2017 Property Market Review
2017 was an interesting year to say the least…
There have been various forms of industry regulation that has either been introduced or is currently being discussed and processed in parliament, with a view to being rolled out through 2018 and beyond. This includes regulation of the industry which will positively affect the professionalism of the rental market.
With the announcement of Stamp Duty Land Tax changes and with Mortgage Interest Relief starting to take effect, we have seen landlords becoming more selective about their property investments – resulting in a reduced national supply of rental accommodation. Due to high yields and low purchase prices, Hull is actually still seen as a very attractive area for investment opportunity. We have seen more money coming to the city from out of the area, particularly targeting the Hull city centre after a successful City of Culture campaign.
Demand for rental accommodation remains consistently high and there are no signs of this slowing, but unfortunately it is likely that rents will increase further with the introduction of the letting fee ban and legislative changes increasing costs for landlords.
Overall, the industry is going through quite dramatic changes. We won’t truly know the outcome of these changes until years to come.