Tenant demand is traditionally high in the summer and, with lockdown creating pent-up demand from renters and the stamp duty holiday over, summer 2021 promises to be a big one. Here are three ways to make the most of the increased demand in the coming months.
As the UK summer heats up, so does a letting agent’s diary, and the traditional spike in lettings can make or break the profitability for some agencies. With the stamp duty holiday over or starting to wind down in England, Scotland, and Wales, many agents around the UK will have more time to turn their attention to the lettings side of the business, where we're seeing heightened demand.
Our June Rental Index shows that rents remained at a healthy average of £932 in England, as sustained demand kept prices steady, while average voids across England dropped to just 16 days.
Tom Mundy, COO of Goodlord, says: “All the signs this year have been pointing to a bumper summer for lettings and we’re now seeing that reflected in the numbers. Trade is brisk across the country and tenant demand is extremely strong. As summer continues and the prospect of remaining restrictions lifted, increasing numbers of people are looking to move.
“This demand may test the capacity of agents as they move from an unprecedented period of activity for the sales market straight into this spike in rental demand.”
So, what can your agency do to help make the most of this spike in demand?
Pre-qualify your tenants, so you're not wasting any time
Save time this summer by pre-qualifying all of your potential applicants with just a few simple questions, so you're not putting any applicants who are unsuitable through to the referencing stage. It's also important to make tenants aware of what will be involved in the referencing process and improve their experience by avoiding any surprises along the way (and ensure good reviews later on). Let them know they’ll be contacted if there are any aspects of their application still outstanding, that their references and guarantors will also be contacted, and where they can go to find extra information on the process.
Simplify your lettings process, so you can increase your volumes
Lettings is administration-heavy and can be very time consuming - with more and more tenancy agreements to be expected in the future, it is important to know how you will deal with the increase in administrative tasks. Seek out technology that can equip your team for success and free you of the paper-based admin process - therefore allowing you to focus on the tasks that will help you gain more business. By digitising the tenancy process as much as possible, you can provide a much more streamlined experience to your clients while freeing up time to provide more value to them with face to face interactions.
Get good reviews from your landlords and your tenants
A happy customer who provides good reviews and referrals is a gift that will keep on giving. Since the Tenant Fees Act came into effect, it isn't profitable to have tenants move out after a one year lease, leaving your agency to start the search and administrative process over again. Focus on providing an easy-to-use and efficient customer experience for both your tenants and landlords. Ensure you are acting in the best interests of both the tenant and landlord to find the perfect match and add value wherever possible by providing advice, having good communication and offering additional services such as insurance or tenant services set-up. Also, don't be shy - ask happy customers for a referral or to leave a Google review.
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