The London lettings market is going through a period of unprecedented change, so landlords are bringing in professional property managers to stay successful.
More than 30% of our landlords have requested our professional property management since 2022.
Meanwhile a USwitch survey of 2,000 landlords found that 63% of self-managed landlords are now open to an estate agency professionally managing their let.
The top reasons landlords are considering a managed service, according to the survey, are:
Maintenance costs
Legal responsibilities
Finding tenants
Market knowledge
Your budget for maintenance costs
The general guideline is that you should spend 1% of the property value on maintenance per year for a rental.
But how much, in the midst of a cost-of-living crisis, will you actually spend on maintenance?
A study by Help me Fix back in 2022 found “the annual cost of maintaining a property now sits at an average of £2,864 across the UK.
This is a 4.7% increase since the start of 2022.”
Increasing prices of materials, essential furnishings (like white goods) and services all add up.
Good property management keeps costs down
We invest in My Foxtons – where the tenant can quickly alert us of any issues and find videos to fix simpler issues without a professional call out.
We also train our Property Managers and vet our extensive network of local contractors so the best professional for the job is available when their services are required.
Best tools for keeping maintenance costs down:
Hiring the right tradespeople, only when they’re genuinely needed
Proactive resolution of issues before they become larger and more expensive
Tailored compliance for local councils
There is a rising concern amongst landlords about the consequences of missing some vital piece of local legislation or new policy.
Renters Reform is the hot topic right now for London landlords, and although there are still plenty of changes anticipated before we see the final version, we can expect changes to London lettings in the coming year.
(Watch our video on Renters Reform.)
The big challenge for landlords right now is inconsistently applied laws.
As we described in our article on compliance, there are at least 150 laws affecting a tenancy, and in many cases, enforcement is left to local councils.
Kamma reported that UK licensing changes every eight days, on average.
Good property management tracks the law for you
Foxtons invest in cutting-edge technology and leading licensing experts to track any changes in law that might affect our landlords’ portfolios.
We ensure your property is always compliant, so you don’t need to study local politics to rest assured.
Best tools for ensuring your property is compliant:
Attentive review of local law and proactive response to any changes
A place, like My Foxtons, to keep important documents and certificates organised
Finding the most suitable tenant when you need them
Your property is important. Maybe it’s a pivotal part of your retirement plan or a cherished family home.
Either way, you'll want to build a good relationhship with a tenant who will treat it with respect.
At the same time, you want to avoid a long and costly void period whenever one tenant moves out and another must be found.
According to Uswitch’s research, more than a third of tenants surveyed would renew contracts and accept a rent increase where necessary if they had a positive relationship with their landlord.
While your tenant may not necessarily accept a rent increase, this survey shows a level of flexibility that comes with a good relationship.
Good property management inspires long-term tenancies.
Choosing professional management by an agency, rather than placing a listing yourself, is a great way to ensure your renters are genuine and qualified.
Our experienced Negotiators pull out all the stops to get the right tenancy started for your property at the right time.
Best tools for finding tenants:
A standardised qualification process run by experienced lettings agents
A wide pool of renters - Foxtons have over 50,000 new renters registering monthly
Keeping on top of a complex, changeable market
London remains a dynamic city, where market knowledge makes all the difference.
Especially right now when it seems like everything is changing, from lettings policies to the cost of goods and services, alongside tenants’ expectations.
It takes a lot of research to keep up.
(See our article: Renting takes centre stage)
Almost a third of landlords (29%) who are considering switching to property management are doing so to take advantage of market insight.
It is immensely valuable to have managers within the industry who research coming market changes that may affect your property.
Good property management gives you confidence to make informed decisions.
Foxtons landlords receive monthly Lettings Market Reports before they’re widely available, and updates on changes in legislation whenever relevant.
Our experts monitor and analyse the market for you so there are no surprises.
Our service is powered by a tech platform that gives you instant access to everything you need to know about your tenancy, keeping you in control while doing all the hard work for you.
Best tools for knowing the market:
Access to a reliable source of data and insight on the London market
Seasoned market experts just a phone call or email away
We get it done, so you don't have to
The most important tool for keeping maintenance costs down, ensuring your property is compliant, finding tenants and knowing your market is the Foxtons fully managed service.
We support your success with an entire team of experts.
We have the broadest range of specialist knowledge tracking the latest in policy, energy, reform, maintenance and more – there’s really no other way ensure your property remains successful in the changing world of London lettings.
Did you know you don’t need to have listed with Foxtons to use our property management service?
Either way, get in touch with Foxtons Property Management if you want comprehensive support.