Fear of Corona second wave hitting rental market says agency

One of the capital’s largest lettings agencies says business is recovering well, although ironically rents are down 10% and increased activity is fuelled by worries of a second Coronavirus wave.

According to Chestertons the number of new tenants registering to look for a new property in June was up 43 per cent compared to May.

Meanwhile property viewings, offers and agreed tenancies were all up 36, 52 and 59 per cent respectively. 

However, the number of available rental properties was also up by 68 per cent due in part to a lack of corporate relocations and international students, causing rents to drop by an average of 10 per cent.

The agency also reports that many tenants are keen to act quickly to find a new property more suitable to lockdown conditions in case of a ‘second wave’ of COVID-19 cases. 

Simultaneously, landlords are continuing to drop their asking prices in order to attract tenants and avoid the possibility of having an empty property on their hands if lockdown restrictions are tightened again.

Richard Davies, Chestertons’ head of lettings, comments: “We are all hoping that there is no ‘second wave’ or another lockdown situation, but many tenants are taking the ‘better safe than sorry’ approach and securing a new property as soon as they can. Many landlords are taking the same approach and are willing to reduce their rents in order to secure good tenants with which they can ride-out the rest of the pandemic. As a result we are experiencing a very busy start to the summer market.”