Landlord insurance customers have experienced a period of supreme strength in the market in the last few years. This was largely thanks to a number of different financial factors which allowed the cost of rent, and subsequently yields, to grow continuously.
However, the start of 2013 has been kind to many tenants, and Chesterton Humberts recently reported that many landlords were having to face up to lower prices and negotiating from renters in order to secure contracts.
Now a new report released by LSL Property Services has shown that the average cost of living in a privately let home has dropped once again in February as the pendulum of power continues to swing, meaning landlords need to be more competitive than ever.
According to the organisation, the average monthly charge dropped by 0.1 per cent in February to sit at a level of £731. However, it's not all bad news for those operating in the buy-to-let market, as income still remains a full 3.3 per cent higher than it was a year ago.
In terms of different regions of the country, there were large discrepancies once again, with the north-west of England having seen the largest dips in what owners were able to charge, with the mean price dropping by 1.3 per cent.
Those operating in Wales saw the best level of increase, with a 1.8 per cent jump in their levels of income for February showing that the market is continuing to grow in the country.
Meanwhile, London prices continued to grow, showing again how the capital appears impervious to market conditions elsewhere, while the south-west, which has been one of the strongest markets in recent times, saw falls throughout the month.
Anyone suffering drops in what they bring in should simply wait for the sector to come back to health, though, as David Newnes, director of LSL Property Services, said that it is set to boom once more later on this year when demand returns.