Rent falls in real terms!

Pimperne1

IveSeenTheLight wrote: »

I apply the same principal.
I have a tenant of almost 4 years and have not increased their rents once in that time.
They are good tenants who now benefit from below market rents, whilst I as a landlord have good tenants.



I have another property that gets a regular turnover of tenants i.e. students, professionals on secondment etc and I increase the rent in relation to the local market rent.

So it seems clear that landlords can at their discretion maintain rents for good tenants whilst increasing rents between tenancies.

My philosophy exactly. Good tenants are worth an effective drop in rent. If you couldn't afford it then you wouldn't do it. Being a landlord can be quite a bit of hassle, the more hassle you can remove the better the landlord experience. The better the landlord experience the better the tenant experience in my opinion.

stringsmk2

I'll be giving our tenant between 50 - 75 pcm off once they come off the current tenancy agreement. Golden handcuffs is the approach I am going for.

IveSeenTheLight

stringsmk2 wrote: »

I'll be giving our tenant between 50 - 75 pcm off once they come off the current tenancy agreement. Golden handcuffs is the approach I am going for.

Is that a reflection on th NZ market?

stringsmk2

IveSeenTheLight wrote: »

Is that a reflection on th NZ market?

No it is for our place in London, we are currently renting it for 1175, so will drop it 1100 at the end of the tenancy.

NZ wise, good places still are very expensive.I am paying $580 PW for a modest three bedroom villa in ok ish area, it is by no means flash but it is nice enough for us.

While it might sound cheap in Pounds, factor in the wage difference and it is getting pretty expensive.

diable

I have sex with my tenants wife, she is fit I sell the photo's on and don't put up the rent...............

ctrlaltdelete

Pimperne1 wrote: »

To be honest, late December is not a good time for letting a property. Your landlord probably feels himself quite lucky to have kept you but, truth be told, if its a nice enough property I doubt he would have had much of a void - possibly he is a bit risk averse. In six months time he will find that there is big demand for rental property I am sure (always allowing that it is a nice property) so it might be time for an amicable parting of ways.

In 6 months time the cuts to housing benefit will have taken place.

In London especially there will be more supply and less demand because many households moved away from the city.

IveSeenTheLight

ctrlaltdelete wrote: »

In 6 months time the cuts to housing benefit will have taken place.

In London especially there will be more supply and less demand because many households moved away from the city.

That's one option.
Personally I think it will affect a small fraction of the market to make that big a difference.

MrEnglish

It will only really affect London, and inner London at that.

But if we are talking about average rents for all of London then yes the figures will be coming down.