ARLA’s research, conducted across UK letting agents and landlords, revealed that the surplus of rental property is reducing, while demand rises. This shift has generated a wave of reluctant tenants.
During Q4 2009, 41% of respondents reported more tenants than properties – compared with just 24% last quarter. Over half (54%) felt that consumers were being forced to rent rather than buy.
Ian Potter, operations manager at ARLA, said: “As demand exceeds supply we are faced with a challenge – how to provide enough good-quality rental properties to meet this demand. These figures confirm our long-held view that a strong Private Rented Sector (PRS) will be fundamental in meeting the accommodation needs of future generations. But without significant government support, the sector will likely struggle.”
