The London rental market remains strong

At the moment, close to 30% of the entire London property market is made up by the private rental sector. Owning property to lease in the capital has always been regarded as an astute investment decision, with levels of demand ensuring a healthy yield irrespective of economic conditions. However, with proposed changes to the ways buy to let properties are taxed, some believe that there is likely to be a fall in the value of investment properties. Whilst we can see how some have reached that conclusion, we have a different view on the subject.

The proposed increased level of taxation aimed predominantly at the rising market for buy to let properties is of course far from ideal. We do not believe, however, that the increase is going to have the negative impact the press seem to be predicting at this stage. After all, this change has not had any effect on the level of demand for rental property in London. With demand increasing, there has been a significant increase in the amount charged in rental fees. Should the new taxation policy be brought in, the majority of investors would be able to both absorb the increase and still gain a substantial yield.

A lot of investors have opted to sell their London property in the light of the proposed tax changes. This is something which in fact strengthens our own view. Investors deciding to sell their buy to let properties causes a fall in the amount of rental property available. This fall in supply is a contributing factor to the rise in rental income for investors that hold on to their properties.

Our services have been devised to ensure that owners of investment properties are able to get the highest levels of secure and stable returns possible. As a leading lettings agent serving Bromley and the rest of London, we offer world class services in guaranteed rent, estate management and council leasing. Our full range of landlord services work to put you in the most preferential position possible in the London property market.