The demand for rental property has been increasing year on year in recent times. The recession did not help; some had their homes repossessed while financial institutions published stricter lending criteria. The result is that fewer people are in a position to buy even though the Government has been running a ‘help to Buy’ Scheme for first time buyers. Reality in the future for many people starting out on their careers may well be rental property for some years. The same could well apply to the low paid families that generally struggle to meet their bills. If you are never going to own your own home then you may well look at a rental flat as something more permanent. In that case you may decide that its home comforts are extremely important.
Mortgage approvals are dropping according to a recent report by the Council of Mortgage Lenders. Analysts expect the trend to continue in the coming months. Young couples who have no family members that can help out with the deposit may well decide it is not worth trying to save enough to put down on their own home. Instead they are likely to be more selective on the rental property they like if their careers are likely to keep them in their present location.
It seems that the cost of renting is on the increase. It is an inevitable consequence of increased demand. Everyone needs to stay within their budget and for those people renting their flats that will be their largest monthly outlay.
It is likely that ownership will slip down the list of priorities in the minds of people in the private rental sector. Comfort and personalisation could well become greater priorities. Rental property comes in varying quality with costs reflecting what the landlord is providing. Tenants who plan to stay for some time may well choose a flat based upon how they can fashion it so that it really feels like home.
If it comes unfurnished, then they can go to companies like zespoke that have direct delivery facilities for a whole range of furniture that can create a stylish flat from one that comes as a shell. Furnished accommodation is certainly more popular, as long as the place looks clean and modern. It is likely that the higher the rent the better the quality of the finish and fittings as well as the furniture.
There is no doubt that the main basis for the rental cost of a flat is location. Something in Central London will cost appreciably more than an equivalent out in the provinces. Demand for central flats will always be high because of their convenience and presumed proximity to work as well as services.
As more people face the prospect of living in rental property rather than buying it is likely that they will look to make their ‘homes’ feel more permanent. If that costs more money, then they may well decide it is a price worth paying if they have the budget.