Rental demand reflects strengthening market

28/09/2009

The rental market in the UK is beginning to change following the economic downturn, a major industry group said today (September 28th).

According to the Association of Residential Letting Agents (ARLA), an "oversupply" of properties for tenants is beginning to get smaller.

This should in turn lead to a rise of tenant demand following the end of the recession - pushing rents up.

A poll of ARLA members shows that around 33 per cent believe that supply and demand rates for properties are "in balance".

Three months ago, with the economy as a whole still suffering in a recession, this total stood at 19 per cent.

Ian Potter, ARLA's operations manager, commented: "This shift in the balance of supply and demand is extremely significant for the private rented sector.

"It gives further evidence to suggest that the property market as a whole is getting back on its feet."

Mr Potter also said that one of the factors behind the rising demand from tenants could be from people who formerly house-shared now deciding to live on their own.

This in turn reflects increased confidence over personal incomes - perhaps due to a reduced threat of unemployment in the improving economic conditions.

Tags; Housing Debt and Bills, Young Family Finances, Recent Graduate Debt,

• Share
• 
• 
• Store
• 
• Follow
•