Our regional update this month focuses on:
· Overview of the market
· How the market’s changes are affecting behaviour
· Comparisons on the rental values between PE27, PE28, PE29 CB23 and CB24
· What homes have seen the biggest rental yields year-on-year
Rental market overview
During December there were 303 properties advertised to let across the areas that we cover. This was an increase of 18% from December 2022.
111 properties were let which was an increase of 13% on 2022. However, as per normal for December we saw the market begin to slow.
Affordability still is coming out as the main factor in people not being able to take on a new property even though there are more people in the market.
In December we marketed an average of 14 properties a week and received 872 enquires – which means we were dealing with 175% more enquires than we were in December 2022.
For those properties checking-in in December, it took an average of 17 days to find a new resident on an average rental of £1,000 and below – 23 days on an average rental of £1,001 – £1,500 and 28 days on an average rental of £ 1,501- £2,500.
Rental comparisons PE27, PE28, PE29, CB23 and CB24
You know we love a database and by having this type of detail we are best placed to give you the right guidance when looking at rental reviews and when you are considering extending your portfolio.
These average figures come from our records. Therefore, they are a mixture of the rent reviews that have been put in place over the last year. Plus, the rental figure achieved at the point of remarketing, and are split by the number of bedrooms.
Which areas have the highest year on year increase by number of bedrooms?
PE27 has performed the best for year-on-year increases for one, three and four bed homes with CB23 performing the best for two bed homes. This result is predominantly due to the high number of refurbishments that took place on properties coming back onto the market.
What are we seeing in prospective tenants’ behaviour?
This month of our arranged viewings, 17% of people did not turn up. This month the reasons included:
- Had to go Christmas shopping
- Had to take my hamster to the vet
- To quote a few – ‘I forgot, but was just about to call you ‘
Again apologies if you were expecting viewings at your property which did not take place and the fact that we might sound a bit cynical when people give us reasons for not turning up.
The main difference we are finding is that regardless of advertising the household income required to rent a property. People are applying for properties that are way beyond their affordability .
What return can I expect?
As I have said many times before this is very much down to when you bought the property.
The average gross rental yield that you should expect is anything between 5 – 6%.
If you want to hear about other figures in Cambridgeshire just ask – we have tons of data!
Download our data
Extending your portfolio?
If you are looking to extend your portfolio, I would say now is a good time to see what is out there as prices seem to be in the doldrums.
If you would like to book a free exploratory chat with me just click here!