Since 2013, AFS have regularly conducted the Landlord and Agent Letting Survey trying to achieve a complete picture of how landlords and letting agents view the student. accommodation market. In early 2018 we conducted a further survey among our registered landlords and agents.
The main characteristics of landlords and letting agents targeting only students are: a portfolio size of 1-3 properties, bills included for all properties and requirement of less than six months of advanced payment for international students without a guarantor. In comparison, among those letting to both students and non-students, the majority have 4-10 properties, include bills for some accommodation and do not require advance payment for international students when there is no guarantor.
We observed the smallest renting success rate since 2013, with 79% of the participants in this survey being able to let all the properties. The success rate was higher among those renting solely to students (89%), compared to those renting for students and non-students (71%). Three out of four landlords and letting agents are confident they will be able to rent all their properties in the upcoming year. The confidence is particularly higher among those able to rent all their properties before.
Three out of five landlords increased the renting price. The adjustment to the rental amount was between 1.6-2.5% on average. Similarly with what we observed in the previous years, about 30% of survey participants plan to change their portfolio. Compared to 2016, this year we have more landlords planning to expand their portfolio and less planning to reduce.
Although 82% of the respondents believe that students are good tenants, this percentage has decreased since 2013. The main benefits of renting to students are considered to be an annually fixed tenancy which allows the property to be well maintained, full-time students do not pay Council Tax and a rich source of client referrals. On the other hand, the main issues are related to cleanliness, the time consumed managing the property, and basic maintenance.
Students consider having bills included as an essential aspect of the property. We observed 74% of landlords offering bills for at least some of their properties. Those not including bills are afraid of having additional costs or hassle due to over-usage, and do not consider this aspect as necessary for letting success.
The AFS thanks all the landlords and letting agents participating in the survey this year. We do value your contribution and we hope the findings give you insights about the market. If you would like a full copy of the report please email [email protected] .
