A leading London lettings agency chief suggests that Brexit may - against the expectations of many - actually be a good thing for the capital’s rental market.
Analysts at Benham & Reeves Residential Lettings, London’s largest independent letting agency, say they have seen strong interest from overseas investors keen to capitalise on the falling pound and anticipate strong demand from tenants.
PCL was one of the few areas of the country where stock levels increased in the first two quarters of 2016, it says.
“Rather than sell, most property owners here can afford to hold onto their properties and let them out. This has led to a steady supply that has softened rental returns. The good news, for tenants at least, was that they had a good choice of properties” says a statement from the agency.
BRRL says its branches “have fielded a multitude of enquiries from applicants currently living and working in Europe but keen to move to the UK before secession is complete.”
It says in the first quarter of this year, one in four applicants was from Europe. “Since the referendum result was announced, the number of applicants from Europe has leapt up and now constitute 47 per cent of all new enquiries. The number of new applicants has risen by 17.2 per cent with that figure anticipated to increase further over the forthcoming weeks” says the agency.
“Like many in this country, we initially felt that Brexit would have an adverse effect on the property market” says BRRM managing director Anita Mehra.
“While it may still prove to have a negative effect on the wider property market, the initial reports from our branches indicate that it could potentially benefit the London lettings market.”