Grow by outsourcing to rental property management companies – it’s the future of lettings.
Christmas 2020 Update
I doubt there will be many people, other than the owner of
Amazon, who won’t be glad to see the back of 2020. There is positive news on
the horizon with COVID-19 vaccines due very soon so rather than look back at
2020 with doom and gloom I am going to look forward to 2021 with a new
invigorated optimism. But has 2020 really been that bad?
Starting PPM at the beginning of this year, in hindsight,
was not one of my best life decisions but I have been able to help many
Landlords through this ‘annus horribilis’ directly and indirectly with
practical advice and fresh new ideas on how to deal with tenants and resolve
issues before they become a major issue. This advice and help has been given
freely and without obligation. PPM’s and my personal ethos will always be ‘we
are in this together’ so whatever I can do to help I will.
I firmly believe that the service PPM offers to Landlords
and tenants alike is second to none. I have been able to secure more long-term
contracts for my Landlords than ever before and the feedback from my Landlords,
who are only having to deal with 1 person now, has been hugely encouraging.
Are Pets a bad thing?
According to the Kennel Club, two out of five
new puppy owners this summer bought their pet as a ‘Covid companion’, and two
thirds of new dog owners agreed their pet was a lifeline during lockdown.
In general pet ownership has soared during
lockdown. Cats, dogs, rabbits etc.
etc.
This means that the Landlords who allow pets,
with certain restrictions and in the right type of property, have seen demand
soar! Soaring demand means more rent and longer-term tenants and I have yet to
meet a Landlord who did not want more rent and security of tenure!
There are, of course, some disadvantages with
pets but nothing that cannot be overcome with good property management and some
carefully worded contractual clauses.
How is my asset fairing?
Despite the challenges this year being a
Landlord is still a growth business. According to ZPG (Zoopla Property Group) the
UK, in October, has shown the highest property growth, 3.5%, since December
2010! They are predicting this growth will continue into 2021 with a general
slowing down at the end of 2021 but still an upward trend.
Rents are also increasing with the HomeLet
index showing a UK annual increase of 2.2% year on year. Take London out of
this scenario with an annual decrease of -3.7% and you are looking at an
average growth in rents of 4.2%. The South West leads this growth with a great
6.2% increase in rents year on year.
Don’t despair London Landlords! The average
rental value in London is still 95.2% higher than the rest of the UK and the smart
money is saying that the London market will see a bounce back in 2021.
Overall, 2021 is looking good for Landlords
throughout the UK and it shows that no matter what is thrown at it, the
property market still marches on!
Have a fantastic Christmas and a prosperous New
Year and I really hope you are all able to hug your loved ones during the
holiday period.
