Landlords and letting agents calling upon London property services like our own here at Yellow Oak Inventories LTD have reason to feel heartened by forecasts of steadily climbing rental values in the capital in the years ahead.
Indeed, it is thought that such rises will even surpass the growth of house prices over the coming half-decade, on a backdrop of recovering wages for working people.
Renting remains popular, which is serving to push up rental values
Property specialists Savills have said that they expect rents in London to go up by 15.9% by 2023, compared to a mere 4.5% increase in house prices over the same period. Even in the UK as a whole, rents are only forecast to heighten by 11.5% during this time.
Such expected rises have been attributed to a variety of factors, including the uncertainty that still prevails around the UK’s impending departure from the European Union (EU), as well as the eye-watering deposits needed to buy a property, cautious lending and burdensome stamp duty costs.
Barriers like these mean that many people who would have otherwise desired to purchase a home will instead continue to rent. However, it has also been predicted that once the Brexit deadline passes in March, salaries will grow by 16% over a five-year period, during which employers will tentatively invest in their staff – this, too, helping to push up rents.
Could now be the time to invest in a London buy-to-let property?
These predictions come in the wake of a 4.4% increase in London rents over the 12 months leading up to November 2018, as revealed by the latest HomeLet Rental Index. It brought the average monthly rent in the capital to £1,597 a month, some 110% higher than the typical level across the rest of the UK.
Such factors, together, may help to convince you that now is a good time to invest in London rental property – but if you do, you shouldn’t forget to call upon the most appropriate London property services, too. Yellow Oak Inventories LTD is an independent and professional provider of such vital services as inventories, check in, check out and mid-term reviews.
Call the Yellow Oak Inventories LTD team today, on 020 3713 4933 or email firstname.lastname@example.org to learn more about how our acclaimed London property services could serve your needs as a landlord, letting agent, relocation agent or tenant.