Rents Likely To Continue To Slip in 2009
Oxford Street 2008
Simon Rubinsohn from Royal Institution of Chartered Surveyors expects the rents to keep falling in 2009, Telgraph reports.
What will happen to rents over 2009?
Rents are likely to continue to slip, reflecting excess supply and the poor economic background. The pressure has been most intense in larger houses, where we have seen a lot of new supply coming on to rent. With the weak sales market that area will continue to see more supply, as people who do need to move are still unable to sell. It will be a less powerful story than in 2008, but that area is still one where rents are most vulnerable. Partly because of that issue, and also because of job losses and wage pressures, London is seeing greater regional pressure on rents. The trend will be generally down, but London remains the most vulnerable.
