> Rental Market Comment February 2014 | Plaza Estates London
Rental Market Comment February 2014
By Fiona Guthrie
// Sun 23rd
I am pleased to report that 2013 ended and the new year began with a flurry of activity.
I am pleased to report that 2013 ended and the new year began with a flurry of activity. December was surprisingly busy especially mid month with good corporate enquiries coming through for tenancies mainly starting in January. The first two weeks of January were also very positive with this trend continuing with families and high ranking executives relocating. However, the cheaper end of the market has been quieter. February is generally a slow month and so far this has proved to be the case. We feel this is a temporary lull (perhaps we should blame it on the terrible weather!) and March should once again see more activity. The economic outlook is definitely more positive, consequently the rental market should follow and we expect to see a slightly busier year in 2014 than last year.
Rent levels are fairly stable, some sectors are short of property and others have an oversupply which can cause a micro market with dips in rents where stock is plentiful and increases in rent where tenants are competing against each other. Generally less new property is coming on to the rental market as yields are still fairly unattractive to many investors (despite the superb potential for capital growth). Some long term landlords have been cashing in their investments and selling.
We have been busy overseeing refurbishments with many landlords upgrading their properties. Our specialist department knows exactly what is required by tenants and ensures that they maximize the potential of an investment property to ensure the optimum rent is achieved.