Many people are planning to rent out their property in London during the Olympic Games. A survey by FindaProperty.com suggests that rental prices in various Olympic boroughs have risen 35 times higher their usual price during the Games – Greenwich, host of the equestrian events and Windsor, close to the Olympic rowing competitions are two particularly popular areas.
Gary Clark, head of operations at London2012Rentals.com says homeowners should demand a ‘realistic price’. “Although there is clearly a large sum to be made, homeowners must be realistic and not demand excessive rates. Visitors understand there is a premium to be paid for Olympic accommodation, however they still want value for money and marketing your property right will enable you to secure tenancy throughout the Olympic period.”
Lettings agency Upad have a useful checklist of considerations if you’re wondering whether to let your property
1. If you are currently letting it to tenants, don’t terminate your existing rental agreement for two weeks of higher rent – good quality long-term tenants are worth their weight in gold
2. Centrally located properties, waking distance from public transport will do well – remember too that guests will be expecting hotel standard accommodation
3. As a rule of thumb, look at 2-3 times the standard rental value of the house: a typical three bedroom property in Shoreditch which is convenient for the Olympic Park would let for £600-£800 per week so during the Olympics this would go up to around £2,000, maybe even £3,000.
4. Some councils – Southwark, Tower Hamlets, Islington, Kensington and Chelsea, Westminster and Camden – require you to apply for planning permission for lets under 90 days.
5. By law, you must have a Gas Safety Certificate for the property and your electrical appliances tested. Also inform your insurance and mortgage companies
Zoopla.co.uk has registered an increase of 161% for the term ‘Olympics’ on its website over the last month. “International demand for short-term property lets in London over the summer is set to be fiercem,” says Nick Leeming, Business Development Director, Zoopla.co.uk. “With hotel rooms having been booked out months, and in some cases years, in advance short-term property rentals are a great alternative. And many London homeowners looking to escape the capital during the Games are offering up their homes as a way to cash in.” But it’s not just London properties which are in demand of course since there are many Olympic venues around the country.
With many more tickets to be released next month, Olympic organisers LOCOG believe there will be a sudden rise in demand for accommodation as many people who have not yet bought tickets for events will then be making plans…