It’s no surprise that the pandemic has had an impact on the UK lettings market over the last 18 months, especially in London. The various lockdowns and restrictions made the buzzing capital we know turn temporarily quiet, watering down the demand for rental properties and rental values. Understandably, this left many London landlords concerned for the future of the London lettings market.

However, in recent months this has all changed and we can finally see some positive trends emerging. The bounce-back in rental values is truly underway in London, making it the perfect time for landlords to let their properties and maximise their return on investment.

Read on to find out why you should let your London property now.

Increased Demand

In recent weeks, there has been record-level demand for rental properties across London. The capital has opened up again, Covid restrictions have been lifted and the ‘return to the office’ is well underway. As a result, people are rushing to find the ideal rental property, causing no shortage of tenants. The various lockdowns have given people more time to establish exactly what they want from a rental property, making them more willing to spend a little more to get what they want.

This demand is not looking to disappear anytime soon, meaning you could find tenants to occupy your property quickly and receive higher rental yields.

Increased Rental Values

Another reason to consider letting your London property is the fact that rental values are growing both in central London and in prime outer London.

As demand for London-based rentals continues to increase, the value of London rental properties will continue to rise. This is especially true for sought-after central London locations but also other prime London areas where there is only a short commute to the city. Some areas with extreme demand are even experiencing rental rates rising above pre-pandemic levels.

This means that you could benefit from these higher rental rates, resulting in a better return on investment.

Demand for Various Property Types

Some people might assume that it’s only certain types of London properties experiencing this rental demand. This simply isn’t the case.

London is a diverse city that attracts a wide range of people. Therefore, it makes sense that those moving to London are looking for a variety of properties to suit their own individual needs. Some renters are looking for flats and apartments in central London, whilst others are looking for larger properties such as townhouses, mews houses and new build homes. Renters are also considering areas which surround Central London, so they can find the property they want.

This means all residential landlords in London have the opportunity to reap the benefits from London’s rental revival. If you’ve been holding back on letting your property due to the type of property, it’s time to act now whilst demand is high.

Businesses Are Relocating

As businesses are opening up again and working from home is no longer compulsory, many businesses are looking for commercial property in London to open up business again.  As a result, this has helped to fuel demand for rental properties in the area. Many professionals are looking to move to the city so they can be closer to their place of work whilst experiencing what London has to offer. There are also professionals looking to let properties so they have a place to stay when they travel here for business.

Again, this demand means you’ll likely be able to find tenants quickly, reducing the risk of your property being vacant for a long period of time.

Mortgage Rates are Low

Finally, the low mortgage rates mean that it’s the ideal time to get a buy-to-let mortgage. The base rate remains at 0.1% and is expected to stay low for some time. This poses the perfect opportunity for both existing landlords and aspiring ones, to increase their rental property portfolio and benefit from the rise in London’s rental values.

Let Your London Property

As you can see, there are many benefits to letting your property in London sooner rather than later. With an increase in demand from London-based renters and higher rental values, now is a great time to move forward and start letting out your property.

If you’re thinking of letting your London property but aren’t sure where to start, get in touch with our residential lettings team today on the contact details below. We will be happy to get your property listed as quickly as possible and help you find suitable tenants.