Demand for rental accommodation highest on record for month of April

ARLA Propertymark has issued its April Private Rented Sector (PRS) Report, showing demand for rental accommodation highest on record for month of April.

Key points in report:
  • Number of new prospective tenants highest on record for month of April
  • Number of tenants experiencing rent increases rose in April
  • Number of properties managed per branch rose in April
Demand from tenants:
  • The average number of new prospective tenants registered per branch fell slightly in April to 82, from March’s figure of 84.
  • Year-on-year this is still the highest figure on record for the month of April, with the previous April high being 72 prospective tenants registered per branch in 2018.
  • Regionally, Wales had the highest number of new tenants registered per branch with an average of 133.
  • However, this number was lowest in Scotland where there was only an average of 26 new prospective tenants registered in April.
Rent prices:
  • The number of tenants experiencing rent increases jumped in April as 67 per cent of agents saw landlords increasing rents, compared to 60 per cent in March.
  • Year-on-year this figure has more than doubled since April 2019* when the figure stood at 33 per cent.
Supply of rental stock:
  • The number of properties managed per letting agent branch rose from 193 in March to 201 in April.
  • Year-on-year this is marginally less than during April 2019* when the figure stood at 202.
Rent Reductions:
  • The number of tenants successfully negotiating rent reductions fell from 1.7 per cent in March to 1.3 per cent in April.
  • This is the lowest number recorded since January 2020 when the figure also stood at 1.3 per cent.

 

Mark Hayward, Chief Policy Advisor, Propertymark, said:

“We continue to see unprecedented demand from tenants with a record breaking number of new prospective tenants registered per branch for the month of April, showcasing the booming rental market. We will be keeping a close eye on the sector in the coming months as the current strength of the sales market may be off putting to private rental investors, and talk of a potential impending taxation on property will be a concern for all types of landlords, but ultimately it is positive to see rent continuing to flow this month.”

 

Kindly shared by ARLA Propertymark

Main photo courtesy of Pixabay