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Landlords Reduce Rents

The top of the market?

Private rents have reduced for the third month in a row, indicating the possible effect of more availability of funds for private home purchase.

LSL property services have reported that in some parts of the country (especially the South East, other than London) rents have fallen for the third month.

The explanation given is that it is easier for private home purchases as the gradual relaxation on credit continues. (Though this will tighten up).

However it is not all doom and gloom for landlords with rents increasing in some other parts of the country and in London (where the average rent exceeds 1,000 pcm). Overall rents are still higher than this time last year.

It is probable that the increased wages in the South East mean that property is becoming accessible, whilst the relative poverty due to the North-South divide meaning that mortgages in the North are still harder to obtain.

With a possible reduction in rent looming landlords should ensure that they keep costs down to a minimum commensurate with receiving quality and one aspect where saving can be made is landlord insurance where the cheap rates available on our website can result in savings of more than 50% against most leading providers.

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