Rents will go up by less than inflation, say landlords

Landlords are expecting rents to rise by 1.8% over the next year – below the target 2% rate of inflation.

This is despite the fact that most landlords expect to see tenancy demand increase.

The finding comes in an LSL ‘sentiment’ survey out this morning, which also says that the number of landlords finding it harder to access mortgage finance has grown this year.

Although more landlords want to grow their portfolios, 42% who have tried to raise mortgage finance have found it more difficult than it was last year.

Altogether 1,114 landlords were polled in September, with the majority not expecting to raise rents over the next 12 months.

Of those who do, more than half cite covering the cost of inflation as their main motivation, with paying for maintenance work the second most significant reason.

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One Comment

  1. Woodentop

    It's about to jump well over the rate of inflation very soon when the councils start there mandatory licensing schemes and high fee's as these will be passed onto the tenant. But one has to ask why are they not increasing at the rate of inflation …… very simple landlords know the tenant can't afford it as it is, which is one reason why licencing fees are going to cause a major headache for the industry. Labour know it and is no doubt one reason why they want no fees and 3 year tenants contracts!!!! The attitude will be, your problem, we've told you what to do and if you don't like it, tough.

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