Is now a good time to be a landlord?

We are in a time of uncertainty for a lot of Landlords, with stricter legislation becoming an increasing burden, and mortgage rates at a 10 year high, it’s understandable why many Landlords are weighing up the decision to sell.

Despite these uncertainties, we believe that now is a very exciting time to be a Landlord, and we’ve highlighted some key points to explain why:

Rents are on the rise

Rents have increased on average by 25.8% over the past 5 years in Hitchin and surrounding villages, and by 7.9% in the past year (source: Dataloft, November 2023). Forecasts show that rents are expected to increase in the coming years due to supply and demand. This is good news for Landlords who are struggling to manage higher mortgages, and expenses associated with letting their properties.

House prices have plateaued

Many Landlords have been sceptical about investing in buy-to-let properties in recent years with house prices reaching all time highs, and being in a sellers market. However, 2023 has seen average house prices plateau, creating opportunity for Landlords to get some great deals.

Security of tenure

During times of economic uncertainty, Tenants tend to want security of tenure, meaning they are prepared to fix into longer tenancy terms. This is great for Landlords as it means less void periods, and more security.

The long game

Whilst it is important to take factors such as the current economic climate into consideration, most investment Landlords will hold onto their properties for a number of years, riding out uncertain times.

Having the right agent

Navigating uncertain times without the assistance of a reputable and experienced agent is, in most cases, a recipe for disaster. Having the right agent is more important than ever to being a successful Landlord.

If you’re thinking of becoming a new Landlord, or perhaps you are a Landlord and have some concerns, please contact us at The Letting Quarter, our experienced team can help you.