New Year off to busy start for residential lettings

After an eventful 2009, Leaders – the UK’s largest independently owned letting specialists – takes a look at what the New Year may hold in store for lettings.

Says Leaders’ managing director, Paul Weller: “January is traditionally a busy month for lettings, and this January will be no exception. All our branches had a lot of people registering in the last few weeks of 2009 looking for somewhere to rent in the New Year.

“Throughout the turbulence of the housing market and the recession, rental demand has remained consistently strong across all the areas we cover, as people tend to turn to letting in uncertain times. Letting remains a flexible and affordable option for many, and with the wide choice of high quality properties available within the lettings market, it is a lifestyle choice too.”

Although the sales market picked up during the course of 2009, there is still a shortage of properties for sale; obtaining a mortgage remains difficult with unfeasibly high deposits required; and the short-tem future direction of house prices look uncertain. As a result many people are waiting to see what will happen and are choosing to rent in the meantime – leading to continued strong demand for lettings.

Says Weller: “Whilst lending conditions have not improved significantly for first time buyers, there does seem to have been some improvement in buy-to-let lending, with a small but significant increase in buy-to-let mortgage products becoming available in recent months. We anticipate that over the coming year this will improve further and more landlords will begin to expand their portfolios. More new landlords will also enter the market as lending improves and buy to let opportunities appear in the sales market.

“Our advice,” continues Weller, “is to seek expert guidance on where and what to buy to ensure the success of your investment and avoid any unnecessary void periods. In this cost-conscious market you have to be realistic when setting your rent and present your property well to attract tenants. With the right advice there are plenty of opportunities to succeed, but using a professional, knowledgeable letting specialist is crucial.”

With unemployment a continuing threat to many, Leaders advise landlords to consider letting their property using their Premier Service and Rent Guarantee, which guarantees to pay the landlords’ rent even if the tenant defaults. This costs slightly more but gives landlords total peace of mind.