As property prices plunge by 3.3 per-cent, the largest fall on record since 2007, Rick Flay, director at Belvoir Sheffield, the leading letting agent in Sheffield is reminding landlords to play the long game.
The new figures have sparked fears among property experts that the market has fallen into stagnation, as new sellers knocked nearly £7,500 off asking prices last month.
Rick Flay, Director at Belvoir Sheffield, who offer a wide range of property to rent in Sheffield, said: “In England and Wales the average property is now valued at £229,379, and for both property investors and landlords this will be a very worrying time.
“Despite the worrying nature of these figures for current landlords, those in the rented sector need to remember that they are playing the long game and should focus on both yields and keeping their properties tenanted, which should be relatively easy as many first time buyers are still struggling to get one foot on the proverbial ladder.”
Earlier this month, the Council of Mortgage Lenders (CML) revealed that buy-to-let lending had in fact risen by 12 per cent in the third quarter, with 26, 900 buy-to-let loans being advanced.
Largely attributing this rise to an ongoing demand for rental property, Rick added: “The fall in property prices has and will create good buying opportunities for cash buyers and those people who can get mortgages, so this recent price plunge may help get some activity into the market and increase stock levels for agents.
“Although this price drop is good for increasing stock levels, in my opinion it will have very little impact on the rentals market overall. To fully awaken the market we need a bigger drop teamed with increased mortgage availability.”
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 and Investment Property Insurances and Mortgages.
