Rentals booming in London

18 September 2008

London is experiencing a rental boom, one rental management company has reported, after seven in ten of its offices reported a rise in demand for rental property.

Such figures, from rental property firm Cluttons, follow the suggestion that the return of the buy-to-letter was nearing, suggesting the rental market will once again open up.

Speaking to Mortgage Solutions Online, Richard Cotton, divisional head of residential agency at the firm, said: "Confidence in the market is currently very high, and strong lettings figures are a direct result of landlords facing up to the current rental market value of their properties, which have dipped recently, and adjusting their rents to a more realistic level.

"I expect lettings volumes to continue to rise over the coming months, as tenants find they are able to secure the property they want at a fair price."

Many are choosing to rent to escape high mortgage repayments brought on from the sustained interest rates at five per cent.

Any household considering moving to rented accommodation to protect themselves from rising interest rates may wish to let their own property out and put their possessions into safe storage while they do so, to protect them from tenants.

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