According to its most recent data, 92% of respondents say that demand is either stable, growing or booming.
This is the second highest level on record, and demonstrates the continued move towards an evolving housing market, with many people increasingly choosing private rented accommodation for flexibility and affordability.
The survey also found that the average void period on a private rented property has dropped 2% on the last quarter. On average, landlords’ properties are empty only 2.96 weeks a year which, with continued high demand, is likely to fall further.
These findings are on the back of other indicators of strong tenant demand in the market. RICS recently announced that tenant demand is rising at its fastest pace for nine years, with 30% more surveyors reporting a rise, rather than a fall in demand. ARLA has also found that the demand for rented residential properties has continued to outstrip supply, especially in central London where 62% of respondents now say there are more tenants than there are properties available for them.
John Heron, director of Paragon Mortgages, commented: “We have been running this survey for five years and have seen a very strong trend of growing tenant demand throughout this period. But recently, in both our own research and that of others, we’ve seen demand for private rented accommodation hit new peaks. Demographic influences that underpin the private rented sector are all continuing to rise, which bodes well for continued healthy growth of the buy-to-let sector”.
