Marketing No Comments

Rental demand in cities up 9.9% in Q3

Rental demand has risen 9.9% in Q3 across the UK’s major cities, according to research estate and lettings agent Barrows and Forrester.

The analysis of 23 major UK cities found that rental demand averaged 42.9% during the third quarter of this year, a 9.9% increase on the previous quarter and 6.8% higher than this time last year.

Cardiff and Glasgow saw the largest quarterly uplift, with rental demand climbing by 22.1% in both cities.

Bristol (21.9%) and Edinburgh (21.5%) also saw tenant demand lift by more than 20% in Q3, with Cambridge completing the top five (19.6%).

Contact us today to speak with a specialist Commercial Finance Broker to discuss how we can assist you

Other cities to make the top 10 included Manchester (14.8%), Newcastle (11.2%), Southampton (10.9%), Plymouth (10.8%) and Birmingham (10.5%).

Newport was the only city to have seen a decline in demand in Q3, down 5.2% on the previous quarter.

Five cities saw demand in Q3 drop below the levels seen this time last year: Belfast (40.9%); Nottingham (3.5%); Portsmouth (3.3%); Liverpool (2.9%); and Plymouth (0.4%).

James Forrester, managing director of Barrows and Forrester, said: “There have been numerous indicators of late that the UK rental market is starting to once again find its feet after one of the most difficult periods in recent times.

Discover our Buy to Let Mortgage Broker services.

“The demand for city rental homes, in particular, was heavily impacted during the pandemic and as a result, many landlords were forced to stomach a significant decrease in rental income in order to secure a tenant.

“However, this is starting to change and we’re seeing a notable uplift in demand for rental properties across many of the nation’s major cities.

“We expect to see a further boost over the coming months as many tenants look to secure a property ahead of the new year and a fresh start.”

By Jake Carter

Source: Mortgage Introducer

Discover our Mortgage Broker services.

Marketing No Comments

Rental demand rises as supply falls

July rental demand reached its highest level this year – as there were 79 prospective tenants per branch, ARLA Propertymark research shows.

However the supply of available properties moved in the opposite direction, falling from 191 in June to 184 last month.

David Cox, chief executive of ARLA Propertymark, said: “Buy-to-let investors are being pushed out of the market by increasing costs and continued regulatory change, and new landlords are being deterred from entering.

“Last month, an average of four landlords took their properties off the market per branch, up from three this time last year – and as supply falls, competition among tenants increases, which pushes up rent costs.

“Almost a third saw their rents rise last month, and although this figure was down from June, it’s still far too high.

“To put tenants back in the driving seat, we need more homes available to rent, and the only way this will be achieved is if the government makes the market more attractive for buy-to-let investors.”

In July 31% of tenants saw a rental increase, down from 35% in June.

The last time there were this many tenants per branch was in September 2017.

Source: Mortgage Introducer