Photo by Mortgage and Rent Costs Stabilize in June: A Boost to Consumer Confidence
The latest figures from Barclays Property Insights reveal a welcome slowdown in rent and mortgage spending, with a mere 1.5% year-on-year growth in June. This marks a significant drop from the 6.3% increase seen in May, and is the slowest rate of growth since March 2023.
A stabilizing housing market brings relief to UK consumers.
This slowdown in housing costs, combined with a drop in spending on utilities by 15.6%, has led to an increase in consumer confidence. Brits are feeling more optimistic about their ability to live within their means, with 73% of respondents feeling confident about their financial situation.
Top Deal-Breakers for Renters
According to the Barclays research, renters have certain non-negotiables when it comes to assessing a rental property. The top 10 deal-breakers include the presence of damp and mould, access to a living room, and outdoor space.
Damp and mould are top deal-breakers for renters.
Landlords, Take Note!
For landlords looking to make their properties more attractive, it’s essential to tick these boxes. Cleaning and proof of income are top qualities desired by landlords in prospective tenants. Personal communication from applicants can also make a significant difference in securing a rental property.
‘Given the uncertainty around the housing market in recent months, understandably both renters and homeowners will want to avoid surprises when it comes to the standards and upkeep of their property.’ - Phil Spencer, TV property expert
Spending on DIY and Home Improvement
The cold and dreary weather in early June had a negative impact on consumer spending on household categories such as DIY and garden centres. However, with summer finally here, retailers are hoping for a boost in sales.
The warm weather is expected to unlock pent-up demand for DIY and home improvement projects.
Conclusion
The stabilization of rent and mortgage costs, combined with a drop in utility spending, is a welcome relief to UK consumers. With consumer confidence on the rise, it’s essential for renters and landlords to be aware of the top deal-breakers and qualities desired in a rental property. As the housing market continues to evolve, it’s crucial to stay informed and adapt to changing trends.
