Rents to "Rise Sharply"

HAMISH_MCTAVISH

Fears are growing that rents are set to rise sharply after new figures showed that the number of flats and houses available to let plunged by 10 per cent in the last month.

It is typically for a seasonal fall in rental stock in October as students return in the lettings market at the start of the academic year.
However, this has combined with the decision by a growing number of “reluctant landlords” to sell up as the market improves, dramatically reducing rental stock.

The data, from the FindaProperty.com rental index, found that properties were let within 58 days, compared to 71 days at the beginning of the year.

http://www.timesonline.co.uk/tol/money/property_and_mortgages/article6890420.ece

Given that buying is already cheaper than renting in all regions except London.... (although granted a decent deposit is required)

Rising rents can only further help swing the balance in favour of purchasers.

Graham_Devon

HAMISH_MCTAVISH wrote: »

Rising rents can only further help swing the balance in favour of purchasers.

I would like you to explain how, or even why, someone would be renting if they could buy.

Then I would like you to explain how higher outgoings in terms of rent, and higher house prices, and less availability of credit, means those same renters who couldn't afford to, or didnt want to buy will now say "well you know what love, let's just go out at the weekend and buy ourselves a house after we popped to tescos".

Do you just see this stuff and auto pilot takes over? "House, rise, rise, house, mmmmm, rise, mmmm, house"

leveller2911

Well they ain't rising in the Hastings and Rother area.

We like to buck trends down here.......:D

Thrugelmir

Some days are bad news days for the property bulls......

Rents rose by 0.1 per cent in October

nembot

What a load of absolute [EMAIL="b@ll@cks"]b@ll@cks[/EMAIL] this "shortage of Houses for Sale and Rent" is a crock, the only shortage at the moment, is the truth!

Rising rental prices, oh how I laughed.

macaque_2

HAMISH_MCTAVISH wrote: »

http://www.timesonline.co.uk/tol/money/property_and_mortgages/article6890420.ece

Given that buying is already cheaper than renting in all regions except London.... (although granted a decent deposit is required)

Rising rents can only further help swing the balance in favour of purchasers.

When I saw the headline I thought; That headline smells of spin. So I looked for the source.

FindaProperty.com

Ahhhh, the mist is lifting.

Added to this the article also says:

However, rental stock remains 22 per cent higher than in October 2008.

And in another article we discover:

"Our research shows that 28 per cent of landlords have seen an increase in the number of tenants struggling to meet rental payments," he says.

http://www.aap.co.uk/endowment-news/consumer/could-selling-endowments-protect-against-rental-arrears/19419678.aspx

Nice try Hamish but no cigar.

lostinrates

Is it implausible? Seems possible on a like for like basis, to me, but that it might depress numbers or delay FTB entering market.

Anyway: something to let in my village for a while (was for sale) Price rduction from £1400pcm, to £1000pcm.....i had considered renting it, so I was near for my mum/didn't hav to move animals, but had alittle more space. We could get the stuff out of storage and would only cost us about double what we pay for storage ATM. Just feeling though that that extra £500pm or thereabouts might be better saved

PasturesNew

That's OK, I'd live in a transit van if they became unaffordable.

mewbie_2

Hamish, fancy setting up a company with me? With your enthusiasm and my.. er.. appreciation of your enthusiasm we could get into this lark before all the others jump in. I know builders are desperate to flog off city centre flats, and with price rise and rent rise predictions over the next few months and years we could only win big time. Plus, not so many competitors as there used to be for this game.

I'd like you to mortgage every penny of equity you have, and I'll double it up to 100 pounds, we'll start a Ltd company called InsideTw@ - and start raking it in.

chinup_3

I work with property developers. Rents indeed became stagnant and/or lowerd as so many amateurs entered the BTL market thus giving potential tenants 'bargaining power'. now with plenty leaving the market, invariably having made a unhealthy loss having paid too much fot theit ''investment'', rents are easing up. still not exactly rewarding profits unless you buy substantially BMV tho'...and even then ...

Wookster

mewbie wrote: »

Hamish, fancy setting up a company with me? With your enthusiasm and my.. er.. appreciation of your enthusiasm we could get into this lark before all the others jump in. I know builders are desperate to flog off city centre flats, and with price rise and rent rise predictions over the next few months and years we could only win big time. Plus, not so many competitors as there used to be for this game.

I'd like you to mortgage every penny of equity you have, and I'll double it up to 100 pounds, we'll start a Ltd company called InsideTw@ - and start raking it in.

Very funny Mewbie :rotfl: