A Simple Refurb to Increase Your Rent from £425 to £605! 💥💥

Rents and House Prices in the North East Never GO UP!! You know what? I’ve been investing in the North East, and since 2007,...

Rents and House Prices in the North East Never GO UP!!

You know what? I’ve been investing in the North East, and since 2007, I’d say that statement is largely true. I bought properties in 2007 (pre-crash), which were pretty much the same price I paid for them in 2019 (12 years later!), and rents over that period have been mainly stagnant, largely due to the reindexing of housing benefits during the period of government cuts and austerity.

As Bob Dylan sang though – “The Times They Are a-Changin”, this isn’t 2019, and this isn’t the North East property market we’ve known for 12 years. We need to adapt and change, but we also need to take advantage of it.

All aspects of your property management need to change; we’ve strengthened our annual inspections with more detailed rental reviews. We produce a comparable report for each property since rents are moving swiftly higher. A professional tenant renting for £500 2 years ago will now be £525 – £550, rents on housing benefit tenants are still largely driven by the amount receivable, but more and more rents now require a higher tenant contribution.

Also, when performing a refurb, you need to consider lots of different factors:

1. Has the area got better so it might attract different tenants?
2. If so, could I boost my rent by doing a simple refurbishment by entering the professional market, which may be higher?
3. Can I NOW get more by improving my properties condition?

Chris, our Senior Portfolio Manager, did a video below on a property we recently refurbed where the rent went from £425 to £605 afterwards 👇