When Zoopla set out to establish the 10 most desired property features renters were looking for, it was very clear that city living had fallen out of favour. The property portal analysed the most common search terms used by tenants between July and September 2020, and found renters were most keen on properties with gardens. While the search term ‘rural’ also featured in the top 10 of most-wanted aspects, tellingly the words ‘city centre’ and ‘Tube’ and ‘commuter’ didn’t make the list at all.
City rentals: values are falling
Zoopla’s findings are part of a bigger picture that supports the notion that city-centre buy-to-lets may not deliver a return on investment in the imminent future. Information gathering by property experts has uncovered an upwards trend among rental values in more rural locations, with asking rents in the countryside rising by around 5% in 2020 and falling in cities by roughly the same value.
London leads the drop
At the very extreme end of deflating rental values in cities is inner London, where one letting agent reported a drop of 14.9% over the past 12 months. It appears, however, that cheaper rents will not keep all tenants in the capital. Analysis by SpareRoom found of the 27% of London renters planning to move post-Covid, half of those intended to leave the capital altogether.
Exit strategies for urban landlords
So where does the new race for rural living leave landlords with inner city buy-to-lets? If rental values are rising in the countryside and falling in cities, a quick property sale to exit an urban location is definitely a credible plan.
Yield chasing is not a new strategy for property investors, so swapping city lets for countryside portfolios really does make perfect sense. The issue at the moment is the thirst for all property in city locations – buyers are also craving the countryside, leaving a diminished appetite for properties for sale - especially flats - in London, Manchester and Birmingham, to name a few areas.
Adding speed to your swap
If you are considering selling your city let – or have tried to do so with no luck because of a subdued buyer market – you’ll probably be experiencing a growing sense that you’re ‘missing the rural boat.’ LandlordBuyer can provide an almost instant solution, as we’ll buy your rental property quickly and for cash. Start today by requesting a free, no-obligation valuation.
Look for your rural rental now
Your city-based property investment shouldn’t hold back your countryside ambitions. As a professional property buyer with proven financial reserves, we can guarantee landlords a speedy cash sale, with money in your bank account in as little as seven working days. This leaves you free to start purchasing a new let with improved yields right away.
Sell to us – no restrictions
You don’t have to worry about your sitting tenants, serving notice, lease length, rent arrears or the condition of your rental property – LandlordBuyer will make you a cash offer within 48 hours on any rental property, no matter its state, occupation status, value or yield.
Start now
LandlordBuyer would love to know more about your changing property investment plans. If you think a cash offer with completion within seven working days will help improve your buy-to-let strategy, get in touch today.