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Colchester's oldest houses could unlock the market says new Lettings Agency
18th March 2008
Colchester’s older terraced houses could hold the key to unlocking the stalemate caused by the glut of new flats which has seen prices tumbling and falling rental levels in the Borough.
With many would-be tenants unable to find family houses to rent, traditional terraced Colchester houses offer the best yield performance despite the slump in the flats rental markets, claims Richard Jones, manager of Lettings Solutions, Colchester’s newest lettings agency
“There’s not been a better time in recent years for landlords or home-buyers to buy a traditional two or three-bedroomed family house,” says Mr Jones, whose agency, Lettings Solutions, receives many calls from families urgently seeking houses to rent in Colchester.
With older-style terraced homes on the market for upwards of around £110,000, Richard Jones says Colchester landlords can maximise their return by shifting from buying new flats – where there is a glut – to smaller family homes which are ideal for young couples with children.
Says Richard: “Rental yields which are generated by residential property investors are continuing to rise because more people are waiting and choosing to rent rather than buying.
"Colchester is in line with the national yields which are around 6.3 per cent, their highest level for almost two years.
“We know the demand for houses to rent in Colchester is high because we are getting calls from people wanting to rent them - and the few houses which are available for rent are being snapped up much more quickly than flats.
“What people want is a traditional house with a small yard or garden for their children where they can avoid paying management fees on a leasehold property.
“If a landlord has the right house to rent, people will move quickly to grab it – but flats can be hanging around with no tenants for months.”
Lettings Solutions – which offers a range of service levels from finding tenants, through to rent collection and fully managed service - offers a range of packages designed to minimises voids in tenancies.
Says Richard: “We are run by a landlord for landlords and we will give honest opinions. We understand the local market and the need for reliable economic rental assessments.
“Lettings Solutions believe it is crucial therefore to price at a realistic level within the market band. Our aim is to achieve the highest sustainable level of rent for landlords with a minimum of expensive voids.
“There is still a strong demand but it is very price- sensitive and landlords need support and expertise in carrying out research to make sure they are asking a realistic rent. We are happy to advise prospective buy to let landlords on potential rent levels when they are appraising possible purchases. “
For more information, and to contact Lettings Solutions, call 01206 244750 or email info@lettings-solutions.com
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