The Richmond Magazine - June 2011
When it comes to renting in Richmond, it's a landlord's market out there. Jane Wheeler, Manager of Fitz-Gibbon Richmond, surveys the scene
The local lettings market is vibrant right now, with demand outstripping supply across the board. As uncertainty continues in the sales market, lettings is being fuelled by the discerning corporate market - international tenants seeking superior homes near London, as well as local people who are renting for longer periods.
At Fitz-Gibbon Richmond, we're seeing not only strong offers, but also multiple offers placed on the same property time and again. Fortunately, most tenants are being flexible in terms of their demands - and, in a landlord's market, that's vitally important for those wishing to secure a property. In addition, tenants should ensure that they come to viewings fully prepared and able to act quickly.
One-bedroom properties are currently achieving between £1,300 and £1,500 per calendar month, whilst two-bedroom homes, with parking and gardens, can generate up to £2,300pcm.
For three-bedroom houses, expect valuations between £1,900 and £3,500pcm. As for homes with four or more bedrooms, they can achieve between £4,000 and £10,000, depending on their location and specification. There are always exceptions to these rules, however, and the property market determines rental values for outstanding properties.
Another key point is that, in the current climate, many homes that we would expect to remarket are not becoming available, as our tenants are choosing to renew their tenancy agreements.
Renewal rates currently mirror the retail price index or above. And this renewals trend is a reflection of two things: Firstly, the volumes of locals waiting to re-enter the sales market; and secondly, the stronger corporate market, with tenants residing in the area for longer periods.
Richmond's transport links to London, Heathrow and the M4 make it ideally suited to the corporate market and, as a lettings specialist, Fitz-Gibbon naturally attracts both large corporations and leading relocation agents.
Maximise Your Returns
Being a successful landlord depends largely upon developing a strong relationship with your lettings agent from the very beginning. At Fitz-Gibbon, we work with many local landlords and international investors to acquire or appraise rental investments, visit properties with them, provide accurate valuations and give practical advise and assistance on generating higher returns.
Savvy landlords must also keep abreast of current and projected market activity in the local area. To facilitate this, the Fitz-Gibbon monthly web-based 'e-zine' magazine gives our clients the inside track on the local and regional property markets, along with a wide range of topical features on everything from mortgages to successful loft conversions and how to add value to your portfolio.