Number of UK renters up by a quarter in 2011The number of people renting a property in the UK rose by a quarter in 2011 as the continued difficulties in obtaining finance drove increasing numbers into rented accommodation.
New figures from a leading estate agency found that applications by new tenants reached 275,000 in 2011, up almost 25 per cent on 2011.
UK in the middle of a ‘rental boom’
The Financial Times reports that ‘the increase in renting underscores the difficulties facing many homebuyers, who have suffered from an insipid mortgage market characterised by prohibitively high deposit requirements and an aversion to risk on the part of the banks.’
Nick Dunning from the estate agent that commissioned the research said: “We are in the midst of a rental boom as renting has become the new norm.
“With a record number of tenants entering the private rental sector, there is a vast shortage of properties available in all areas of the UK, which could potentially fuel a steady rise in rent prices throughout 2012.”
Vital for potential tenants to move quickly
The figures show that couples under the age of 35 made up the largest proportion of new tenants during 2011. There are also a growing number of families moving into rented accommodation.
According to Savills, private sector landlords now account for almost one in five of the country’s residential property. Simultaneously, the value of properties occupied by owners has fallen 2 per cent.
The Little House Company, believes it is also more important than ever for potential tenants to regularly check for properties online. He said: “The average time it takes for a property to be rented also fell sharply in 2011 and it is now just 13.6 days.
“If you’re looking to rent a property it’s therefore vital that you check websites such as ours on a regular basis otherwise you’re likely to miss out in the hunt for the best homes.”