We had hoped this edition of our newsletter would be packed with updates on the Renters Rights’ Bill, especially the finer details but unfortunately, we’re still waiting for Royal Assent. In the meantime, the lettings market continues to evolve rapidly and I wanted to share some important insights.
Right now, we’re seeing a critical shift in the market: rental prices have risen faster than salaries, creating affordability pressures for tenants. While demand for rental properties remains strong, tenants are reaching their financial limits. This has led to something we haven’t seen over the past five years, stability in rental prices. In fact, many properties are now returning to the market at the same rent, or even slightly lower, than their previous let.
My advice to landlords? Be pragmatic. Holding out for a higher rent can often result in costly void periods. Just four weeks of a rental void can outweigh the benefit of a marginal rent increase. Flexibility is key in today’s market.
It’s also never been more important for landlords to either work with a professional managing agent or ensure they’re managing tenancies to a high standard themselves. Expectations around property condition are rising, and with the new legislation on the horizon, understanding your responsibilities or working with a managing agent who does, is vital.
While balancing landlord and tenant expectations is essential, the good news is that tenant demand remains high. For new landlords, there’s still plenty of opportunity. One area in particular, the High Peak, is generating great yields but currently short on rental properties. Chapel-en-le Frith, Glossop, Whaley Bridge and Marple Bridge are all lovely locations that offer tenants a great mix of picturesque locations, strong communities and convenient transport links. If you are considering becoming a first-time landlord or looking to expand your portfolio, have a chat with our teams in our High Peak offices and see what properties we have that could make excellent rental investments.
Top Yield Areas to Watch: Across our offices which encompass Cheshire, South Manchester and the High Peak we’re seeing the strongest yields in Cheadle, Marple Bridge and across the wider High Peak area. If you’d like more insight into yields in specific areas or want to discuss the Renters’ Rights Bill in detail, please don’t hesitate to contact your local lettings team.
And don’t forget to check out our Renters Rights Bill series on YouTube, it’s packed with useful insights to help you stay informed. We will be filming a full update as soon as the Bill is passed.
