Having experienced our 3rd lockdown in the last year, what tenants want, and need from their properties, is inevitably changing. Many people will be feeling the effects for a long time to come. How agents respond to this sensibility, will ultimately determine the success they will see in the remainder of 2021.
So what trends will Letting Agents see in 2021?
Vaboo’s monthly tenants survey has uncovered both price and size remaining at the top of the list of key motivators for choosing a property, but proximity to the workplace (as many office workers now work at home) is continuing to lose its normal appeal. Nightlife also took a serious dip in the ratings.
Having good internet access at home has become so important that it is now described by many as the 'fourth utility'. Whether you're providing the internet as part of the rent or tenants are responsible for sorting their own connections, helping tenants find the best deals and money saving options will be crucial for those agents wanting to take key needs seriously.
Animal Attraction
There are a lot of things that people might put off while renting. However, a proposed new tenancy agreement over renting a property with pets, means owning a dog or cat is one thing they may no longer have to put off until they buy.
Renting a property with pets is notoriously tricky. Currently, only 7 per cent of landlords will advertise a property as suitable for pets. Housing Secretary Robert Jenrick has now called on landlords to make it easier for tenants renting a property with well-behaved pets. The good news for would-be pet lovers came as he announced an overhaul of the model tenancy contracts.
Vaboo conducted a survey of their tenant users and 55% said that if they were allowed a pet they would definitely have one, and a further 18% said that they might.
‘Pets bring a huge amount of joy and comfort to people’s lives, helping their owner’s through difficult times and improving their mental and physical wellbeing,’ says Robert Jenrick. ‘So, it’s a shame that thousands of animal-loving tenants and their children can’t experience this because they rent their homes instead of owning property.’
Location, Location, Location
The pandemic has changed what renters look for in a property and the areas they live in. People are now prioritising homes with gardens or balconies, and those in rural locations over those that are in cities or close to good transport links. Lockdown is also changing how they view properties with more online viewings than ever before. Our data has revealed that over 70% of potential tenants now prefer to view a property unfurnished.
Vaboo’s survey also uncovered what a nationwide sample of around 800 tenants valued in their local area when choosing a property. A huge 71% told us that feeling safe and secure was there top priority, with 50% of tenants wanting peace and quiet. High on the wish list was a clean environment, open spaces and sense of community. Only 20% of respondents added things to do as important in the area, and less than 15% valued local places to eat.
Opportunity knocks
The stamp duty holiday hasn’t only led to a boom in people buying a home to live in, it has also sparked an increase in investors purchasing buy-to-let properties
This is good news for renters as it reverses the previous trend that has seen landlords stop expanding their portfolios and even exit the sector altogether in the face of a raft of tax hikes and regulatory changes.
The situation had created a mismatch between supply and demand, leaving tenants with little choice and pushing rents higher. But with more landlords now purchasing new properties, renters should have more choice in the year ahead. But it also gives opportunity for tenants to make their needs heard - both loudly and increasingly more insistently.
Prepared, insight-driven and forward thinking agencies will be ready and waiting to meet these needs head on, and stand out with a responsive approach to lettings.
