15
Jul
Landlords 'could see a rise in prices of properties to rent'
People keen to start letting out properties to rent are likely to
have welcomed the news that prices could go up.
Findings released by Easyroommate.co.uk revealed that the cost of
renting a room is set to increase by ten per cent over the next two
years.
Speaking about these results, communications manager at SpareRoom
Matt Hutchinson said that a few things could "affect the prices in
the next couple of years".
He added that the government's rent-a-room scheme, which allows
people to earn a tax-free income of up to £4,250 a year by
renting out a room in their home, could have an influence on how
much prices will rise.
The average room price outlined in the scheme has not been updated
since 1997 and Mr Hutchinson said it is "way out of date
now".
He stated that by making people charge too little for rooms, this
"deflates the market", which will affect private landlords.
FindaProperty.com's findings agree with Easyroommate.co.uk's after
it showed that the average rent rose by 2.3 per cent over the
second quarter of 2010.