How to make your rental stand out in a challenging market

Now that activity levels are increasing, we’ve put together some ideas and thoughts to help you make the most of your rental property in a challenging market.

The latest LonRes report suggests that for rentals, things are finally looking up. Domestic tenants have re-started their searches with vigour and some of those who left London, are now returning to the city.

What are tenants looking for?

From our experience, in a flat market, tenants want as much as possible for their budget and take time to find the best deal.

In the Super Prime and Central London residential markets, budgets are often very elastic to secure best in class properties. Both competitively priced properties across all categories and very unique, top end properties (often not listed on the open market) are getting the most interest at the moment.

But it’s not all cost driven. Lockdown life has changed our priorities and the way that we live.

With more time spent at home, we are demanding far more from the inside and outside spaces; how the home functions for everyone, how areas divide, giving greater privacy for those needing to WFH, for example. Designated work areas, if the property doesn’t have room for a study and some kind of outside space are overtaking the previous ‘musts’ for open plan living and wooden floors.

This fundamental lifestyle change will no doubt influence home trends for some time. Tenants, like homeowners, are discerning and seek quality accommodation that really feels like home. They rent for longer and for many, to rent rather than buy is becoming a permanent choice.

So what should landlords be doing?

Our advice is to take care not to be over-zealous in increasing rents too quickly to recover the cost of the voids or rent reductions resulting from last year. Now is the time to support the market as it returns to balance and to try not to increase rents unrealistically or hold tenants hostage through aggressive rent uplift at renewal.

Getting through this chapter needs to be a collective effort. The rental market plays to simple economic trends. Too much availability that isn’t affordable or desirable upsets the market dynamic and plays into the hands of the consumer. Not enough of what tenants want, swings it the other way. As we witnessed last year, some rents in London fell over 10% and that will take some time to recover.

Nothing has really changed from previous times: Landlords are being encouraged to follow the same basic principles in ensuring that their property is in good shape and offers everything that the modern day tenant wants. And that includes pricing it correctly.

Adding some personality and thought to the property to make it appeal as a real home is an absolute must. The soft touches, clever use of space and storage all help enhance its desirability.

It’s important that a property is well looked after and that you present as a conscientious and professional landlord. Properties that stick are often those that have been neglected, look tired and dated, giving an impression that the landlord doesn't really care about the tenant or the property.

You can apply the same strategies as you would with a property for sale, so that when the prospective tenant walks in, they are able to imagine themselves living there, comfortably and happily. Everything should be clean, in good order and homely.

Top tips to make your property stand out:

Stage it, for furnished and unfurnished properties. Make it homely and plan clearly designated areas. People like to see that a property will work for them. Consider layout. Focus on clever use of space and functionality, particularly regarding WFH. It’s more about broken plan, than open plan plan right now, so if possible, look at how you can cleverly divide areas to allow for a separate work space
Make sure everything works and is serviced! Sounds obvious, but even some of the most expensive and luxurious looking properties have old boilers, poor water pressure or taps that drip... Double check and service everything properly
Always give it a fresh coat of paint and re-carpet where needed. There's nothing harder to rent than an unloved-looking property
Put in storage - particularly in smaller apartments. Build in some wardrobes and cupboards, even in smaller bedrooms, under stair cupboards and alcoves. It helps tenants to be tidy and live clutter free. Lack of storage is often a deal-breaker
Don't skimp on appliances. Tenants are often appliance snobs and seek good quality brands. Include a decent fridge/freezer and even if it's a one-bedroom flat with a small kitchen, find a way to include a slimline or compact dishwasher
Make sure there is somewhere to properly dry clothes, install a de-humidifier or provide an electric drying rack - this will also help to ensure your tenants’ laundry doesn’t cause condensation
Consider upgrading your communications to fibre optic wifi and even including the broadband supply in the rental
Consider add ons, such as the inclusion of some bills in the rent - cost conscious tenants are likely to choose yours above someone else’s property if you are offering more at the same price point

When you plan well and carefully consider how best to present your property, invest in quality products and make the property homely, you are far more likely to be income generating quickly and rent to a tenant that is delighted to live there.

Ultimately, the more at home you can make your tenant feel, the longer they're likely to stay and the more loyal and house proud they'll be. So a bit of investment and thought up front will reap rewards in the long term and minimise future voids.

To chat to Zoë Rose about your rental requirements, please call 07884 475505 or email zrose@roseandpartners.co.uk.