If you are a landlord, you may be thinking that things are not getting easier. There have been some studies, and a raft of studies indicating landlords are looking to leave the rental market this year. If this sounds like you, we recommend you take some time to evaluate your position, and you should take the time to make sure you get all the help you can.
At Dunedin Sales & Lettings, we are pleased to say we know the local property and rental market very well. We also stay in touch with the national market, and the latest research. A recent study by ING International shines some light on the feelings of potential property buyers in the country, and this may be of interest to landlords.
People are struggling to step on the property ladder
The study shows 79% of British people are finding it increasingly difficult to make their way on to the property ladder. 71% of people said it was better to own than rent, at least from a financial perspective.
In the study, 43% of respondents said they expected property prices to increase this year and 58% of respondents said the housing market was on the wrong track. 82% of consumers who have never owned a home before said they are placing goals such as raising a family, paying off educational debt, renting in a convenient area or their hobbies above saving money for a deposit.
Renting remains hugely important in rental market
Therefore, renting is going to remain important, and many people don’t expect to own a property. The study found 71% of respondents expressed concerned about taking on the debt burden associated with home ownership and 58% were worried about interest rates changing over the lifetime of the mortgage. 80% of people cited high prices as a reason they don’t expect to own property.
Jessica Exton is the Behavioural Scientist, ING and she said: “Lots of us want to own our own home one day. Not only because it’s considered to be a smart financial decision, but because homeownership is an emotional and personal goal. But houses are expensive, and many perceive them as only becoming more so. Some are consequently taking longer to save their deposit and buying later in life. Given these extended timeframes, it’s not necessarily surprising that many are finding additional reasons to spend and save in the shorter term. Funding travel today, while planning to buy a home soon, for example.”
If you are a landlord in Rubery, you need to be aware of the demand for rental property, and acknowledge this demand is unlikely to diminish. There has been a lot of talk about optimism for the housing market in 2020, and there will likely be more first-time buyers in the market. However, this doesn’t mean that the rental market will diminish, there will be a high level of demand.
It is vital landlords compete effectively in a competitive market, and we are on hand to assist you if you need help managing your rental property. We are pleased to say we have helped local landlords in Rubery find tenants, we can vet tenants on your behalf; and we can manage your rental property. If you are keen to make the most of the rental market opportunities 2020 will offer, contact Dunedin Sales & Lettings.