Landlord insurance clients making plans for next year should take a look at recent news from Townends, the London and South of England Agents who have given their predictions for 2012.

Group Lettings Director Caroline Kavanagh says: “Much the same as last year, high demand and low supply has been the theme of 2011 causing rents to rise by an average of 20% across London and the South East. The fact is that it is not possible for rents to continue rising at the rate they have been next year, as this is not sustainable. Despite this I believe demand will remain strong and peripheral areas of prime locations will start to benefit from the overspill of tenants. Heading into 2012 demand will almost certainly continue to outstrip supply. However with signs that rents are stabilizing, next year is likely to be more balanced”.

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