Published: 01/08/2021 By ARWe know there is significant demand for rental property in Leeds, which is just one of the reasons so many landlords and property investors own rental accommodation in the city. At Dwell, we know Leeds offers a more attractive rental yield than most towns and cities.
We also know that it is possible to obtain a more appealing rental yield than the average expected for the city. We are pleased to say we know the Leeds letting market well, and we have assisted many landlords to obtain attractive rental yields.
What sort of factors influence rental yields?
There is no end to the factors that influence the rental yield a landlord can expect from a rental property. The size of the building, the shape of the property, the area, the level of local facilities, the cost of the property, and the sort of tenants who are attracted to rental property in this area are all factors to consider.
Also, whether a rental property is furnished or unfurnished influences the expected rental yield.
It stands to reason that a tenant will pay a higher rental fee for a furnished flat than an unfurnished one. However, landlords have a greater outlay when buying furniture, and there will likely be a charge associated with maintaining the condition of the furniture.
While a landlord might wish to buy cheap or affordable furniture, this might impact the tenants the property appeals to. There are many things to consider, and at Dwell, we are quick to say there is no such thing as a definitive answer when it comes to furnishing a flat or leaving the rental property empty.
If you are letting to students or young professionals moving into their first rental property, they are unlikely to have too much in the way of furniture. It is likely to be convenient for them to rent a furnished property.
However, if you are letting to a family, they might have a lot of equipment and furnishings, which means that an unfurnished rental property is more attractive to them. If you would like to discuss your options in the rental market, contact Dwell, and we will be more than happy to assist you.
There are many furnished rental properties in Leeds
No matter what you do in the rental market, it is important to look at what else is happening in the market. A recent study by Manor Interiors places Leeds as the city which offers the highest proportion of furnished rental homes. 84% of all rental stock in the city is classed as furnished. Only Newcastle, with a proportion of 81%, comes close to Leeds, and these are the only two English cities where the proportion of furnished rental property is greater than 80%.
Farhan Malik is the CEO of Manor Interiors, and he said; “While the rental sector has traditionally acted as a stepping stone to homeownership, we’re now seeing far more people opt to rent as a long-term lifestyle choice. The convenience and flexibility of renting long term really resonate with the modern-day tenant and we’re starting to see the rental sector evolve to meet these needs, particularly through the build-to-rent sector. Furnished homes are just one aspect of this evolution and presenting a stylish, practically furnished home is a sure-fire way to grab the attention of tenants above and beyond your average rental home.”
Farhan concluded by saying; “However, you don’t need to break the bank to achieve this but you also want to refrain from filling your rental home with cheap furniture that is likely to need replacing by the time the next tenant enters the home. Bespoke, high-quality furniture can be purchased for a reasonable price whether you’re fitting out one buy-to-let home, or a hundred units within a build-to-rent development.”
We're an independent Estate & Letting Agents based in Leeds. We pride ourselves on high quality service and expert local knowledge delivered through focused, passionate, and well-trained staff. Our Team are residential property specialists with an intimate and unique in-depth understanding of our local market. Call us on 0113 246 4860.