Tenants expect higher standards as rents boom
With demand for rental properties in London going from strength to strength, most estate agents project that rental values will continue to rise in the coming months, with the greatest growth anticipated in prime central London, where various property consultants expect average rents to increase by as much as £15 per week to £1,052 by the end of this year. This translates into an additional £780 a year for tenants that agree to the increase. If accurate, tenants in the capital are likely to be paying 30 per cent more than they were at the trough of the market in December 2009, when weekly rents stood at £809. The latest data from buy-to-let mortgage specialist Paragon shows that landlords are benefiting from a booming rental market, with more than a third - 34% - of landlords reporting that they have increased their incomes from their property portfolios. Figures in July revealed that rents had risen above the £700 per month mark for the first time ever in the UK. "Tenant demand has been growing for a number of years, but in recent months it has accelerated considerably," said Nigel Terrington, chief executive of Paragon.
However, with higher rents come higher expectations, according to Adam Feather of Robert Anthony, the Hampstead estate agents, which offers property to rent in Primrose Hill and property to rent in St John’s Wood as well as Hampstead, Swiss Cottage and Golders Green.
Mr Feather says that more professional landlords in the capital should consider appointing a London property management firm to ensure that tenants receive a good value-for-money rental service.
“Tenants in general are now paying more money in rent and as a consequence now expect an even better service, which means that they have come to expect a 24/7 management service when they rent a property. Unfortunately, for most landlords it is almost impossible to live up to their expectations, which is why a professional property management company is ideal.” These days more and more tenants request managed properties as it allows a more professional service, removing the emotion from both sides, according to Foxtons. In a direct message to landlords, a statement on the company’s website says: “Only you know how much time you can spare to deal with your tenant's telephone calls and the resulting work. “Our comprehensive property management service is designed to give you peace of mind and relieve you of the commitment of being a full-time landlord, which is why we look after over 5,500 properties on behalf of clients both in London and around the world.” Leading Central London estate agents, Sandfords, renowned for offering a premier service for both tenants and landlords, wisely advise that in order to get the best return on their investment in the fiercely competitive London premium lettings market, ‘landlords must offer their tenants the highest levels of service’. This ultimately means a professional property management package that includes services such as collecting rent, handling administration as well as assistance with more complex issues and the provision of a 24-hour emergency helpline. Landlords are currently thriving from booming rents, but in order to maintain the good times, they need to properly look after their property investments, which includes their tenants, which is why it is necessary that they go the extra mile, ensuring that their property is well looked after from the moment a tenant moves in.