Double-dip recession yet to have an effect on rental market

15 May 2012 Categories: News

Double-dip recession yet to have an effect on rental market

According to the CEO of Belvoir Lettings, Dorian Gonsalves, the double-dip recession is so far having very little impact on activity within the rental market.

Following clear-cut figures from the Office of National Statistics that indicate the country is again in recession Mr Gonsalves commented that, so far, the company as a whole has yet to experience any form of dip, and that the rental market in general is remaining strong.

Mr Gansalves then went on to say that even though any effect is yet to be seen it is vitally important that landlords remain realistic with regards to rent rises over the coming year. “A double dip recession means that unemployment will continue to rise, which in turn may assist with the dampening of any rental increases seen in previous years,” he said.

Whether other letting agents are remaining as positive as Mr Gansalves and Belvoir Lettings remains to be seen, however there have been reports of increased property buying activity from landlords and new investors. Property auction houses have recently reported seeing more property investors at their auctions, and buy to let mortgage applications are also on the increase.

Taken together then these nuggets of information would suggest investors are looking past the double-dip recession.