Rental rates slowing, report finds
Rental prices are beginning to level out as prospective tenants refuse to pay increasing rates, it has been claimed.
The Royal Institution of Chartered Surveyors' (Rics') latest Residential Lettings Survey revealed rents increased at the slowest pace in two years in the three months to January.
Although demand for such accommodation remained strong, a net balance of +13 per cent of surveyors reported increases, compared with +21 per cent in the previous quarter.
Michael Newey, Rics spokesperson, commented: "Rental prices have grown quickly across much of the country in recent times. However, it seems that tenants may be becoming less willing to meet increasing rental values."
It was also noted that rental growth has begun to slow in many areas of the country, with the north of England reporting the lowest rental reading.
The recent Housing Market Forecast from Rics revealed the gap between demand and supply is shrinking, with the body predicting this would lead to a slowdown in increasing rental values.
Find out more about letting agent software09-March-12General Lettings News