Volume of rent increases drops for third month in a row

Letting agents say the number of tenants experiencing rent increases fell for the third month in a row.

The latest ARLA Propertymark market snapshot, using November data, shows that only 28 per cent of agents witnessed landlords increasing rents last month compared to 37 per cent in October and 40 per cent in September. 

This latest figure is four percentage points lower than in November 2019, when the figure stood at 32 per cent.

The number of new prospective tenants fell last month to an average of 65 prospective tenants registered per branch from an average of 88 in October. 

Regionally, the North West had the highest number of new tenants registered per branch with an average of 121, and Northern Ireland recorded the lowest number with an average of 26 registered per branch in November.

The number of properties managed per letting agent branch rose slightly from 213 in October to 214 in November. 

Year-on-year this is an all-time high for the month of November, with the previous record being 202 in November 2019.

The number of landlords selling their buy-to-let properties remained the same as October at four per branch in November. Year-on-year this is the same figure as November 2019.

“The consistency in this month’s figures exemplify the steadying wider rental market, with letting agents continuing to support landlords and their tenants during these ongoing difficult times” explains Propertymark chief policy adviser Mark Hayward.

He adds: “The continuing fall of increased rents in particular is testament to the understanding being shown across the sector. As the UK experiences ever changing lockdown measures and regional restrictions, it is vital that tenancies are maintained to keep the rent flowing, as the stability of the private rental sector is essential to the wider economy’s bounce back from the Covid-19 crisis.”