LOCAL MARKET UPDATE
The Lettings market in general has been very buoyant in the first half of September with multiple viewings on many new listings. Osprey have already let 19 properties this month with further transactions in the pipeline. This very busy start to the month follows on from an active July and August and we can expect tenant demand to remain particularly strong.
There is strong demand for rental properties across the whole area of Rutland, Leicestershire and Northampton with some properties letting in a matter of hours rather than days. Tenancy applications at Osprey Lettings rose dramatically during August and September for all types of housing; rural and town centre, one bedroom flats through to five bedroom houses.
This strong tenant demand is obviously great news for Landlords who have minimum void levels during relet periods and present the opportunity for assessment of rental increases. However, for Tenants there is an ongoing struggle to find and secure a property to rent.
Speaking with Darren Haughton, our lettings director in Oakham, the theme from tenants seems to be that the number of rental homes and the choice of rental opportunities in the market is lower than their expectations. Many of these tenants are seeking properties for the long term, a long term home for them and their families.
The underlying market has certainly changed over the past few years, with more and more people either priced out of the market and unable to buy, OR unable to attain mortgage funding to buy OR simply preferring the option of renting. We predict this theme to continue for the next decade, with a general increase in demand for private rental stock.
For landlords and prospective landlords the merits for “buy to let” today are strong; low interest rate environment, economic recovery, strong tenant demand, expected capital appreciation over the next 5 years, a tangible investment that the owner can control and understand (unlike some pension or stock market investments).
We are seeing strong “investor demand” in our areas of operation. Both local buyers and more recently in the past 6 months, increased demand from investors in London. In terms of value for money and proximity to London, areas like Oakham, Kettering, Market Harborough appeal to investors.
Please do contact us if you would like to discuss our lettings and property management service, or if you are interested in purchasing investment properties in this area.