Richlist Posted August 2, 2016 Report Share Posted August 2, 2016 Anyone else noticed the sharp rise in rents and sale prices for property ? I'm shocked.....in my area 2 bed flats selling for £225K and renting for £850-£950pm. These prices are unheard of. How does anyone ever afford them ? Link to comment Share on other sites More sharing options...
bil8999 Posted August 2, 2016 Report Share Posted August 2, 2016 They don't !!!! Link to comment Share on other sites More sharing options...
Acura Posted August 2, 2016 Report Share Posted August 2, 2016 Ridiculous, isn't it. £975 pcm in my area (most expensive 2 bed terrace). My tenants pay £700 as they've been there many years with no increase. At these rates they won't ever move out! Link to comment Share on other sites More sharing options...
Richlist Posted August 2, 2016 Author Report Share Posted August 2, 2016 Three years ago one of my small flats was let at £600 pcm. The tenants stayed 18 months and I was sorry to loose them but my lettings agent said they were doing me a favour by leaving as they could relet the flat at £750 pcm....which they promptly did. That tenant has stayed for 18 months and is just moving out, my agents tell me they can now get £875 pcm So, £600 to £875 in 3 years = 45%+ increase or 15% per annum. .......and there is a massive shortage of property available to let so people don't have much choice. Talking to my agent on Saturday......they do sales and lettings. I was in their office for nearly an hour, the phone didn't ring once. They say sales have virtually dried up completely since Brexit.....it's only lettings that's providing an income at the moment. But it is usually quiet in August with many on holiday. Link to comment Share on other sites More sharing options...
fionaf Posted August 3, 2016 Report Share Posted August 3, 2016 We have one two bed flat and two 3 beds houses. Both types have gone up but the three beds have gone from being worth about £950pcm to £1,300pcm in the space of about four years so yes a massive increase. My mortgage hasn't gone up (it may even go down soon if the Bank of England decide to lower interest rates tomorrow). One tenant has been there for years and her rent has gone up once in that time so her rent is well below market rate at £1,050 but she is a good tenant and we will probably only consider increasing it by a modest amount at the end of the year. I would far rather have her paying below market and no void and the unknowns from a new tenant. Link to comment Share on other sites More sharing options...
Melboy Posted August 4, 2016 Report Share Posted August 4, 2016 August is traditionally quiet for EA's. I had an EA friend who use to go to his Florida villa holiday home in August and pay a person for mornings only to keep the office going. He was always contactable by phone & email of course but he always said that he would be lucky to complete on 1 or 2 properties in August and take on new business was about the same. Come September it all sprung back into life again. House prices have increased here as well but have they peaked? Will they come down? Not unheard of as we all know going back on recent data from the 1980's 1990's and 2007/8. Rental? I have long term tenant's and yes, I could get a lot more in rent but I prefer to take less rental income for good, solid, reliable tenants's and I will stick with that plan for now. Link to comment Share on other sites More sharing options...
kerbut Posted August 4, 2016 Report Share Posted August 4, 2016 We found the same , just re-let a modern 2 bed mid terrace ,it was £625 agent advertised it at £ 725 and first viewer took it with 3 others willing to take it if our new tenant dropped out. I am going today raise the rent on one of our flats from £650 to £695 as the agent says it should be £750 , but the tenants have been in it 15 years so dont want to raise it to that figure as they are good tenants. Link to comment Share on other sites More sharing options...
Mortitia Posted August 4, 2016 Report Share Posted August 4, 2016 Last September I let a very nice one bed house for £650 - I did not expect to get that but my agent was sure on the price. Since then a couple have come on the market at 675 and have let also. Just put the rent up on the big 2 bed maisonette to 765 - small increase to regular tenants but I was shocked to see a similar one on at 900! Had a chat with that agent and he expects to get it let at that price. Meanwhile in London that is about to go on the market with a 300 increase. Regular tenants of 3 years have just bought their 1st place and are leaving. I would not like to be starting out now! Link to comment Share on other sites More sharing options...
kerbut Posted August 4, 2016 Report Share Posted August 4, 2016 Yes I know what you mean Mortitia , Goadsby said the first floor which is very large (sitting room 25ft square ) with new kitchen (Howden ) fitted and new bathroom in white rather than Avacardo now fitted ,new carpets throughout it should be £800 pm , but happy @£695 but without the outlay of a refurb. Link to comment Share on other sites More sharing options...
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