Record half year performance from Chestertons’ Lettings division

July 30, 2018

Chestertons has today announced record lettings results for the first half of 2018, as growth in market share and increased productivity helped boost profits by 62% against the same point last year.

Despite the number of available rental properties being 10% lower than 2017, consistent with reduced supply across the lettings market, demand from tenants has risen 30% year on year and Chestertons has managed to convert much of this demand into deals, completing 9% more than last year.

The two main reasons for the drop in available rental properties, are the series of recent tax changes affecting landlords (the tapering of tax relief on finance-related costs and the stamp duty surcharge), and the fact that more tenants are now choosing to extend their contract rather than move. To illustrate this, Chestertons has seen a 9% increase in the number of tenants renewing existing tenancies, meaning fewer rental properties coming back to the market.

Commenting on the impact on rents, Richard Davies, Head of Lettings at Chestertons, says: “Over the last quarter, we have seen rent levels start to stabilise and, in some areas, increase. Given the scarcity of available properties in some areas, we could see rents start to rise again over the next few months which, taking into account the fall in capital values, could lead to attractive yields for landlords coming into the market.”

The gross yields currently reported by Chestertons branch network range from 2% in Knightsbridge & Belgravia to 4.7% in Canary Wharf.

Davies concludes, “Despite wider market challenges, I’m pleased to report such a positive first half to the year which demonstrates Chestertons’ growing market share across its London trading postcodes.”

Shared by: Helen Evison – Helen@theinhouseway.co.uk

EAN Content

Content shared by this account is either news shared free by third parties or sponsored (paid for) content from third parties. Please be advised that links to third party websites are not endorsed by Estate Agent Networking - Please do your own research before committing to any third party business promoted on our website. As an Amazon Associate, I earn from qualifying purchases.

You May Also Enjoy

Estate Agent Talk

Buying Alone? What Solo Buyers Need to Know Before Making an Offer on a House

Figures show that solo buyers accounted for 36.9% of Barclays’ mortgage completions in June 2026, as more people chose to step onto the property ladder without a partner beside them. Choosing independence over waiting for a joint purchase has doubled over the last 50+ years, with solo first-time buyers doubling from 15% before 1980 to…
Read More →
Estate Agent Talk

How to Make a New-Build Living Room Feel Less Like a Show Home

An empty new-build living room can be surprisingly difficult to furnish. The walls are freshly painted, the sockets are in place, and there is nothing to remove before decorating begins. Yet once the sofa arrives, the room can still feel unsettled: too bare in some places, awkwardly crowded in others. The answer rarely involves buying…
Read More →
Breaking News

Mortgage Borrowing Dip

Key points: Net borrowing of mortgage debt by individuals decreased to £3.9 billion in September, from £4.2 billion in August, below the previous 6-month average of £4.9 billion. Net mortgage approvals for house purchases decreased to 53,400 in September, below an average of around 58,800 over the previous 6-months. Approvals for remortgaging increased to 42,600…
Read More →
Breaking News

Autumn Budget 2026: Property industry reaction

Following today’s Autumn Budget, reaction from property industry experts on six key areas for the property market. First-time buyer support: The £4.7bn Your First Home equity loan scheme, supporting 70,000 buyers, alongside the introduction of a new First Time Buyer ISA. Inflation and borrowing costs: The extension of the fuel duty freeze, household energy support…
Read More →
Breaking News

Can you legally BAN Halloween Trick or Treaters?

People who dread the annual knock of trick-or-treaters may have more power to keep Halloween callers away than they realise. As millions of children prepare to take to the streets on October 31, a property law expert has explained what homeowners can do if they do not want strangers walking up their path or knocking…
Read More →
Estate Agent Talk

What the sector need to do differently to give first time buyers a chance

By Peter Hawley, Director, SOWN (part of LRG) The mortgage and property sector needs to stop assuming that younger buyers are either ready to buy outright or not ready at all. For many, the reality is somewhere in between. They may have stable employment, a deposit and a strong desire to own, but still find…
Read More →