Canterbury Homeowners Have Turned to the Rental Market to Cash In By £8,300 Each
Should you sell or should you buy in this most interesting Canterbury property market?
We have calculated that at least 95 Canterbury house sellers have rented a home to break their house chain in the last 12 months, although at a cost as they face paying many thousands of pounds in rent.
There are a number of reasons behind this. One is because they cannot find another Canterbury property to buy amidst a continuing shortage of new Canterbury properties coming to the market. Although, there are others who have achieved such a high price for their home they have decided to cash in and are (hopefully for them) waiting for the Canterbury property market drop?
Or will it drop? (More on that later).
Those selling their home have seen the…
average Canterbury home rise in value in the
last 12 months by £8,300.
Yet, if they have had to go into private renting, they have paid for that privilege in the rent they have had to pay.
The average cost of a six-month rental agreement in Canterbury is £6,546, meaning accidental Canterbury tenants have pumped £621,913 into the Canterbury rental market in the last 12 months.
The unevenness between the number of properties for sale and demand for them is at its widest since the early 2000’s. Whilst we have seen a slight improvement in the number of properties for sale in Canterbury, there are still…
11% fewer homes up for sale today in Canterbury,
compared to August last year.
This serious shortage of Canterbury property for sale is discouraging some hesitant Canterbury homeowners from putting their property on to the housing market, anxious they will not be able to find their next home and will be left renting.
Yet some savvy Canterbury homeowners are moving into a rented property as a way to navigate the shortage of properties to buy. If you have someone offering you top dollar for your Canterbury home, whilst you will have the hassle of two moves, the increase in value of your Canterbury home will more than offset the rent.
Also, when you come to buy your next Canterbury home, you will be chain free and in pole position to buy your ‘forever home’, rather than being overlooked for the home because you are sold stc and burdened with a chain.
Yet this trend has made life tougher for long-term Canterbury tenants.
On average there were normally 1,050 to 1,250 properties available to rent in Canterbury on Rightmove at any one time (pre-pandemic), today there are only 533 available.
To give you an idea of how this has affected the Canterbury rental market, with heightened demand and lower supply, demand for rental properties has grown to such an extent…
the average rent in Canterbury has grown from £1,091 per month a year ago to £1,198 per month today.
Tenants are suffering from less choice and higher rents in the Canterbury property rental market, with few indications it’s going to significantly ease on the run up to Christmas.
So, what is going to happen to the Canterbury property market?
Well, those of you that follow us know we regularly write about the Canterbury property market in our property blog. If you would like these emailed to you simply register on the link below or check out the news section on our website.
In the meantime, please do share your thoughts on the matter in the comments.
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