Next year will be my 10th anniversary working at Brentwood Lettings, in that time I have seen many changes in the PRS which have been both helpful & a hinderance to agents & homeowners.
There have been new regulations on many issues such as EPCs, Smoke alarms, serving of a notice, right to rent, displaying of fees and these are just a few.
However it’s not all doom & gloom , in that time I have noticed a gradual shift in tenant demand towards the private sector, from the more traditional social or council houses.
We are constantly receiving multiple applications for our properties due to such a high demand, which is due to the shortage of available properties & high wait times for social or council homes.
This has slowly pushed rents up in the PRS above the local Local Housing Allowance (LHA) rate, just a few years ago market rent was around 20% less than the LHA rate.
With rents rising at a higher rate than property prices, yields of 8-10% are common.
I am often contacted by investors who are looking at the stagnant London market & seeing the rewards of investing in Manchester, its no myth there really is a boom !
Last week we let a property before it was advertised, and just yesterday someone rang the office to book a viewing on a house that was not listed…..because they had seen me taking photos of the house.
We have increased the staff hours to deal with the demand & have changed our business model to help cope with the influx of applications.
If you require any advice or are looking at possibly investing in the Manchester area please get in touch & I will guide you in the right direction.