Rate of rent increases still on the rise
As the number of tenants who experience rent hikes continues to rise, almost a third of renters saw their rents go up in September this year.
In its September Private Rented Sector Report, ARLA Propertymark reveals that 31 per cent of renters saw payments increase last month, compared to 27 per cent in 2017 and 24 per cent in 2016.
When looking at shorter term trends, however, this figure is down, as in August this year, agents reported a record-high for the number of rent rises for tenants at 40 per cent.
Demand from prospective tenants fell marginally in September, with the number of house-hunters registered per branch dropping to 63 on average, compared to 64 in August.
Year on year, this is down 20 per cent as there were 79 prospective tenants registered per letting agent branch in September 2017.
As landlords continued to leave the market, the supply of properties letting agents managed dropped to 194 per member branch in September, from 197 in August.
David Cox, ARLA Propertymark chief executive, said: "Although the number of landlords increasing rents for tenants dropped in September, this figure is still alarmingly high, and it continues to rise year on year.
"Increasing costs and continued regulatory change is pushing buy-to-let investors out of the market and deterring new ones from entering.
"An average of four landlords took their properties off the market per branch in September, up from three this time last year – and as supply falls, competition among tenants increases, which is driving up rent costs.
"With the Autumn Budget approaching, we hope the Government recognises the importance of increasing supply for tenants and uses it as an opportunity to make the market more attractive for BTL investors.”