Lettings Market Brief: What does 2020 have in store for the lettings market in York?
2020 has got off to an unusual start, with the typically quiet start to the year followed up by several weekends of wild weather and now of course, we have Coronavirus to contend with!
These factors have meant people aren’t forging ahead with their plans as quickly as they perhaps would, instead preferring to hibernate at home, and interest from potential tenants has been a little quieter than normal.
That said, as we head into Spring and the weather starts to improve, I am confident the market will be busy once again. York remains a great place to invest and demand for good quality rental properties always outstrips supply with typical rental yields in York currently between 4 - 5%.
2020 will undoubtedly be another busy year for legislation changes in the lettings industry. We are still waiting for greater clarity on changes to the Section 21 Notice which currently enables landlords to evict tenants who have entered into an assured shorthold tenancy agreement without a reason. Under the proposed changes, landlords will have to give reasons for issuing an eviction notice and it will therefore put a to stop to ‘retaliatory’ evictions which can occur when a tenant requests costly repairs to the property.
There are also proposed changes surrounding the electrical safety of private rental properties. Although still to be approved by the government, it’s likely that electrical installation inspections and testing will need to be carried out for all new tenancies in England from 1 July 2020 or from 1 April 2021 for existing tenancies. Currently, these checks aren’t mandatory and it’s at the landlord’s discretion as to whether or not they are done. From April 2021, just like gas safety checks are now, they will become mandatory.
It's vital that private landlords are up to date with the ever-changing legislation and make the necessary changes otherwise they could very easily be breaking the law. We would always advise seeking the advice of a local, reputable and qualified letting agent to ensure your property and tenancies are in line with the latest requirements.
If you would like to discuss investing in property in York, or would like to review your current rental properties, please give us a call on 01904 629629 or email firstname.lastname@example.org.