If you are looking to invest in the Newport rental market, or you already have a stake in this area, it is only natural that you will want to know more about what is likely to happen in the New Year. In recent times, there has been a lot of doom and gloom about property prices and how they are falling, but this is largely down to the fact that the media is fixated with the London property market. Yes, the English capital is experiencing a slowdown with property and rental prices but this isn’t the case around the whole of the UK.
Newport has a lot to offer
Areas like Newport are actually performing quite well, and there is an expectation that property prices and rental fees will rise in 2018. If you are looking to invest in property, this can be seen as bad and good news but if you already have property, knowing that rental fees are tipped to rise could be seen as a positive sign. Of course, while a growth in prices is expected, it may be that the growth is slow. There is a feeling that a ceiling may have been reached, or is close at hand, when it comes to rental fees. If the point is reached when tenants cannot afford to pay any more in rent, landlords may not be able to increase their prices in the manner they would hope.
According to Zoopla, as of December 2017, the average price paid for property in Newport as of the previous twelve months stands at £161,673. According to the home.co.uk website, the average rental fee for property in Newport stands at £577 per calendar month (pcm).
Know what rent you can expect for your Newport property
This average rental fee can obviously be broken down across a range of property types. For a one bedroom property, the average rent stands at £467 pcm while for a two bedroom property, the average rent is listed as £568 pcm. With a three bedroom property, the average rental fee stands at £673 pcm while for a four and five bedroom property, the average rent is classed as £922 and £1,175 pcm respectively.
If you can make a good return with these figures as your starting point, you should find that 2018 is okay for you as a landlord. This is because the rental fees should increase from this point but then again, depending on what type of mortgage a landlord holds, their monthly mortgage payments may rise too.
There is still a lot of negativity in the air with respect to the property and rental market in 2018 and with the type of external influences impacting on these markets, you can see why. Any landlord looking for assistance in 2018 should contact Homelink Lettings and we will do what we can to help you out.