Greater London Properties Rental Market Update, April 2022
A Warning for Landlords - Spring is here, and a clear sign that the pandemic is over or at least over in the eyes of the population is the return of the Airbnb market...
Spring is here, and a clear sign that the pandemic is over or at least over in the eyes of the population is the return of the Airbnb market. We have seen a huge increase in the numbers of applicants looking to rent properties on AST’S and when fully referenced by our team it becomes apparent, they are short let regulars looking to pocket the difference.
Pre-pandemic the market was saturated with mom-and-pop style operators as well as “professional” service providers. The short-let market saturation was such that nightly rates were falling and properties that had enjoyed regular bookings were seeing less and less. A number of operators opted to move into the long-term market and realised that the annual rents were very comparable and far less work and when Covid hit they were incredibly happy they did! Since the start of the pandemic, we have seen numerous short let companies such as Host maker who advertised on the TFL, go into administration before the first lockdown.
However, as tourism returns to our city, there is once again money to be made in Airbnb however as more people re-enter the sector expect your profits to dwindle. In addition to this we foresee additional regulation as government is very aware of the rising cost of living and rents and will therefore impose stricter enforcement of the 90-day rule etc.
In contrast long term rents in Central London are at an all-time high and demand cannot be satisfied. Now is the time to stay in the long-term rental sector and not be tempted by the perception of quick easy bucks that are here today and gone tomorrow!
At Greater London Properties, we have an internal referencing team dedicated to ensuring that all our tenants are fully vetted, have the income to afford their property and have a positive rental history with previous landlords. It is important to us that our landlords’ homes are looked after and equally if our tenants are satisfied it makes for a very happy partnership.
If you would like to talk to us about your property or have any questions, please give us a call today on 0207 734 4062 and we will gladly provide advice.
Rental Property is in demand now, make the most of it!
Warm Regards
Rob Hill
Director, glp.co.uk