News: Our Top Five Considerations for a Post-Covid 19 BTL Market
The housing market is moving once again – both for those looking to buy and looking to rent.
For a prospective landlord looking to purchase a buy to let property, there are the traditional considerations you might be making in order to maximise the amount of rental return: number of rooms, location of the property, facilities etc.
Based on recent data from Redrow, a leading UK Housebuilder, the priorities of prospective tenants have shifted due to experiences during lockdown.
We’ve looked at the data and put together a list of what you should be looking at in a potential buy to let property in order to make sure you can get the rental yields you want from your investment.
1 - Working From Home
The national shift for many office-based workers from spending Monday-Friday in an office to spending Monday to Friday at a makeshift home office has led to many renters feeling the need for some form of space for work. This doesn’t necessarily mean buying a BTL property with extra rooms to allow for a study, but it is worth considering when looking at the space offered by a potential property – as well as something to bare in mind when advertising a rental home.
2 - Outside Space
Given that the lockdown measures kept the majority of Brits inside for a prolonged period of time, the need to have some from of outside space in a rental property has moved to the top of many renter’s lists. Finding a buy to let property that boasts a balcony, private or even communal garden will boost both the popularity and potentially the value of your rental property in this new post-Covid market.
3 - Allow Pet Ownership
Being stuck at home inside has led to many Brits day dreaming about owning a furry friend – specifically, dogs. The Royal Society for Prevention of Cruelty to Animals reported a 600% rise in visits to it’s dog fostering pages during lockdown, and a 30% rise in visits to their ‘find a pet section’. Multiple news outlets have reported that during lockdown, the demand for (and resulting price of) dogs has risen dramatically. And for these individuals, rental accommodations which allow for man’s best friend will be paramount to their decisions in buying.
4 - New Proximity Priorities
The ‘new normal’ has led to a shift in terms of what tenants are looking to be close to, according to data from Redrow. Proximity to the city centre, a good school catchment area or pubs and bars were once the highlights. Now, post-lockdown, a few more local amenities join the list of what people are looking for in a rental property. These include proximity to:
- Public green spaces
- Smaller, independent shops (green grocer, bakery, butcher etc.)
- Doctors surgery,
5 - Proximity to Work Hotspots
For those who are phasing back into the office, or for key workers who have been at work all the way through the pandemic, the post-coronavirus return to a commute will be a big factor in where renters are looking.
By purchasing a rental property next to a popular office complex, near a hospital or a large business base, you could potentially gain higher rental yields as these areas will be even more in demand.
With the Government expected to continue to encourage people to walk or cycle to work rather than taking public transport (as that has a higher risk of transmission), having a property in close proximity will be an asset.
I'm a Prospective Landlord. What does this mean for me?
For a buyer looking to purchase a buy-to-let property, this means that you should be considering these elements when searching for the perfect investment property.
By picking the right property, ideally with some or all of the amenities listed in this blog, you can guarentee both a constant stream of interested tenants as well as the ability to generate a consistently good rental yeild.
Read about how we've helped others with their BTL mortgage needs:
- BTL Finance for 3 London Apartments for Saudi National
- BTL Mortgage and Resi purchase for Returning UK Expat
- US Expat Buy to Let Mortgage
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