'Supply outstripping demand' in rental market
News Category: Marketing
Published: 23-Jan-2009
This article was brought to you by Rentman the premium property management system.
Landlords and letting agents will have to work harder to attract tenants in 2009 after new figures suggest supply will outstrip demand for rented accommodation this year, increasing competition in the market.
Figures published by house and flat sharing website spareroom.co.uk show rental yields in the UK fell by 0.8 per cent in the third quarter of 2008, but property in the north-east, Yorkshire and west Midlands bucked the trend, posting increases.
Wales suffered the worst quarterly falls, with rent declining by an average of 2.8 per cent.
The research comes after data from the Association of Residential Letting Agents released last month revealed the average value of homes in the rental market fell by 8.3 per cent in 2008.
Matt Hutchinson, director of research at spareroom.co.uk, said the firm's research suggests demand could outstrip supply "for the foreseeable future".
He added: "There's now significantly more competition amongst landlords and rent levels are coming under pressure."
Find out more about letting agency software.
