Huge rise in agents witnessing rent rises compared to a year ago

The latest rental market snapshot from the Association of Residential Letting Agents suggests that 50 per cent of agents witnessed an increase in rent prices in October.

This is down from 58 per cent in September, and is the lowest figure since June this year.

However, year-on-year, this figure is up from 24 per cent in October 2018, and 22 per cent in October 2017.

Meanwhile the number of tenants successfully negotiating a rent reduction increased to 1.6 per cent from 1.2 per cent in September - even so, it is well down on the 3.7 per cent in October 2018.

The number of properties managed per branch rose by eight per cent to 201 in October, from 193 in September; year-on-year supply is also up from 198 in October 2018 and 182 in October 2017.

And demand from prospective tenants remained the same with 72 registered prospective tenants per member branch.

“This month’s figures show some temporary relief for tenants; however, while the number of landlords increasing rents has fallen, year on year the figure remains worryingly high” according to David Cox, ARLA’s chief executive.

“Even looking at the increase in the number of tenants negotiating rent reductions, which should be a positive thing, when comparing year-on-year it is less than half of what it stood at in 2018.

“For far too long, successive governments of all political persuasions have passed significant amounts of complex legislation for landlords making the buy-to-let market a less attractive investment, and this coupled with Brexit uncertainty and a looming general election has left the sector strained. 

“Unfortunately, rents are likely to remain high and tenants will continue to feel the pinch.”