The latest survey results issued by the Royal Institution of Chartered Surveyors (RICS) has revealed the reduced opportunity for negotiations over price by tenants, as a result of the fall in rental costs easing, BBC News has reported.
There are fewer houses coming onto the rental market and this combined with a more buoyant property market has led to rental prices holding their value. In the last quarter, the falling price of renting a house has eased as a result.
Although tenants? negotiation powers may have been reduced, RICS chief economist Simon Rubinsohn still believes tenants are in a ?relatively strong? place when compared to 2007.
Chris Norris, of the National Landlords Association said: ?People who may not have been totally prepared for all the responsibilities of letting properties now have options to sell and do not feel pressurised into the private rented sector.? Property owners who wish to sell their house are now much more likely to do so, as confidence returns to the UK property market.
Earlier in the year, some homeowners felt they may be financially better off renting their property rather than selling. This meant that there were more rental houses on the market, creating an opportunity for tenants to negotiate on rental costs.
Nevertheless, RICS still forecasted that property rental prices are most likely to decrease over the next quarter. This may be at a slower rate than before though.
Mr Norris has reportedly stated that tenants are now focusing on quality rather than price. They may now wait for the right house to come on the market rather than trying to negotiate on the rent.
