Staying Ahead in Lettings

Staying Ahead in Lettings


The Housing market thrives on optimism and economic growth so the current confusion with Brexit is not very helpful with either. We're therefore pleased to report that, according to Rightmove, the rental market in West London  is as strong as ever with average rent for a 2 bed flat in Ealing up 1.2% over the past year and Hammmersmith & Fulham making a healthy comeback at 6.8%. And future predictions are postive...



<span style="font-family: 'Century Gothic',AppleGothic,Helvetica,Arial,sans-serif;">UK rents to rise 11.4% by 2023</span>

UK rents are predicted to rise by 11.4% in the next five years, according to a forecast by CBRE research. The property group forecasts that rents will rise 1.3% in 2019. The report looks at how economic, political, financial and technological trends might affect property markets. CBRE estimates that rents are likely to rise by 1.3% in 2019, followed by growth of 1.9% in 2020, 2.5% in 2021, 2.7% in 2022 and a further 2.6% in 2023.
 
The report is based on national figures so we've been looking at local activity to see if our area is following this trend. We have seen that not only are tenants staying for longer in their rental properties, with an average term of 26 months in 2016 going up to 30 months in 2018, but tenants are now expecting rent increases at the time of renewing their tenancies. This is a marked difference to 2017 where tenants were requesting rent reductions at the renewal stage. With the imminent arrival of the tenant fee ban, media predictions are that the costs of letting will also get passed on in the form of higher rents, which falls in line with the CBRE predictions.
 
If you'd like to take advantage of this healthy market and have a property to let, you can get a free, instant, rental estimate from our website here or you can call us on 020 8740 6622 to make an appointment for a more detailed valuation  with one of our lettings experts,
 
 



<span style="font-family: 'Century Gothic',AppleGothic,Helvetica,Arial,sans-serif;">Tenant Fees Ban will be introduced on 1st June 2019</span>

 

The Tenant Fees Bill  has now passed its final reading at the House of Commons, meaning that it will soon gain Royal Assent and become an Act of Parliament.

 

The ban on fees charged by landlords and letting agents will be introduced on 1st June 2019 from when Chancellor of the Exchequer. Philip Hammond, has made clear that he expects all Landlords to cover these costs. We have been aware that this has been coming for some time and there is similar legislation already in place in Scotland. The ban means that neither a landlord nor an agent will be able to charge a tenant for references, tenancy agreements or any other administration. The deposit taken and held against damages and/or unpaid rent will also now be limited to the equivalent of a maximum of 6 week's rent and deposits taken will still need to be registered with one of the government approved schemes.

 

It will not be possible to increase the deposit regardless of the tenant's situation such as owning a pet or if there is a concern about ability to pay. The media are predicting that landlords will pass on any increased costs (such as having to pay for the inventory check in and check out) to tenants via increased rents so that letting their properties continues to be viable. However, this could have consequences for tenants with longer term tenancies who would end up paying more whilst proving advantageous to those tenants who wish to move more regularly.

 

Northfields is a family run company and will always remain fair and transparent with its charges and costs. These are listed in our branches and can be found on our website here.

 

The legislation surrounding lettings is changing so if you are not up to date with the requirement for HMO licenses in the local area, or if you need more information about the upcoming Homes (Fitness for Human Habitation) Act 2018 or just want to chat further about any aspect of lettings please do contact one of our lettings team.



<span style="font-family: 'Century Gothic',AppleGothic,Helvetica,Arial,sans-serif;">New legal redress scheme to be introduced to landlords</span>

It was announced last week as part of measures for a new Housing Complaints Resolution Service that all landlords will be legally required to become members of a redress scheme to ensure that any disputes are resolved quickly. 

 

Landlords who fail to become members of a redress scheme will face a fine of up to &5,000, under new plans unveiled by the housing secretary, James Brokenshire. No firm date has been set for the introduction of the new rules.

 

This is nothing new for Northfields, however, as we are already a member of a redress scheme – The Property Ombudsman. As a family run company we are passionate about providing the highest level of customer service and will always try to put right any compliant that we do receive. Our managers are always on hand to help and you can find out more about them here.

 

Whilst fully committed to our client service pledge, we do also appreciate the security and peace of mind that comes with a binding contract and this is why we are also very happy to be part of a redress scheme. Our full complaints procedure can be found on our website and also provides details of The Property Ombudsman. We very much hope that you won’t need this information and if you do have any general feedback at any time you are very welcome to email us enquries@northfields.co.uk

 

Should you wish to be protected from the minefield of new legislation, Northfields offers a comprehensive property management package. If you'd like the peace of mind that comes from not having to worry about legal changes and knowing that your property is in the safest of hands, call us today on 020 8799 4362 or email propertymanagement@northfields.co.uk. You can also find out more from our website.




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