The latest sentiment survey amongst members of the Royal Institution of Chartered Surveyors suggests that the rental market is strong - and getting even stronger.
The RICS market snapshot measures its members’ views rather than hard stats on rents or demand.
So the latest survey, just out, shows a headline net balance of 52 per cent of survey participants noting a pick-up in tenant demand in the three months to April.
At the same time, landlord instructions remained low.
A net balance of 63 per cent of respondents now expect rents to rise in the coming three months, marking a fresh record high for this metric according to RICS records, which go back to 1999.
The survey suggests that surveyors and agents in all regions and countries of the UK expect to see “elevated rental growth pressures” remaining in place over the near-term.
On the sales side the survey found 10 per cent more respondents reported a rise in new buyer enquires rather than a fall, the eighth successive month in which RICS has seen a positive net balance.
Tarrant Parsons, a RICS economist, says: “Despite growing macro headwinds in the form of cost-of-living pressures and higher interest rates, the UK residential market continues to see modestly positive trends in new buyer enquiries.
“For the time being at least, even though there is a lot of caution about the future economic landscape, it seems that limited supply available on the market, coupled with steady demand growth, are still the overriding drivers of house prices.
“As such, there is little evidence at this stage of house price inflation losing much momentum, while expectations for the coming twelve months have only moderated slightly from recent highs.”