We don’t pay a lot of attention to the Rental Price Indexes that are published. This is for several reasons:
- Often the publisher has an axe to grind, and presents their findings to support the view they wish to see the market take. An extreme example was the flood of Estate Agents calling the bottom of the Housing Market in January and February of this year.
- Statistics are already out of date by the time that they are collated, analysed, and published, and as such are of little help in setting future rents.
- Our rents are below general market rents.
- As we rent a large number of flats of a similar specification, in the same location, our own experiences are probably a more accurate window onto the general market.
So I thought I would let you in on the secret, and let you know what the statistics in November 2009 are going to show. They will show that the rental market for flats in London bottomed in July, increased by 5% in August, September and October. Yes Rental prices in October will be 15% higher in than they are now.
