Build To Rent (BTR) is turning heads—and wallets!
New data from Zero Deposit reveals that BTR properties are commanding a whopping 12.3% rental premium over the broader private rental market. That's nearly double the 6.5% premium from back in 2016. So, what's the price tag for this posh living? The average monthly rent in the UK’s BTR sector is now a cool £1,546, compared to £1,377 for traditional rentals. And if you’re eyeing London, brace yourself for an average BTR rent of £2,560, versus £2,280 in the wider market.
Why the extra pounds? It seems tenants are more than willing to pay for the perks of BTR living. Think modern amenities, professional management, and energy-efficient homes with fewer maintenance headaches. Plus, there are all those resident-focused services that make life just a tad more luxurious.
Sam Reynolds, the big cheese at Zero Deposit, notes that the BTR sector is on a roll, with investments pouring in, stock numbers climbing, and tenant demand remaining robust. The ability to command a rental premium is a testament to the quality and service BTR operators deliver. As the sector grows, so does the importance of protecting rental income, especially for tenants who might not have a traditional guarantor but are financially sound.
So, if you're in the property game, BTR might just be the golden goose you’ve been looking for!
Image: Unsplash
Want to hear more? Join Mal & Matt on the Property AI Report Podcast each week!
Access from your preferred podcast provider by clicking here
Made with TRUST_AI - see the Charter: https://www.modelprop.co.uk/trust-ai