A leading East Midlands Lettings and Estate agency is experiencing an unprecedented rental boom and is urging local landlords to help service the demand by bringing new rental properties to market.
As the impact of Covid-19 continues to take its toll on the supply of rentals, Castle Donington-based Marble Property Services has seen numerous properties being rented out within 24 hours.
And in light of the growing disparity between supply and demand, they are urging local landlords to recognise that good yields and quick lets are now not just possible but virtually guaranteed.
Felicity Gordon, senior lettings and property manager at Marble Property Services, said: “The local property market has become incredibly fast paced. Because of what’s been happening with the pandemic, there are simply not enough rental properties coming onto the market - so rates are higher and turnaround times are faster than ever before.”
Felicity’s findings are powerfully reinforced by the wider industry. Recent data from Zoopla shows that the rental market is continuing to perform strongly, despite the continuing challenges of the pandemic.
However, the imbalance between supply and demand still remains and changing tenant trends are now impacting the dynamics of the market.
One of the most significant differences is the new working-from-home culture that has undoubtedly shifted tenants’ priorities away from the necessity of commuter-friendly locations. Job uncertainty and cautious mortgage lending – particularly in the case of first-time buyers - have also led to people remaining in rental accommodation for longer, reducing the available stock, states the report.
Felicity continued: “Castle Donington has always been popular, so it’s not uncommon to see rentals moving rapidly here. But throughout the East Midlands where we have tenants waiting for suitable property, it’s clear that even high-level rents are being snapped up almost instantly.
“You might previously have seen a few rentals going on the first viewing or within 24 hours of a listing being made live, but now it’s literally every single one.
“People who are looking to rent have often been looking for quite a while, so it’s actually reaching the stage where you have to be quite lucky to secure a rental property!”
So why are so few rental properties coming onto the market? It’s likely that continued uncertainty over evolving legislation in relation to tax relief, capital gains tax and one-off ‘wealth tax’ have caused delays or reluctance among potential landlords. And it’s also probable that Covid-19 has seen activity constrained by the impact of job losses, cutbacks and furloughs on potential first-time landlords.
But with a roadmap now in place for a way out of the pandemic, Felicity believes there has never been a better time for landlords to redress the balance and add their properties to the market.
She added: “With the current market looking so dynamic, I would urge potential landlords who are in a position to move forward to act now and give us a call. We know we can find you a good tenant at a strong price within 24 hours – and we know that because we are seeing it every day of the week.”