By contrast, number of prospective tenants increasing
Estate agents have reported that an average letting branch had just five properties available to rent in February, continuing a downward trend that Propertymark data shows started to fall in March 2021.
According to Propertymark’s latest Private Rented Sector report, the figure represents a 44% decrease from the four-year average of nine properties.
Agents in the North West of England and East Midlands reported the lowest stock at an average of two per branch, with Wales close behind with an average of three.
The number of new properties being rented out by agents has also fallen for the third month in a row. The national average for member agents was four per branch, a decrease from January’s average of six.
In contrast, Propertymark members said that, last month, an average letting agent branch had 142 prospective tenants waiting on their books.
This is a record high for the month of February and, year on year, a 73% increase from February 2021 when agents recorded 82 applicants per branch. This figure has been on an upwards trend since April 2017. Of these applicants, an average of 78 were newly registered in the last month.
“There are many factors affecting the private rented sector which are impacting stock levels. While in terms of rising rent prices, it appears to be a good time to be an investor, once other factors are included, yields can be much lower,” Nathan Emerson, chief executive at Propertymark, said.
“Many landlords have struggled under the increasing legislative and financial pressures they are facing. As we await the Renter’s Reform White Paper, it is clear more changes are on the way, and it’s vital that the private rented sector is valued to avoid unintended consequences.”
