Hi ,
What are landlords putting up rent this year in terms of percentage!
My tenants are coming to the end of a six month ast and I would like to up it a bit .
Cheers
There have been a few recent threads about increasing the rent. Many had previously kept the rent the same and now need to increase it by a considerable amount (double digit %) as their costs have risen significantly. Particularly mortgage rates. I would check on Rightmove to see what similar properties are being rented for in your area and then raise yours to a similar level. It would be good if you are able to set it a little lower 10%ish for existing good tenants so that they can see they are getting a good deal and not want to move on.
Hi
Didn’t think to look it up via the search side , I did have a browse and it varies and no definite answer , I was thinking about 8% but tbh that seems low as some are charging 11% !
I rented property on a lower side last December, as I always do. Now I’ll have to increase it 20% as soon as I can serve S13. Which will still be below market rate.
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I have one tenant who 2years ago I increased it by £110 and they went berserk and now it’s 1095 and similar are going for 1300 plus and I know they are not going to like it !
We used to reason and negotiate with TT in a similar scenario. We decided that we won’t be doing it anymore. Our rent increase will still be £100 below market value and, as such, a favour to the T. If they don’t like it, we’ll suggest they start looking for another property. If they keep arguing, we’ll serve S21, while we can. We don’t have to put up or engage with TT who go beserk. We have a T like this now, and we’re evicting them because we’re tired to constant arguing and of them starting to make up probelms as a revenge after the increase to make us run for our money. Let them argue elsewhere.
I rent out on the border of zone 1 in east London. I’ve had to put rent up by 11% last year and a further 22% on a new tenancy just starting and that just to minimise losses. I’m charging at the top end of the range for my property type to get a gross yield of 4.7%. You can get 6% or more fixed for 1-3 years on cash right now with capital protection. Net yields are well below that and with property prices sliding. Local agents have told me that 70% of their sales portfolio is landlords cutting losses with Renters’ Reform Bill also weighing on their minds. If it wasn’t for the prospect of a hefty capital gains tax bill and that we have our own plans for the future for the place, I’d sell - no question.
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