Longer tenancies and high demand in the market spells good news for Landlords
1st April, 2019
Tenancy length is now a top 5 priority for London tenants
59% Of tenants feel they would never be able to buy in the Capital
Tenants now expect to be renting for 5 years, a 25% increase from a year ago
Tenants in London, surveyed as part of the Kinleigh Folkard & Hayward (KFH) Annual Tenant Barometer, say they are expecting to rent for longer, and find the prospect of buying in the Capital even more out of reach.
The research found that rental price was still the top priority year on year, with couples prepared to rent in the area they want to live rather than buying somewhere that isn’t on their wish list.
One KFH tenant, Lisa Campbell, who lives with her partner, said: “This was the first rental we had together, and the four years we have spent in our rental have suited us for this time in our lives. Buying a property outright was not affordable for us in the area we wanted to live given the current climate.”
KFH Group Lettings Director, Carol Pawsey, said: “The strength of the private rental sector has been well documented and debated, and there is no doubt that the demand for rented accommodation is set to continue. In fact, in the first 10 weeks of 2019, our online tenant enquiries were up by 57% on 2018 and tenant registrations across our 46 lettings offices were up by over 25%.
“It is a good time to be a landlord in London, albeit, with changes to legislation, it pays to be partnering with those who can guide you through,” said Ms Pawsey.
Brooke and Gordon Kenwright, who also rent through KFH have said: “The main advantage of taking a longer tenancy is the feeling of security and knowing we won’t have to move again in 12 months – trying to minimise any disruption for our two sons, aged six and nine”.
Overall, the top five priorities when choosing a property to rent were rental price, area of London, property size, proximity to transport links, and tenancy length, respectively. However, bills being included in the rent and the property being fully furnished are also key factors for younger renters aged between 18 and 34.