being advertised at whatever price. Unless there's somebody living there it means nothing. (Quite literally in terms of income for the landlord.)

beingjdc

TJ27 wrote: »

Have they actually got tenants at those prices though?

Clearly not, or they wouldn't still be advertising.

The properties that I know have been empty for several months are still being advertised at whatever price. Unless there's somebody living there it means nothing. (Quite literally in terms of income for the landlord.)

Correct, so a best guess is that rents are flat-ish over the last half a decade, from my personal examples. Since I know they went up a couple of years ago, they must now be falling.

geoffky

i am not looking to rent at all but in my area nearlly every rental has dropped their prices. here are the first page of my search..these are the highest prices on page one..


25 February 2009 18:15:53Price changed: from '£1,925 pcm' to '£1,650 pcm'


16 December 2008 15:37:33

• Price changed: from '£1,750 pcm' to '£1,500 pcm' [IMG]chrome://property-bee/skin/user_comment.png[/IMG]

19 November 2008 11:33:14

• Price changed: from '£2,000 pcm' to '£1,750 pcm' [IMG]chrome://property-bee/skin/user_comment.png[/IMG]

15 February 2009 10:47:55

• Brief Description changed: 50% OFF THE FIRST TWO MONTHS RENT WHEN YOU MOVE IN BEFORE 31ST JANUARY 9TH APRIL 2009!! * Unfurnished
• Price changed: from '£1,500 pcm' to '£1,400 pcm' [IMG]chrome://property-[/img]

Out,_Vile_Jelly

I only have my personal experience to go on, based on having recently looked at a lot of 1 bed rentals in the Wimbledon and Putney area through a variety of letting agents. In approx half of viewings the agents suggested the price could be negotiated downwards without my even mentioning it. After a few viewings it was quite clear what was reasonably priced and what wasn't. The flat I'm shortly moving into had the rent dropped by 12% from the original asking price and had been empty a while. I looked at a place a few doors down, with identical size and layout but in much shabbier condition that was still on at £1100 pcm. The agent admitted he was embarrassed to show it at that price.

stevetodd

Out,_Vile_Jelly wrote: »

I only have my personal experience to go on, based on having recently looked at a lot of 1 bed rentals in the Wimbledon and Putney area through a variety of letting agents. In approx half of viewings the agents suggested the price could be negotiated downwards without my even mentioning it. After a few viewings it was quite clear what was reasonably priced and what wasn't. The flat I'm shortly moving into had the rent dropped by 12% from the original asking price and had been empty a while. I looked at a place a few doors down, with identical size and layout but in much shabbier condition that was still on at £1100 pcm. The agent admitted he was embarrassed to show it at that price.

I am a LL in the Battersea area (so similar to Wimbledon/Putney), I think possibly what we have here is unrealistically priced flats dropping? The rents for my flats in Battersea are:

2 double bed with garden £1,185/month
2 double bed with garden £1,180/month
2 bouble AND a 10' x 6' (I call it a large single) £1,350/month
3 double bed with additional ensuite £1,650/month

All my flats are in very good condition

If they are asking £1,100/month for a one bed then I can see why they would be falling.

Out,_Vile_Jelly

Slightly difficult to compare 1 bed with 2 beds, as the latter are always better value for money if you can afford them (depressing how much I'm financially penalised for being single).

So yes, unrealistic rents are dropping. I don't begrudge paying what's fair- I can see what I'm getting for my money in my new place (good condition, period conversion, large garden). The rent on my current place was put up by 8% recently (leasehold service charge increase, not my problem I'm afraid)- it's a nice flat but I knew I could get more for my money elsewhere, so the LL has lost an excellent tenant.

Mr_Matey

Our rental agreement is up for renewal soon, and the landlord has proposed keeping the rent as it is.

Part of me wants a reduction, or to look for a cheaper spot in the area as our place is larger than we *need*.

On the other hand it's nice having a spare bedroom when people visit (my parents are visiting soon), we're already getting a good price compared with similar properties in our street (most are £100-£250 per month more), the landlord's nice and get problems sorted quickly and moving is very annoying.

So we'll probably just leave things as is.