Propertymark's monthly PRS Report for landlords in Preston, Leyland, Chorley and Blackburn
Upward pressure on rents set to continue
The number of new tenants registered on average per member branch reached a new peak at 141 in August but supply of available homes to rent has not risen in the last three months. With a growing mismatch between supply and demand, pressure on rents will rise even further.
DEMAND | NEW TENANTS REGISTERED
Demand continues to rise
An average of 141 new applicants were registered per member branch in August. This number has been creeping up since the winter and now stands 188 per cent higher than in December.
SUPPLY | WHAT DOES STOCK LOOK LIKE?
Supply of available homes remains constant
Propertymark members reported having 10.9 properties on average per member branch that were available to rent in August—the same figure as the last two months. 10.9 properties is 98 per cent above the December figure of 5.5.
Rents continue to rise
77 per cent of member agents reported month-on-month rent prices increasing in August. With a growing mismatch between supply and demand, pressure on rents is likely to become even more acute.
Nathan Emerson Propertymark CEO comments
“The number of people wanting to buy is still good, and the number of properties available to buy is recovering from the mad dash we had before. Buyers and sellers alike are aware of cost-of-living increases and interest rate rises, there are those of a generation who will remember much higher rates but there is a new wave of buyers who won’t have seen these levels before that will become more cautious with their budget. What we have today however, is the ability to be flexible on location due to remote working which has a large impact on price. This new dynamic will help home movers and is a factor that hasn’t previously existed.
In the rental market, we see a pressure cooker getting hotter. The government seem to be missing every opportunity to re-evaluate costs for landlords, whilst this isn’t the most sentimentally attractive conversation for politicians it must be understood that if investment doesn’t work for landlords, ultimately tenants are severely impacted by a lack of choice and high rent prices."
You can download the full Propertymark report, including the sales market, here August 2022 Housing Insight Report