Current NW Rental Market

Sarah1Mitty2

MultiFuelBurner said:

Sarah1Mitty2 said:

MultiFuelBurner said:

Sarah1Mitty2 said:

MultiFuelBurner said:

You are not a landlord @sarah1mitty2 from what I can tell.

The view is very different this side of the fence and it really is one of doom and gloom for renter's especially those on benefits.

As said in previous posts blame the rent reform bill for LL's leaving this section of the renting market on the shelf.

I am happy to see other LL posting on the forum sharing the same experiences we have had with demand for rented property and what they look for in renter's which they can pick and chose.

I can see you are passionate that rents will fall but sadly they will not whilst demand outstrips supply.

It really isn`t, read the last comment on the HA thread for example, trust me the doom and gloom is for people with residential and BTL mortgage debt in a rising rate environment, especially recent mortgage borrowing because the pace of rate rises has been extremely fast and the prices got SO crazy just before it all started to unravel, those with MULTIPLE BTL mortgages are far too exposed for this environment and a lot are going to be in trouble soon in my opinion. I know as a landlord you are tempted to believe the "supply and demand" arguments because it is a comforting thought, but it doesn`t really reflect reality, as with all investing when the facts or the reality changes you have to open your mind wide to the changes and the potential effects not shutter yourself in old ideology, however I hope it all works out for you because you sound like you treat your tenants very well.

You don't go into being a landlord or multiple BTL(if that's you business model) without the ability to sustain a bit of turbulence especially given the long period of low interest rates.

There are of course some short sighted BTL LL's that have not been chipping away at the mortgages or growing relying on a low interest rate but honestly they shouldn't be in the business anyway and their risk level was too high. What percentage of the market that is I would guess to be 5-10% as most LL's with multiple properties are 58years plus on the last statistics I read and risk adverse.

I don't have to "believe" the supply and demand theory as we live it as part of our business model we would drop rents if supply wasn't there but right now and for the foreseeable rents are on the increase.

Show me the facts and predictions that rents will fall in 2024 as we are already looking ahead to next year.l as every business should.

Nobody can predict next year but I will predict that if we get a recession (that is what they are trying to cause as the cure for inflation) rents will not be going anywhere, in fact they will be falling, and I have already posted an example of a room rate in a decent flat falling since November, there will be plenty more but you can do the research yourself with PropertyLog.

I want to know what industry experts are suggesting a fall in rents. I know the answer and it's none of them. All are predicting a rise in rents. You are going round in circles now providing no evidence to you theories.

A recession increases rental rates. Bourne out during the 2008 recession rents increased. We know this as we were in business then and a look at the records 100% occupancy and payment plus 3% rises across the board.

A single room let on property log or a few from every area in the UK is not statistical analysis and very very poor research and not evidence to support your views.

2008 wasn`t a recession it was a banking crisis, "cured" by creating even more debt, most people just kept on spending on the plastic, including for rent, the game changer is higher cost of borrowing, a real recession was 1981/82 or 90/91, the coming one will be so much worse than those though because back then ordinary people had very little debt. Nothing is "let" on PropertyLog, it isn`t a portal it is just an app that tracks price changes.

turnitround

I am in a small town on the Lancashire side of Manchester and finding a property to rent round here is nigh on impossible. I  rented in this town 6 years ago and was paying  550 a month. Now even a small 2 bed terraced is 800+.

Even with those prices properties are snapped up before they are advertised. My nephew wanted to apply for one almost opposite me but the agent told him they had over 60 applications the first day and were taking no more viewings. You cant get a rental here for love nor money and nothing under 750 and that is for a flat.  

Its difficult for both landlords and tenants and there are a certain bunch of people who dont stand a chance at being selected. When I needed to rent here I had to fight to get a viewing despite having rented happily for the previous 4 years with an excellent reference from my previous landlord.
No agent would allow me to even apply. My situation was I wanted long term for myself and husband. I was retired and hubby was disabled yet we had savings and could manage the rent easily and not on housing benefit or Universal credit.  We were what I thought was a safe bet, no pets, teenagers, young children. Not party animals and Im very houseproud and a keen gardener so knew would be good for a landlord.
But because we did not have the correct type of income from employment we could not get through a door until I found a private landlord who actually spoke to me rather than ticking boxes. 
There is more to getting a decent tenant than choosing someone with a high salary.

Sarah1Mitty2

turnitround said:

I am in a small town on the Lancashire side of Manchester and finding a property to rent round here is nigh on impossible. I  rented in this town 6 years ago and was paying  550 a month. Now even a small 2 bed terraced is 800+.

