We know what you’re thinking – how is this possible? Or more importantly, when will this ever stop?


Too often are we reading headlines warning us of what seems like a never ending peak. If house prices continue to rise, so must our rental prices and how will we continue to bridge the gap between profit and affordability?


In a recent report, The Royal Institution of Chartered Surveyors report stated that London property prices will increase by 5% in 2016; that the lack of supply has led to this prediction of prices continuing to grow. As stated by their chief economist Simon Rubinsohn,“Housing has clearly leapt up the Government’s agenda but despite the raft of initiatives announced over the past year, the lags involved in development mean that prices and, for that matter, rents, are likely to rise further over the next 12 months.

Whilst a lack of stock continues to be seen as the main driver of the trend, individuals like Rubinsohn are optimistic that the government support schemes will aide buyers. However, as the government continues to focus on the effects on home ownership, they are neglecting the effects on buy-to-let - “Discouraging buy-to-let could see private rents take even more of the strain if institutional investment doesn’t increase significantly, particularly given the likely reduced flows of social rent property going forward.”

To read more on the increase, click here.