Landlords in UK don’t understand what tenants want, new research suggests
Landlords in the UK are generally out of touch with what their tenants want with new research indicating a wide gulf between the two.
Tenants are often clear on what they want and the research from online letting agent Upad suggests they would be willing to pay for it.
For example, almost one in four tenants said they would pay an average of £50 a month more if pets were allowed and the same amount extra for a guaranteed parking space with 17% saying it would be the most important thing they would pay for.
While some tenants were happy to pay more rent, others felt it would be more reasonable to pay a higher deposit and would happily do so.
The research also found that gardens, parking, and furnished properties were in demand by tenants, highlighting that there may be an opportunity for landlords to do more to deliver what tenants want.
Some 18% of tenants would pay more for a garden, at an average of £69 per month in extra rent, 15% of tenants said a furnished property was most important to them, and that they’d pay, on average, £163 a month in additional rent for a fully furnished rental.
‘What tenants have said here is a very clear message that, generally, they’re willing to pay more in return for flexibility from their landlord. It is clear that what tenants want is something completely out of sync with what landlords think tenants want,’ said Upad founder James Davis.
‘While many landlords diligently stick to no pets rules or don’t feel there’s value in providing even white goods to their tenants, the evidence is there to suggest they could improve their yields by relaxing their stance on this and looking at what else tenants want,’ he pointed out.
‘Though it remains essential for landlords to strike a balance to ensure their business is profitable, this data provides information for all landlords. For experienced landlords who may have upheld the same rules for years, new landlords, or those looking to grow their portfolio in the near future, they may wish to consider how properties with a garden or designated parking can be far more attractive to prospective tenants,’ he added.