The Cotswold property rental review

Letting trends for 2019

THE BIGGEST adjustment in the lettings market for years looks set to continue through 2019.

The slowdown of the economy and stalling house prices together with new legislation may make a move out of the lettings game an appealing prospect for an easier life, yet landlords who hang on to their portfolios look set to reap the rewards as competition for properties - and rental values – increase, says Paul Oughton of Cotswold lettings agent, Moore Allen & Innocent.

Many landlords who are worried about the threat of higher borrowing costs and higher taxes may be considering offloading properties from their portfolio.

The threat of further changes to property taxes – regardless of which political party is in power, and the introduction of more and more regulation to the residential lettings sector is also making investors think twice about keeping their properties.

Yet it might be worth staying in the rental property market: the percentage of adults renting - according to industry and Government figures - is at its highest for years, and shows no signs of slowing.

Many are young people priced off of the housing ladder, or those who have realised they might not be able to afford to buy the house of their dreams, but they can certainly afford to rent it.

In addition, some families have ‘stepped off’ the housing ladder, either because the house and location they desire remains financially out of their reach and they are waiting for house prices to come down, or because changes to family circumstances or lack of job security means that a house move, with its associated stamp duty and other costs, is simply not justified.

As some nervous landlords choose to move out of the property lettings market this year, the net result will be more potential tenants chasing fewer rental properties.

In addition, a fall in confidence in the housing market and uncertainty over interest rates has meant more people staying in private rented homes for longer.

This further reduces the supply of available rental properties, and already, letting agents such as Moore Allen & Innocent are predicting good support for rental values this year for sought after properties.

Evidence suggests that the buy-to-let market is weathering the current market uncertainties successfully and that it has retained its appeal amongst investors willing to take a longer term perspective.

For those able to resist the temptation of abandoning the lettings market, the financial implications are attractive - whether as a standalone investment or as a diversification away from more traditional pension planning routes.

Paul comments ‘Despite a host of anti-landlord policies adopted by the government, including higher stamp duty and the phasing out of mortgage tax relief, as well as the uncertainty around Brexit, the buy-to-let market continues to offer good returns. We should not forget there continues to be a shortage of housing and so demand is likely to outstrip supply. Buy-to-let remains a very viable and profitable long-term market for landlords who look after their tenant customers by providing good standard properties’.

Moore Allen & Innocent have been successfully letting and managing property for years and the reputation speaks for itself.

Our fee structure is simple and competitive whilst our service is professional, comprehensive and tailored to the needs of the individual landlord.

We are experienced in providing landlords with all kinds of information and intelligence about an area, either prior to buying or for those who already own properties, and we know how to make the most of the selling points of a particular area or property.

Coupled with excellent local knowledge and a personal, friendly approach, it all adds up to a quality service and peace of mind for you.

For further information and a no obligation chat on letting or managing your property, please contact Paul Oughton and Elizabeth Davis at Moore Allen & Innocent in Cirencester on 01285 648 118 or Nancy Haughton and Lorraine Kyte in Lechlade on 01367 253 138 or email: