Rents Continue Rising But At A Slower Pace
Landlords around the country say that rents are continuing to rise but at a slower pace, one index reveals.
According to Arla Propertymark, September saw a slight drop in the number of tenants who experienced a rent rise.
The index highlights that 58% of letting agents said they saw rent price increases, that is up from September last year when the figure was 31%.
There has also been a slight drop in the number of properties being managed per branch in the month, down from 197 in August to 193.
The worst affected tenants are to be found in the North East with 86% of agents saying they have seen rent price increases.
Number of tenants who have seen rents rise fell slightly
Arla's chief executive, David Cox, said: "While the number of tenants who have seen rents rise fell slightly, rents remain high as they have done since the introduction of the Tenant Fees Act.
"It's a concern to see the number of properties being managed per agent branch has dropped as supply falls and competition amongst tenants will increase which will drive up rents."
He added that he hopes the government will recognise the increasing importance of rental home supply for tenants and help to make the market more attractive for landlords.
The number of tenants who negotiated a rent reduction successfully fell from August's figure of 1.3% to 1.2% in September.
Also, there's been a slight fall in the length of a tenant's tenancy with the average time a tenant remains in their property being 19 months - that's down from August's figure of 20 months.
Purpose-built student accommodation sees big growth
Meanwhile, the purpose-built student accommodation sector has seen a 5.3% rise in numbers across the country over the past year.
One student letting platform says this equates to 34,000 new beds becoming available.
In addition, there is a supply pipeline of 120,000 new student beds that are either awaiting approval or have been approved becoming available next year.
Houses in multiple occupation dominate the student rental sector
The platform's research highlights that houses in multiple occupation (HMOs) dominate the student rental sector with 56% of the market.
The average advertised rent has risen to £97, a rise of 6% in 2019.
A spokesman for the site said the student accommodation sector is shifting with purpose-built student homes growing in popularity.