New rent survey issues benchmark buy to let figures
A new rent survey is bidding to give better results for landlords by reporting rents agreed between more than 1,500 private landlords and their tenants.
The research targets landlords who belong to the National Landlord Association.
Excluding the capital, average monthly rents for a two bedroom flat start at £480 in the North East and range up to £695 in the South East.
Average rents for three-bedroom homes vary between £500 in the North East to £935 in the South-East.
In London, the survey splits properties in line with transport zones.
In zones 1-2, the monthly rent for a two bedroom flat is £1,515 and £1,815 for a three bedroom home.
In zones 3-6 the figures are £1,060 for a two bedroom flat and £1,435 for a larger home.
Tenants outside London pay around a third of their disposable income as rent, while the figure stretches to 42% in the capital.
The first survey also found:
- 87% of landlords managed to hit their listed rent
- 41% of landlords have put up rents over the past 12 months, compared to just 7% who had reduced their prices
- Almost a quarter of landlords (23%) want to buy at least one more buy to let property in the next year
- The average tenant stay in a private rented home is around 30 months
Paul Winstanley, of Allsop LLP, who helped compile the rent check report, said: “The demand for rented housing and the constraints on the wider housing market mean that rented housing is likely to retain the same income dynamics for the medium to long-term. The rented sector is growing at such a rate that landlords will share in a secure and attractive return.”
The report is scheduled for release every six months.
Article courtesy of LandlordZone