Ofgem’s recent announcement that typical energy bills will rise to £3,549 per year could mean that we will see a huge increase in tenants looking for cheaper all-inclusive rented accommodation.
Since the last increase in utility bills was announced in April this year, many landlords in our network have received more than 30 applications for every room to rent within the first 24 hours of it being advertised – a figure we expect to rise.
And our experience is backed up by a recent statement from Rightmove which claims that ‘bills included’ has now become their most popular renter search term, overtaking pets and gardens.
After inflation passed the 10% mark earlier this month and following claims that 20% of tenants are already struggling to afford housing costs amid the cost-of-living crisis, Houses in Multiple Occupation offer a realistic affordable renting option.
Emma Hayes, Managing Director explains the difference in affordability:
“As tenants struggle to pay current market rents and rising bills, HMO accommodation provides a level of certainty with one monthly payment inclusive of bills.
Compared to renting a one-bedroom flat plus bills, renting an all-inclusive room in a professional HMO remains more than 40% cheaper and ensures transparency with just one bill.
This will still be the case, despite many HMO landlords having to potentially increase rents by £100 per month per room to cover costs for any new tenancies.”
