There’s been a large jump in the number of tenants successfully negotiating rent reductions according to the Association of Residential Letting Agents.
It says September’s 2.0 per cent figure leapt to 3.7 per cent in October - this is the highest figure seen since ARLA records began in January 2015.
In line with this, the number of tenants experiencing rent increases fell for the second month running in October, with 24 per cent of agents reporting that landlords increased rents, compared to 31 per cent in September and 40 per cent in August.
Meanwhile the supply of available properties rose from 194 in September to 198 in October; this is the highest figure seen since December last year when supply stood at 200, and represents a nine per cent year on year increase.
Demand from prospective tenants increased in October, with the number of house-hunters registered per branch rising to 71 on average, compared to 63 in September.
“Last month’s findings indicate that power in the rental market could be shifting towards tenants, with a record number negotiating rent reductions, and less landlords hiking rent costs. However, it’s more likely that this is indicative of the time of year and come the New Year, we’ll see rent prices starting to creep up again” suggests David Cox, ARLA Propertymark chief executive.
“There’s no real way of avoiding it unfortunately – with landlords facing continued regulatory change, increasing costs will be passed on to tenants. Those who don’t pass the costs on will eventually have to exit the market, which will increase competition and boost prices. It’s the ultimate ‘lose, lose’ situation.”