The supply of rental property in the UK reached a record level in December 2017, according to the Property Wire news service and latest lettings agents’ reports.
The number of properties lettings agents were managing rose on average from 192 to 200 in December of last year. This represented an increase of around 6% on the previous year. This has been seen as good news for renters, as has the news that the number of renters experiencing rent increases remained at a record low of 16%. According to the Association of Residential Letting Agents (ARLA) this is the lowest it has been since records began.
In addition, around 3% of renters were also able to negotiate a reduction in rents, which is up from 2.6% in the previous year.
However, there was also some bad news for renters as the number of prospective tenants for each available property rose from 58 to 59 this year, meaning there is more competition for available space. London was also listed as the most expensive place to rent property in Europe and agents there have on average 35% fewer properties on their books than agents in other areas.
David Cox, chief executive of the ARLA said: ‘We need to tackle housing stock to reverse this and stop seeing rents increasing for tenants. The cost of living is already rising at an unsustainable rate and with the added pressures of rising rent costs, the dream of home ownership falls out of reach for many, even with the Government cutting stamp duty for first time buyers.’
He added: ‘However, it’s positive that we finished the year with the number of properties available for tenants at a record high. Here’s to a positive year for renters; cheaper rents, good living standards and a rental market which works for everyone.’
In Norwich, supply of rental property remains good. With more and more people moving to the area, combined with a thriving student population and good employment opportunities, the rental market is strong. Which is also great news for investors looking to make a good yield on their property.
To find out more about the rental market in Norwich, contact our team of experts – specialists in keeping on top of the property news in the region. We can work with you to find suitable investment properties and offer advice about the best locations, agents and management strategies for your portfolio.
To find out more about the local and national property market, or if you would like to chat about anything to do with property investment, give us a ring on Norwich 01603 567804 or send us a message.
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