Seasonal Shifts in the Letting Market: Advice for Landlords

There’s no doubt that the need for rental properties remains high, with Zoopla calling it “a chronic mismatch between supply and demand”.

In their December 2023 Rental Market Report, they stated that demand for rental homes is down 11% on the previous year (but still a third higher than the 5-year average!).

With this slight slowing down of the market, here at Heywoods, we’re seeing seasonal trends becoming more prevalent again.

Understanding these seasonal trends are useful to effectively manage your properties, get the rental income you want, minimise vacancy periods and ensure the long-term success of your investment.

In this article we’ll explore the impact of seasonal trends on the letting market and how you can use them to your advantage.

Peak Season (Spring/Summer)

Demand for rental properties is typically higher in the spring and summer months.

Factors such as warmer weather, longer daylight hours and the end of the academic year, contribute to more people searching for rental properties.

During this period as a landlord, you’ll likely experience shorter vacancy periods and you’ll have a greater choice of tenants, giving you a better opportunity to get the rental price you want.

Remember though, as more landlords are marketing their property at this time, you’ll have more competition. How you present your property matters and you really need to deliver the service that tenants expect.

Lease lengths are also important to consider when signing up a tenant in summer. A fixed term six or 18-month contract, if ended, would mean you’d be looking for tenants in the off-peak season - it’s just something to keep in mind.

If you choose to partner with Heywoods we’ll walk you through the whole process, to ensure that your property isn’t left empty for any significant period of time.

Slower Months (Autumn/Winter)

Less people search for rental properties during autumn and the winter months.

Colder weather and Christmas on the horizon might mean you have longer without a tenant in your property.

Most tenants prefer to postpone moving over Christmas, so you need to be prepared for slower leasing activity during these times.

Due to the supply and demand issue, you’ll likely still be able to find tenants, you’ll just have fewer options.

In some cases, landlords will opt to reduce the monthly rent to try and attract more people. We can help you make that decision by offering a realistic review of the property and the area.

Academic Calendar

In areas around Keele University that have a significant student population, the academic calendar of course influences seasonal trends in the lettings market.

Demand will peak before the start of the academic year as students search for accommodation.

If you’re investing in a property that you plan to let out to students, then you’ll need to consider the vacant periods and turnaround of tenants that comes with the territory.

At Heywoods we have managed student properties for many years. We can advise you on how best to approach finding tenants to fulfil your investment, while offering a great property for prospective students.

Economic Changes

The state of the economy and what is being reported in the media at the time can have an impact on the rental market. It’s not technically a seasonal shift, but it’s something to keep in mind as a landlord.

Reports of higher unemployment rates, an unstable economy, or even a looming general election can impact consumer confidence.

This can make tenants more cautious about moving, leading to unexpected peaks and dips in demand and prices.

Again though, with the lack of rental homes out there, if you market your property effectively and price it correctly, you can still find a tenant for your property.

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