Tenants willing to pay more for added extras
Tuesday 27 February 2018
Tenants would be willing to pay higher rents for the right to keep pets, high speed internet and childcare facilities, a new survey has shown.
As the renting population grows and the average age of the first-time buyer rises to 30, more people are developing their careers, increasing their earning power and even starting families while renting.
With build-to-rent on the rise, shrewd landlords will keep an eye on what added extras they can offer in order to keep their tenants renting for longer.
The survey of 3,290 tenants by estate agent Your Move found that 28 per cent would pay an average of £24 more a month if it enabled them to be able to live with a pet, while 31 per cent of 18- to 35-year-olds would be willing to pay an average of £25.55 more.
Meanwhile 21 per cent say they would pay an additional £19 a month for high-speed internet and 31 per cent stated they would be happy to pay an average of £22 a month extra for an on-site creche and childcare facilities.
Some 41 per cent of all the tenants surveyed said that they would pay an extra £20 a month in rent if they were provided with an on-site gym that they could use.
Having a communal garden would be something 32 per cent of tenants would pay extra for – with recent research suggesting that properties sold in London with gardens can command as much as 20 per cent more than those without.
House cleaning services would be beneficial to 13 per cent of renters, according to the survey, who would pay an average of £28 a month extra for this.
One report last year found that half of millennials were paying a professional to clean their home because they didn’t have time to do it themselves.
And finally, around 27 per cent of tenants agreed they would pay an added £6-8 a month, for recreational areas and work from home hubs.
The survey was conducted by Your Move sister company LSL Corporate Client Department.
Richard Truman, Head of Operations at Simple Landlords Insurance, added: "Spec and tenant is a bit of an egg and chicken situation. The right spec - and right extras - can help you get the right type of tenant. But if your property or area doesn't attract that kind of tenant, high-speed Wi-fi could be an expensive irrelevance.
"It's always worth understanding your market, looking at equivalent properties before you invest, and being flexible for the right tenants - for instance in terms of accepting pets. Just make sure you're insured to cover any extra risks."
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