Renting Through Necessity or Choice
A misconception of most is that the rise in house prices is forcing young settled professionals to rent, suggesting they can not afford to get a step onto the property ladder, thus driving the demand for buy-to-let.
However, more and more 30 something professionals are renting as a life style choice rather than necessity which is taking away the stigma of the average tenant as being on low income or DSS.
A new trend is emerging as the so called perfect tenant is becoming a young professional person, couple or family who choose the flexibility that renting offers.
A recent study from a major high street lender has shown that nearly a quarter of families are now renting and for the majority of these this is a lifestyle choice as they can easily afford to purchase their own property. They have chosen instead to enjoy the benefits that renting offers such as being able move quickly if their careers dictate.
What are these tenants looking for, is it city centre locations, old or new properties, furnished or unfurnished. The answer could be all of the above.
The young tenant could be looking for the city centre luxury apartment with its prestige, and the convenience of having the bars, restaurants and leisure facilities on their door step. Preferably furnished but always demanding technology such as broadband.
Property investors targeting such tenants should consider new city centre apartments and the older properties just outside of the city with excellent transport links to the tenant’s place of work.
The older, larger properties away from the city will appeal to the professional families because of the overall room sizes, possible garden and the schooling for their children (a good catchment area for a local popular school is always a great investment).
One final thing all property owners should consider is their property having a lower carbon imprint as a result of greater energy efficiency, with Energy Certificates for rental properties likely to come into force in 2008. This will appeal to all tenants who in most cases will be paying the energy bills.
If you would like more information on whether a potential investment property is in the right location for buy-to-let then please call one of our friendly team on 0191 469 3325 or email us on info@propertyconsultants365.co.uk
