Rents' Are Soaring!!!!!!!!!!

PasturesNew

m00m00 wrote: »

if people look at my weekly property bee thread, you will see that I am recording increases as well as reductions

it's just that there aren't many increases, and 90% of them are new builds bumping the asking price up, so they can do bigger reductions.

I am finding this. About 30% of properties have decreased in the ares I watch in the last two months.

Those with increases have 99% been developers/new builds. Just a couple of companies who are clearly either in panic/unreasonable mode, or have no idea about the housing market, or who want to be able to offer a "bigger discount".

One area I am watching is a seaside town. I think they've put the prices up because tourists visiting won't have watched the prices from the start so will feel well pleased at the discount they manage to get.... although I don't think the buyers will be turning up this year. Especially as the Met Office just announced this summer will be a wet one.

tbs624

There is a Buy To Let Index for England & Wales published by one of the mortgage companies,and available since 2001. See here: http://www.paragon-mortgages.co.uk/portal/site/pmlmain/menuitem.e09b27ae4c59badf371ae91037a056a0/?vgnextoid=850765e8c5ad0110VgnVCM100000730a650aRCRD

pinkshoes

Oxford rents are definitely up. From 2004 - 2007 they didn't seem to change much, but now there doesn't seem to be alot for under £800/month, unless you're willing to live in a grotty area.

An apartment in the block where I live has just been let for £900/month, although I know the previous tenants only paid £835/month.

It does have a very large transient population though, with all the hospitals, two big universities, and some industry.

Barcode

It hasn't happened where I am: in this development, rents have generally gone down. Our AST is due for renewal in July, and if it increases, we'll more than likely look at moving into a bigger flat, for less, in the same development. Or, if the LL wants to put our rent to a level comparable to that which the penthouses rent out for, well, we would rather move to a penthouse flat down the hall and pay more for more space (which would only be about £20 more).

It's a nice flat here, nice area, but it's also very easy for us to move either in the same development or close by for less should the LL try to increase the rent too much.

pickles110564

We have just put up our rent on a one bedroom, not by much gone from £425 to £455 and yet again did not have to advertise.

Guy_Montag

tbs624 wrote: »

There is a Buy To Let Index for England & Wales published by one of the mortgage companies,and available since 2001. See here: http://www.paragon-mortgages.co.uk/portal/site/pmlmain/menuitem.e09b27ae4c59badf371ae91037a056a0/?vgnextoid=850765e8c5ad0110VgnVCM100000730a650aRCRD

According to them yield have risen almost every month since 2004 :eek: Wish I'd got into btl back then; the yield would be massive by now.


February 2008 (PDF) Yields continue their upward trend as rents rise
January 2008 (PDF) Strong tenant demand spurs record rental growth
December 2007 (PDF) Returns reach 28 month high & rents hit new record
November 2007 (PDF) Yields steady at 6% as rents reach new high
October 2007 (PDF) Rents up 7% in one year
September 2007 (PDF) Yields hold steady around 6% for fifteen consecutive months*
August 2007 (PDF) Total returns hit 12% as property values and rental incomes rise
July 2007 (PDF) Rental incomes increase - underpinned by strong tenant demand
June 2007 (PDF) Rents and property values rise for the sixth consecutive month and yields remain steady
May 2007 (PDF) Rents rise 6.5% and total returns rise 3.6% over past quarter
April 2007 (PDF) Total returns hit five month high, as rents and property values rise
March 2007 (PDF) Yields hit a six month high as rents rise faster than house prices*
February 2007 (PDF) Buy-to-let market continues to flourish despite recent interest rate rises
January 2007 (PDF) Yields remain stable as property values and rental incomes rise December 2006 (PDF) Another bouyant year for buy-to-let
November 2006 (PDF) Total returns exceed 13% - the highest for four months
October 2006 (PDF) Yields remain consistently above 6%*
September 2006 (PDF) Landlords enjoy rising yields while property values ease

<Stop it for the love of god>


*Slightly conflicting comments.

I tend to take all indices as being fairly fair, but one or two stand out as being a bit dodgy.

chickflick

my rent has gone up to £734 was £695 for two bed flat in bournemouth.

Pez2

I wouldn't be at all surprsied if rents on properties that appeal to STRs go up due to increased demand. On the other hand rents on urban newbuild apartments aren't going anywhere due to oversupply.

RHemmings

We occasionally get these claims that rental prices are increasing. Where I live rents haven't increased for years. My rent hasn't gone up and I see a similarly priced property for £5 a month more than I'm paying on rightmove. The typical price for a nothing special 3bed semi round here is £550, though I pay quite a bit less. And this has been the typical price for years.

Where are these rent increases happening? Bournemouth for one.

BiggaThanBen wrote: »

I used to get at least £50pcm off asking price every time I moved in last 3 years ..depends what %tage of asking price is that though

Can you give us a description of how you negotiate these decreases?

BiggaThanBen

RHemmings wrote: »

Can you give us a description of how you negotiate these decreases?

look a property
make an offer £75 less
get £50 discount
----
again depends on asking price, I doubt you can do it with £400 properties, I am talking about £750 - £900 range