Tenants air concerns about rent increases

by Gary Whittaker

One of the issues letting agents could find themselves dealing with this year is tenant concern about higher rents, with recent research suggesting that this is a big issue for many people renting private properties.

Credit reporting agency Equifax commissioned a YouGov survey which found that, in general, renters have more concerns about their finances going into 2018 than homeowners.

Across the English regions, more than a third of respondents said they were anticipating an increase in their rents this year.

Expectations of higher monthly rental costs were highest in Scotland (55 per cent) and London (52 per cent). In the English capital, nine per cent of tenants predicted that their rents would go up by 'a lot'.

More than four out of ten renters (42 per cent) said they wouldn't be able to afford an increase in monthly payments, compared to 11 per cent of mortgage holders.

The regional picture showed that 42 per cent of tenants in the south, 37 per cent in London and 35 per cent in the north have concerns about covering their monthly costs if rents go up.

Lisa Hardstaff, credit information expert at Equifax, said: "It is not uncommon to feel anxious or concerned about finances when heading into a new year.

"The fact that so many renters are concerned about their finances if their rental payments were to increase shows that it is now more important than ever for them to stay in control of their finances."

In 2017, UK rents increased by 0.56 per cent, partly because of significant increases in commuter hotspots around London, recent figures from Landbay showed.

Typical rents in 17 of the capital's most popular commuter towns rose by 1.68 per cent over the course of the year.

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10-January-18Property Management