Average rents in the UK increased at a greater rate in June of this year than in any other month on record a recent report reveals. Monthly nationwide rents showed an average of £790 last month which is 1.4% higher than records showed in May and in turn up by 5.6% over the last 12 months. This is also the first month in the last 2 years that rents increased at a faster rate than average house prices, stunning figures indeed. The figures show a consecutive 15 month growth of rental income with the greatest increase recorded in the East of England. The next best figures were recorded in London and surrounding areas which is a little surprising when you think of property prices in the capital. Local agents in the Yorkshire and Humber area also reported record rental incomes one agent said. “We have a great demand for quality rental property which is growing by the day and rents are at a premium”. The feeling is within the buy-to-let community that due to a strengthening economy and employment confidence rents will continue to increase but perhaps at a slower pace. One landlord in Yorkshire said “it is a good time to have buy-to-let property with rents increasing and very cost effective borrowing”. “My business is showing increased profits year on year and has done so for the last 3 years”. Overall Even with the recent change in taxation it would seem that the buy-to-let business is a very profitable market to be in. The demand for quality rental properties continues to grow as more people find it difficult to get on the property ladder. Can we help? If you are thinking of entering this market there are many things to consider and the mortgage is one of the most important. We have a team of fully qualified experts waiting to assist you so please get in contact.
