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It's Rent Increase Time Again

Carryon Regardless

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Each year, at this time, I look around at comparable rents. Various locations, so in theory various % increases.

For a few months I've been reading of drastic increases, generally. But as I look at statistics I'm seeing less than 4% quoted.

https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/indexofprivatehousingrentalprices/october2022#:~:text=1.-,Main points,12 months to October 2022.

Looking at Right Move and the like I think these statistics are not even a useful guide.

I look at the locality, local reference rents if you like, and pitch below the asked rents. A strategy that has become more widespread over the years is, more for the self managing LL I feel, to not squeeze too hard and lose tenants or reduce demand.

So this year the same, I'm looking, then pitching lower. In fact more often I am being perhaps overly generous as if I ask more than tenants can manage there is going to be more defaults. Most failing tenants pay nowt if the total is out of reach. That starts the downward spiral of a failed tenancy, and the attempt to close down the tenancy, a lose  / lose, as I / we don't know who the next tenant will be.

It is only the flats in Prestatyn that would see a 3.76% increase, that'll cause backlash I'm sure. 2 tenants are already failing, I perceive a 3rd is on the brink. A 4th needs daddy to pay his top up. This 'aint looking good.

Otherwise, in England, even being generous, I've planned between 7.5% and 10.5% increases. One area in particular, a Manchester suburb, has gone wild by the looks of it.

Are you guys and gals being gentle or otherwise, when it comes to the rent increase that is?


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Always a tricky situation isn't it. One very experienced landlord I know is quite ruthless when it comes to increasing rents which he does without conscience and he really does get away with it and he clearly has the mindset that "if they don't like it they can find somewhere else."  I couldn't be like that I have to say but that doesn't mean I am a soft touch.

I tend to increase my rents by around 5% each year but my rents are well below the average for the area and I prefer the easy life as well with no disputes or void periods. I do have one of my tenants who has been with me now for 17 years and gives me no trouble whatsoever and that is a small blessing these days.

That reminds me I have to increase his rent in March.  😀

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I'm not increasing rents at the moment. I'm mortgage free and my costs for running the business have not changed significantly. I'm sure my tenants have enough financial pressures without me adding to their problems. Any increase on my part would be pure greed. One of my New Year resolutions was to be kinder to people.......so I'm trying to apply that here.

There will probably be rent increases as current tenants vacate as I won't want to slip to far behind market rates.

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Example, the M/cr suburb property. A 3 bed terraced, let to single lass with 2 kids, on benefits. I have charged £700 pcm this last year.

The cheapest I could see locally was £825, for a 2 bed.

So I rang said lass, better to talk it through with some, not so with others. She has been expecting my call for some time, and considering her budget in preparation. I should add that to date she is a good payer, and only calls me if she should. I said I had pencilled in a rise to £750, and that was easily agreed.

Another, very local, should see a rise of over 10% and still be cheap. I don't anticipate issues from that, working, tenant.

But Accrington. A 7.8% rise to £422 pcm isn't going to be well received. It is still cheap. But selling in this climate would be more hassle than it's worth. I would hate to lose these 2 brothers as I'm well aware of the low quality of local tenants. My expression is that I would nail their feet to the floor rather than lose 'em, so I tread carefully.

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1 hour ago, Carryon Regardless said:


My expression is that I would nail their feet to the floor rather than lose 'em, so I tread carefully.

I've just taken delivery of a job lot of 6 inch nails.......could do you a deal at trade prices if it would help ? Now, how you off for a club hammer ?

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