A new survey by the flat and house share website SpareRoom.co.uk has revealed that 90% of landlords receive the asking price or more for their rental properties due to a competitive market.
In addition, one in ten tenants pay an average of £47.51 per month above the advertised price for their current rented property. 45% of these claim that this was down to the landlord increasing prices after the advert was posted. 39% of tenants pay £26 to £50 more, with 18% paying between £51 and £100 extra.
In London, up to 13% of tenants paid above the advertised prices, with average room rent hitting £689 per month, spurred on by the fact that as many as 13 people are searching for each available room.
However it isn’t all doom and gloom for tenants, as the survey also revealed that 78% of landlords would consider lowering their rent for the right tenant, while 43% of tenants have claimed to have lowered their rent through haggling. Additionally 25% even suggested a lower price and refused to compromise, leading to a reduced rent, while 8% managed to secure cheap prices by proving their credentials as good tenants through references.
Matt Hutchinson, director of SpareRoom.co.uk, said: “In spite of enormous demand for private rented accommodation, especially in the capital, there can be wiggle room to go in with a lower offer. It helps if you’re in no rush to move, but not everyone has that luxury. Start by researching average room rents in the area, which you can do on SpareRoom, so you’re armed with the facts before you start haggling. Next, think about what you can do to stand out as a great tenant. Being flexible on the move in date, mentioning that you plan to stay long term and providing excellent references to show you’re a reliable and house-proud tenant can all help. Opting for a place with a private landlord in charge means both parties can avoid agents’ fees. That means landlords might be more open to negotiation, particularly with a potential tenant they get on well with.”