As the government’s proposal to ban letting fees passes through the legal hops experts warn that it will only drive up costs for the tenants. This will be true in some cases as landlords will want to keep their returns at the same level. However, its impractical to pass on all cost increases to tenants.
Recent changes have made it compulsory for houses to be insulated and have smoke alarms. While these changes are good they still put pressure on the already decreasing returns from rental properties.
So, are rental properties the go to investment it used to be? The answer is not so simple and varies according to the investors risk/return appetite.
Contact our professional advisors today if you are considering investing in a rental property and we can advise you if it suits you.