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London Leads Rents To A Record High As Ll's Market Prevails..

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http://www.bloomberg.com/news/2010-10-14/london-leads-u-k-rents-to-a-record-high-as-landlords-market-prevails.html

London Leads U.K. Rents to a Record High as `Landlords' Market' Prevails

A gauge of U.K. residential rents climbed for an eighth month in September as a lack of mortgages and affordable housing for sale drove letting fees in London to a record high, LSL Property Services Plc said.

The average monthly rent for a home in England and Wales rose to 689 pounds ($1,103) from 685.70 in August, the Newcastle upon Tyne, England-based company said in an e-mailed statement today. That’s the highest since LSL started compiling the index in June 2007. The average fee in the British capital gained 1.1 percent last month to 972 pounds, also a record.

Potential homebuyers are putting off purchases due to concerns about the impact of the government’s biggest budget squeeze since World War II and a dearth of affordable finance, LSL said. Landlords are benefitting from a lack of properties to let as banks curtail mortgages for buy-to-let transactions, reducing the number of rentals entering the market.

With “uncertainty over the direction of the economy, many buyers are choosing to remain in rented accommodation for longer,” David Newnes, Estate Agency Managing Director of LSL, said in the statement. “This has turned the buy-to-let market into a landlord’s market, and many renters face increasing rental costs while they delay their house purchase.”

Amongst the 18,000 properties surveyed by LSL for the gauge, monthly rents ranged from 4,117 pounds for an apartment in London’s Kensington area to 250 pounds for a terraced house in Huddersfield in northern England.

“The supply-and-demand imbalance is particularly severe in the capital,” Newnes said. “London is emerging as a different market entirely from the rest of the U.K.”

So does this mean that rents are going up in London, but not in the rest of the UK?

Won't the recent change in HB prevent this, in the more expensive areas in London?

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http://www.bloomberg.com/news/2010-10-14/london-leads-u-k-rents-to-a-record-high-as-landlords-market-prevails.html

So does this mean that rents are going up in London, but not in the rest of the UK?

Won't the recent change in HB prevent this, in the more expensive areas in London?

London is just a world of it's own IMO.

Though I live here, I don't pay the housing market here that much attention.

Just saving up then will leave the dump for the rest of them to fight over.

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http://www.bloomberg.com/news/2010-10-14/london-leads-u-k-rents-to-a-record-high-as-landlords-market-prevails.html

So does this mean that rents are going up in London, but not in the rest of the UK?

Won't the recent change in HB prevent this, in the more expensive areas in London?

Yes it will (comes in Oct 2011?), and will provide another reason for rents to fall. As well as the removal of child benefit for "high" earners in 2013.

That 4117 figure looks low to me - there's far more expensive places available for rent everywhere in London.

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Amongst the 18,000 properties surveyed by LSL for the gauge, monthly rents ranged from 4,117 pounds for an apartment in London’s Kensington area to 250 pounds for a terraced house in Huddersfield in northern England.

“The supply-and-demand imbalance is particularly severe in the capital,” Newnes said. “London is emerging as a different market entirely from the rest of the U.K.”

Their survey can't be very comprehensive if the most expensive property included is only £4,117 per month. There are about 5,000 properties listed on Rightmove at the moment asking more than £4,500 a month in London. Not one of them rented last month?

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  • 259 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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