Propertymark says the lettings market is beginning to stabilise as rent arrears decrease.

Propertymark member agents reported that on average, 2.5% of the properties they manage were in arrears in March 2024. 

This is compared to a seasonal high of 4.2% in December which has continued to reduce month on month into 2024.

Nathan Emerson, chief executive of Propertymark, comments: “It is undeniable that many households are not yet out of the woods in terms of stabilising their finances on the back of rocketing interest rates and increases to their cost of living. However, it is promising to see that our agents are reporting fewer tenants experiencing rent arrears.

“We know that good landlords and letting agents are working hard to keep rents as low as possible in order for landlords to break even and afford their current mortgage rates as many are also feeling the impact of rising costs.

“What we now hope is that given that inflation continues to fall at the moment, we can be optimistic that interest rates and inflation will drop sooner rather than later so that everyone can start to feel the financial restraints loosen.”