In the short term, there probably won’t be too much change, but if interest rates do increase considerably over the next 12 months, (which is what is being forecast), we may see more stock coming onto the market for sale, which in turn could be promising for the rental market, as investors will start moving in on properties again to buy and invest.

It will be interesting to see as time goes by if more sellers that have over borrowed and cannot afford mortgage repayments, then sell and become a tenant themselves.

The main impact the interest rate rises will have is those landlords with investment properties, landlords may increase rents to cover higher mortgage repayments.

Tenants are already impacted with existing stock to rent at high rates, this would triple the impact for renters and those still searching for a home to rent.

At First National Real Estate McColms, we under the pressures and stress from existing and new tenants and we are help to assist you and landlords in any way we can.