Shortage of rental homes 'to continue for coming years'
Property professionals
19th July 2010
For the next four to five years, the UK will continue to experience a continuing shortfall between the number of rental properties available and tenants requiring them.
This is according to the managing director of LettingZone, who believes "there is not much more stock coming on to the market", while more people are expected to be seeking residential housing in the future.
Mark Garner explains that many landlords are struggling to expand their portfolios because of a tightening of lending criteria in Britain, leading to shortages.
He adds that it costs so much now to move house that many tenants are remaining where they are and this factor is coupled by the current uncertainty in the jobs market to result in very little movement within the market.
"If mortgage lending was increased and it was easier for landlords to buy more property and let it out, then certainly landlords would buy more property," Mr Garner claims.
Those seeking insurance for buildings could be interested in figures from the Association of Residential Letting Agents showing that the supply of rental properties in the UK has fallen to a record low, with 70 per cent of offices polled reporting that tenants are outstripping the number of homes on their books.
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