Communication Needed Between Tenants and Landlords
A spokesperson from ARLA (Association of Residential Letting Agents) has stated that the demand from UK tenants will remain high this year due to demographic factors. Although reluctant to make any market predictions, Malcolm Harrison said that the demographics did suggest that increased demand would follow.
There is also the suggestion that landlords need to learn more about the residential letting market to improve their chances of attracting tenants. These statements come after results of a survey from the Homebuyer Show showed that there is a gulf between the attitudes of landlords and tenants towards rental property. Almost three quarters of tenants view being close to amenities as important, whereas less than half of landlords thought this. Interestingly a higher percentage of landlords view decor as important than tenants (65% compared to 57%). Regardless of this result though, it is suggested that landlords present their property in the best possible light so as to appeal to a wide selection of tenants.
Mr Harrison went on to say that consulting an ARLA letting agent could be beneficial to find out what it is that tenants want, as the age gap between the two parties results in differing views of which many landlords are unaware, stating: "Landlords must remember that when they go into buy to let they are going into business and when you go into business you have to understand what your market is all about."
If the letting market does grow this year that would be good news for the many buy-to-let investors who have been the victims of 'scare stories' regarding recent property investments. Many people think that the interest rate rises, coupled with insufficient rent increases will cause buy-to-let properties to become millstones around the necks of landlords. On the other side of the fence however, are many who are celebrating buy-to-let and predicting another fantastic year - although some landlords may be struggling with the slight downturn in the economy and facing the fear of negative equity.
For those hoping to make some money from the rental market it is important to keep a stream of communication open with the tenants. So many people are quick to spread scare-stories about unscrupulous tenants who destroy property, but it is often a case of the few damaging the reputation of the many. If one looks to the statistics from the letting sector, there is evidence that many tenancies run for longer than 17 months - and the key to making a profit in this market is to keep a property rented. A happy tenant who loves their rented home is likely to help a landlords ensure a good return on their buy-to-let property.