A leading lettings agency wants next week’s Budget to unveil incentives to bolster supply in the long term rental sector.
Richard Davies, head of lettings at London-focused Chestertons, says: “The lettings market has been witnessing a serious decline in the number of available rental properties, particularly near city centres.
“This has left many tenants having to compromise on their search for a new home whilst also facing higher rents which inevitably attract investor landlords wanting to cash in on increasing yields.
“To avoid the situation worsening, we would like to see the government introducing incentives that encourage Buy to Let landlords to bring more properties back onto the long-term rental market.
“This will not only help to increase the supply of properties available to rent but, in providing tenants with more choice, will also help to slow the very strong rental growth seen in recent months.”
Even before next week’s announcements by Chancellor Rishi Sunak, there may be a move underway with some landlords shifting from short lets because of renewed uncertainty over the pandemic.
Earlier this week London and Manchester agency Orlando Reid says one Saudi Arabian client, for whom they manage 26 properties in London, had moved fully into long term lets.
The client had suffered badly during the pandemic with lengthy voids when the properties were operating as short lets, and travel restrictions were at their strictest.