Even with those prices properties are snapped up before they are advertised. My nephew wanted to apply for one almost opposite me but the agent told him they had over 60 applications the first day and were taking no more viewings. You cant get a rental here for love nor money and nothing under 750 and that is for a flat.  

Its difficult for both landlords and tenants and there are a certain bunch of people who dont stand a chance at being selected. When I needed to rent here I had to fight to get a viewing despite having rented happily for the previous 4 years with an excellent reference from my previous landlord.
No agent would allow me to even apply. My situation was I wanted long term for myself and husband. I was retired and hubby was disabled yet we had savings and could manage the rent easily and not on housing benefit or Universal credit.  We were what I thought was a safe bet, no pets, teenagers, young children. Not party animals and Im very houseproud and a keen gardener so knew would be good for a landlord.
But because we did not have the correct type of income from employment we could not get through a door until I found a private landlord who actually spoke to me rather than ticking boxes. 
There is more to getting a decent tenant than choosing someone with a high salary.

But if you broaden the search radius and are prepared to drive there are thousands of properties for rent?

turnitround

Sarah1Mitty2 said:

turnitround said:

I am in a small town on the Lancashire side of Manchester and finding a property to rent round here is nigh on impossible. I  rented in this town 6 years ago and was paying  550 a month. Now even a small 2 bed terraced is 800+.

Even with those prices properties are snapped up before they are advertised. My nephew wanted to apply for one almost opposite me but the agent told him they had over 60 applications the first day and were taking no more viewings. You cant get a rental here for love nor money and nothing under 750 and that is for a flat.  

Its difficult for both landlords and tenants and there are a certain bunch of people who dont stand a chance at being selected. When I needed to rent here I had to fight to get a viewing despite having rented happily for the previous 4 years with an excellent reference from my previous landlord.
No agent would allow me to even apply. My situation was I wanted long term for myself and husband. I was retired and hubby was disabled yet we had savings and could manage the rent easily and not on housing benefit or Universal credit.  We were what I thought was a safe bet, no pets, teenagers, young children. Not party animals and Im very houseproud and a keen gardener so knew would be good for a landlord.
But because we did not have the correct type of income from employment we could not get through a door until I found a private landlord who actually spoke to me rather than ticking boxes. 
There is more to getting a decent tenant than choosing someone with a high salary.

But if you broaden the search radius and are prepared to drive there are thousands of properties for rent?

Well of course. There are always properties somewhere. However assuming you just want a clean property in a not too shady area without having to drive 30 miles to work and dont mind your kids going to a bad school choices are very limited. 

It always surprises me when people say 'Well just move area' as if its that simple. People have lives, jobs, children in schools, elderly parents to look after etc, etc.

Those who do not qualify for social housing and who are unlucky enough to be able to find a decent landlord and a long term let are very disadvantaged. 

Sunsaru

I'd take experience and facts over wishful thinking any day of the week.

Mr.Generous

Sarah1Mitty2 said:

MultiFuelBurner said:

You are not a landlord @sarah1mitty2 from what I can tell.

The view is very different this side of the fence and it really is one of doom and gloom for renter's especially those on benefits.

As said in previous posts blame the rent reform bill for LL's leaving this section of the renting market on the shelf.

I am happy to see other LL posting on the forum sharing the same experiences we have had with demand for rented property and what they look for in renter's which they can pick and chose.

I can see you are passionate that rents will fall but sadly they will not whilst demand outstrips supply.

It really isn`t, read the last comment on the HA thread for example, trust me the doom and gloom is for people with residential and BTL mortgage debt in a rising rate environment, especially recent mortgage borrowing because the pace of rate rises has been extremely fast and the prices got SO crazy just before it all started to unravel, those with MULTIPLE BTL mortgages are far too exposed for this environment and a lot are going to be in trouble soon in my opinion. I know as a landlord you are tempted to believe the "supply and demand" arguments because it is a comforting thought, but it doesn`t really reflect reality, as with all investing when the facts or the reality changes you have to open your mind wide to the changes and the potential effects not shutter yourself in old ideology, however I hope it all works out for you because you sound like you treat your tenants very well.

The landlords I know, including myself have no concerns regarding interest rates. My investments were made from profits flipping properties, savings from salary and from the tax free lump sum from my pension pot. I buy to let, I don't borrow to let. being a landlord my salary from property is less than some tenants earn.