Tenants taking a 'long-term view to renting'

News Category: Marketing

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For some letting agents and landlords, the economic downturn could have proved a blessing in disguise as many would-be homeowners turn to the private rented sector after failing to obtain mortgage finance.

According to Jo Eccles, director of home search company Sourcing Property, even former homeowners are getting in on the act.

She told the Guardian: "They are taking a long-term view and considering a rental property to be their home."

Renting has some advantages over homeownership, because tenants can be free of money worries when it comes to mortgage payments and negative equity.

Many would-be first-time buyers shared this view in 2009 and contributed to a 63 per cent year-on-year hike in rental demand in December, suggested David Newnes, managing director of estate agent Your Move, which published the figure.

However, frustrated sellers have also opted to rent out their homes amid the economic downturn, which has increased supply and competition among landlords in some parts of the UK.

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