In 2019, the London lettings market is set to change and become more competitive with rents likely to rise.
The impact of the extra stamp duty introduced for buy to let purchases, combined with a lack of confidence from new investors, means the number of buy to let properties being purchased in Prime Central London is down on average by 15 per cent.
Tim Hassell, managing director at lettings only company, Draker said, “More properties are now being let for the asking price with a noticeable increase in multiple bids on the same property. These are sure signs that there is going to be a rise in rents at some point this year, after almost a decade without rent increases”.
Presentation will be key in 2019, immaculately presented rental properties will be the first to benefit from a premium. “ It’s quite simple, the more effort a landlord puts into presentation – the more likelihood of getting a higher price.”
Tim Hassell advises: “The lettings market will not ‘warm up’ for another eight weeks or so. So now is the time to put your investment property to the front of the queue, especially if the property has just become vacant. There are often small improvements that you can make to the presentation that will make a consderable difference to someone who walks through the door”.
Ensuring the property is warm at this time of year is a priority. “A cold property will have an immediate impact on a tenant and can easily dissuade them, in fact if a property is cold some tenants will run straight back out of the door, so cosy wins every time”.
Unfurnished properties with no overhead lighting can be a challenge as light is key. If a rental property has no easy way of being illuminated for viewings, it becomes harder to let in January/February because by 5pm it is already dark, reducing viewing opportunities by three hours every day. So being clever with lighting and arranging viewings during daylight hours can boost your window of opportunity.