In the spring of 2020, COVID-19 shut down the lettings market and the government were forced to put a blanket restriction on anyone moving to a new house whilst the lockdown measures were in place. Since then, these restrictions have been eased and the lettings market is beginning to get moving again.
Initial research suggests that the time spent in lockdown has encouraged long-term tenants to look to move as they now require properties which are larger, have gardens, and some, are looking towards the countryside and away from more urbanised areas. For landlords in the Somerset and Dorset area, this is a positive trend, which has meant that what is an already desirable area has suddenly become even more popular.
More positive news for landlords in this area is that research has shown that rents have increased at a higher rate in the South West of England than anywhere else in the UK! In the last year, the average rent in this region has risen by 11% meaning buy-to-let landlords are able to gain a much higher return on their property than in other areas of the UK.
Research has also suggested that void periods, i.e. the period of time a property may be empty between tenancies, has dropped from an average of 23 days to just 12 in the South West region, meaning that landlords spend less time without rent between tenancies.
All of the above suggests that, although it has been a difficult year so far for almost all industries, the lettings market looks set to recover well and the South West is in a strong position as one of the best places in the country for landlords to buy rental property in.
For further market updates keep checking our website www.taylorlettings.co.uk