Following on from our Definitive guide to what’s happening to rents, we’ve taken a look at the Midlands where rents are still taking a little while to recover to the heights achieved in 2008.
In the East Midlands, typically rents are up by just below or in line with inflation, and vary from around £565 to £615 per month.
Landlords – Keep an eye on your returns and if interest rates rose, check if your property will still be cash flow positive? While rents are rising, take the chance to improve any neglected décor and/or maintenance and always check you are mitigating tax. Visit our Buy to Let Tax Checklist.
Tenants – Make sure you rent from a reputable landlord. Ask to see the EPC, a gas safety certificate and find out which scheme your tenancy deposit will be kept in. Only then should you choose a property – otherwise you could end up with a rogue landlord or someone who is renting property illegally but doesn’t even know it! Visit our Renting a Property Checklist.
Letting Agents – This area is a hot bed for competition, but also an area where lots of outside investors like to invest in, so providing a good buy to let investment finding service or one where you analyse property deals on behalf of investors, will help to attract new landlords - and keep the ones you already have. When rents have been stable, advise landlords on how to maximise their returns.
If you are a landlord/tenant in the West Midlands, rents vary from around £575 to £660, and are fairly stable to small rises in the region.
Landlords – When rents aren’t keeping up with inflation, you need to try to remain cash flow positive, which may mean minimising your costs. Don’t compromise on a good service from letting agents or stint on maintenance costs. Your highest costs are likely to be your mortgage, so if you can, look to see if there is a better deal. Visit our Financing Buy to Let Checklist.
Tenants – When some rents are rising and others more stable, ensure you check out what’s happening in your local area and try to get a good deal if you want to rent for the long term. Visit our Work out if Buying is Cheaper than Renting for you Checklist.
Letting Agents – Landlords need a lot of help understanding the best way of maximising their rents. Make sure you are offering a long term buy to let service rather than just a ‘commodity’ service to put a few photos on line and show prospective tenants around property
