Good news for landlords in Essex
Writing in Letting Agent Today recently, editor Graham Norwood explains that: “In 2000, almost 60 per cent of Londoners owned the home they lived in, with around 40 per cent renting from either private landlords or the social sector. New analysis from PwC shows that by 2025 this could be reversed, with only around 40 per cent owning their home, and around 60 per cent renting, mostly from private landlords.”
“High prices are making homes in the capital unaffordable to most and could undo a century long trend towards rising home ownership rates — in just 25 years the city has been transformed to one where rental is becoming the norm, especially for younger people,” says a PwC spokesman.
Joe Hall, Fenn Wright’s residential investment property expert, explains why this trend is good news for landlords in Essex – even though East Anglia has not been singled out as an obvious growth area. He says: ’’We are already seeing tenants being pushed further out the London market. Our branches in Chelmsford, Witham, Colchester and Manningtree are getting more and more enquiries from tenants who are wanting to move out of the high-rent areas in the City, without changing jobs. Commuting to London from Essex is very doable from multiple mainline stations and tenants are taking advantage of this.
“With the biggest and fastest rent rises predicted to be in London in the coming years, these are positive times for landlords in Essex, who will benefit from the fall-out. They can have confidence in their investment because good rental properties in Essex will be in increasingly high demand.”
If you are a Landlord who would like advice about rental property values in Essex and Suffolk, please contact your local Fenn Wright lettings manager. They will be happy to discuss long term projections for the lettings market in the local area.