View more on these topics

Rent hike expected in 2017: ARLA

Following the Autumn Statement announcement that letting agents will be banned from charging fees to tenants, 80 per cent of agents expect rent hikes next year.

A report from the Association of Rental Letting Agents found that in November, the number of tenants experiencing rent increases decreased to 16 per cent, a fall from 18 per cent in October.

However, it also found that following the ban on letting agent fees for tenants eight in ten agents expect to see rent hikes in 2017.


Demand from prospective tenants also fell in November, according to the report, as the rental market cools ahead of Christmas; 32 prospective tenants were registered per letting agent branch, compared to 34 in October.

However, more than half (53 per cent) of agents expect to see a rise in demand next year.

In November, the number of rental properties managed per branch was 185, an increase from 180 in October but considerably lower than the level seen in September, when there were 193 properties managed per branch.

Following the increase in taxes for landlords, including stamp duty and capital gains tax, a third (63 per cent) of agents expect the supply of rental accommodation to decrease in 2017.

ARLA managing director David Cox says: “The number of rent hikes reported by letting agents continued to decrease in November, and it’s a shame the ban on letting agent fees will have the opposite impact on rent prices when the measure comes into force.

“The BTL market is becoming less attractive for investors as the ban on fees, combined with the scrapping of mortgage interest relief and the stamp duty increase on second homes push costs up for landlords. So unfortunately, regardless of the uplift we saw in supply this month, we expect to see the number of properties available to rent fall next year.”



Rental growth slows to 1.12% in year to November: Landbay

UK rents grew by 1.12 per cent in the year to November, a slow down from growth of 2.34 per cent by November 2015, a Landbay report has found. Average rent hit a record £1,188 per calendar month, up from £1,177 at the turn of the year. The national average is inflated by London, where […]


L&G build-to-rent fund tops £1bn

Legal & General now has £1bn of investment capability in build-to-rent after its investment arm secured another £170m of equity investment. Legal & General Investment Management Real Assets will add the money to its open-ended build-to-rent fund. The fund has secured more than 1000 homes under construction or in planning within Bristol, Salford and Walthamstow. […]


Landlord confidence rises in Q3 as rents set to climb

There was a rise in confidence among landlords in Q3, with 54 per cent expressing a positive outlook for their investments, up from 39 per cent in the second quarter. However, the Kent Reliance Buy to Let Britain report found that landlords will increase rents further in 2017 as investors mitigate costs of tax changes. The latest […]


News and expert analysis straight to your inbox

Sign up

Why register with Mortgage Strategy?

Mortgage Strategy continues to be the market-leading B2B mortgage publication in the UK, and provides trusted, independent insight with the aim of helping, promoting and analysing the latest developments for mortgage professionals.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Mortgage Strategy Events
Be the first to hear about our industry leading conferences, awards, webinars and more.

Research and insight
Take part in and see the results of Mortgage Strategy's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now