Landlord wants to increase rent based on inflation. How can we negotiate the price down?

caprikid1

"That is because we are not yet in recession, the job cuts are starting though, at delivery/tech and other companies that rely on cheap borrowing."

I appreciate you are desperate to talk the market down, there will always be poor performing firms in any market but clearly you are not in the tech industry as you would know how desperately short of talent the market is.

The rental market is dire and it is not changing anytime soon, the massive tax changes , increased legislation, combined with cost of borrowing will ensure that the rental housing stock will continue to shrink. With increasing cost of borrowing less people able to buy, not a great place to be.

For years landlords have been made out to be the devil profiting off assets that they had no right to own. Well the market has spoken and the landlords have left.......  the unhappy tenants will now have to pay for the fruits of their campaign to villainise landlords, they are paying a heavy price with rents up 30-40% in some areas with poor supply.

Sarah1Mitty2

MobileSaver said:

lookstraightahead said:

When I rented I was never asked to increase my rent (whichever property). I was an excellent tenant and I guess that was worth the few hundred extra £ a year. It's a bit short sighted of them if you are a good tenant.

You could be the best tenant in the world but, as with any business, if your landlord's costs keep increasing then rents have to increase at some point - it's not rocket science.

We've had many years of low inflation and low interest rates when landlords may well have absorbed small gradual increases but with that now changing I think renters are going to have a shock when their 12 months fixed term is due for renewal. The HPC sell-to-rent brigade in particular may well rue the day they didn't fix their mortgage for five years at historically low rates...

How frequent were the rent increases when you rented?

Sarah1Mitty2

caprikid1 said:

"That is because we are not yet in recession, the job cuts are starting though, at delivery/tech and other companies that rely on cheap borrowing."

I appreciate you are desperate to talk the market down, there will always be poor performing firms in any market but clearly you are not in the tech industry as you would know how desperately short of talent the market is.

The rental market is dire and it is not changing anytime soon, the massive tax changes , increased legislation, combined with cost of borrowing will ensure that the rental housing stock will continue to shrink. With increasing cost of borrowing less people able to buy, not a great place to be.

For years landlords have been made out to be the devil profiting off assets that they had no right to own. Well the market has spoken and the landlords have left.......  the unhappy tenants will now have to pay for the fruits of their campaign to villainise landlords, they are paying a heavy price with rents up 30-40% in some areas with poor supply.

If borrowing costs keep increasing landlords won`t be able to sell, unless they market at really attractive prices, this just means more FTB will get a flat, all good IMO. Also don`t forget all the AirBnB/Holiday homes etc. that will be sold off if we get a bad recession at some point. (as i said we are not in a recession yet)

lookstraightahead

MobileSaver said:

lookstraightahead said:

When I rented I was never asked to increase my rent (whichever property). I was an excellent tenant and I guess that was worth the few hundred extra £ a year. It's a bit short sighted of them if you are a good tenant.

You could be the best tenant in the world but, as with any business, if your landlord's costs keep increasing then rents have to increase at some point - it's not rocket science.

It was my experience as a tenant. And a landlord actually. While you have a tenant in situ it's not necessarily a good business decision to increase the rent and risk having your property empty.

You can increase it with a new tenant. 

I agree it's not rocket science.

Sarah1Mitty2

lookstraightahead said:

MobileSaver said:

lookstraightahead said:

When I rented I was never asked to increase my rent (whichever property). I was an excellent tenant and I guess that was worth the few hundred extra £ a year. It's a bit short sighted of them if you are a good tenant.

You could be the best tenant in the world but, as with any business, if your landlord's costs keep increasing then rents have to increase at some point - it's not rocket science.

It was my experience as a tenant. And a landlord actually. While you have a tenant in situ it's not necessarily a good business decision to increase the rent and risk having your property empty.

You can increase it with a new tenant. 

I agree it's not rocket science.

It would be a very bad business decision going into a recession.