As the media report that rents are still being increased, throughout the UK, Rick Flay, Director at Belvoir Sheffield, the leadingletting agents in Sheffield is warning landlords that they may end up losing money instead of making it if they choose to follow suit.
As rental income has increased for the third consecutive quarter, more than a third of landlords (34%) have increased rent levels across their property portfolio in quarter three, compared to 29% in quarter two according to Paragon, causing many others to jump on the rental increase bandwagon.
Despite this, Rick Flay from Belvoir Sheffield, which specialises in providing flats to rent in Sheffield is warning landlords to tread very carefully, he said: “It is very easy to think that if you haven’t increased rents then you are missing out on extra income, but following suit can have a rather negative impact.
“It is important to consider the value of a ‘good tenant’ and realize that if you have a reliable paying tenant, a rent rise could ‘rock the boat’ causing the landlord-tenant relationship to deteriorate or forcing them to move elsewhere, particularly in the winter months when demand drops off slightly from the peak summer madness.”
Sending your tenants a reminder to say that even though the AST says that a rent increase is due, we are holding your rents the same can earn you tenant brownie points, while reminding them that you have their best interests at heart.
Rick, whose lettings agency helps those wanting to rent property in Sheffield, continued: “Here at Belvoir Sheffield, most of our landlords would rather have a hassle free tenancy, with guaranteed rents rather than run the risk of a good tenant leaving and having to run the risk of finding another good tenant. Raising rents may seem to be the way forward, but landlords need to understand the risks attached to this.
“I would advise any landlord looking for advice on this subject to contact us. It is always better to have an expert opinion than to rush in, raise rents and suffer void periods as a result.”
Belvoir Lettings Agency Sheffield is the One Stop Specialists for Lettings including Property Management, Tenant Find, Investment and Wealth Management Advice, Fit-outs and Renovations, Furniture Packs, Investment Property Insurances and Mortgages
