By Steve Roulstone

Even as early as the second week in the New Year, agencies are reporting a big increase in Mortgage demand and the majority seems to be in the rental sector as Landlords continue to react to the need for an increased number of rental properties. Indeed, as a Country that normally follows what happens in the USA by way of financial trends, it could be argued that we are right on the heels of trends in America as they start to ease the availability of mortgages across the pond.

 Follow that lead!

I have stated before and would repeat with this very current news of increasing demand, that we are building up a head of steam which would when the market releases a product that would be acceptable to Landlords, result in an increase in sales for the coming year, which I believe will at the very least aid the recovery (if not start the recovery) of the housing market in the UK. There is no doubt that the Mortgage houses are looking at what demand would bring as they continue to sample the market place with short term offers, and this is producing strong demand, confirming my beliefs that the demand is high amongst Landlords, who are only delaying because they do not wish to be tied in too the wrong style of mortgage for their investment portfolio.

Strong Rental demand

There is no doubt that the demand is continuing to grow and this at what is normally a quiet time, even allowing for the spike of demand caused by the extended Bank Holiday blues! As Agents, at Castle Estates we are gearing ourselves to be ready for a year of high demand by ensuring we have the right technology to supply our Tenants demand for information and ensuring we remain competitive in an industry where Tenant charges can sometimes be difficult to justify. We have always maintained that the relationship with our Tenants is the key to the art of good Management and we wish to ensure we supply the service demanded by an ever increasing technically knowledgeable customer.

Producing higher rents.

For the result of the current shortage of rental property will result in higher rents for the Landlords, that is what market forces will dictate, even with the knowledge that affordability will be a large part of any increases in the current financial climate that we are living through, so giving Landlords even more reason to increase their portfolio of property. The market professionals and providers know this and will be looking for sustained signs before releasing the products that the industry requires. There is no doubt that this continued increase in demand will be playing a large part in providing that very proof!

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