In a statement which appears to go against the trend of much of the lettings sector, Connells says it sees no sign of landlords quitting the buy to let sector.
This appears at odds with data from some organisations and agencies – including Hamptons, owned by Connells – which appear to show fewer landlords in the sector now than in recent years.
But the Connells Group – in its trading statement for the first half of 2024 – says rental supply ended June with 24% more properties available than at June 2023.
And it says that the company “saw no significant signs of landlords exiting the market” with some 77% of properties re-let at the end of their tenancies. That’s the same figure as last year.
The average tenancy length was 30.9 months, about 10% up on a year ago.
And the number of rental properties in arrears represents just 4.92% of tenancies managed – almost exactly the same as 12 months before.
The Group now has 127,900 rental properties under management.
And on the sales side it says it’s seeing greater volumes of activity compared with 2023 from enquiry to sale, evidenced by the number of properties placed on the market increasing by 15% and the average number of properties available for sale across its 1,200+ estate agency branches standing at 60, up from 50 per branch versus June 2023.
The number of house viewings in the first half of the year was 15% higher than the same period in 2023, too.
Group chief executive Stuart Haire says: “The Skipton Group consists of a diversified portfolio, Skipton Building Society (Home Finance and Money businesses), Connells Group (Estate Agency and Property Services), Skipton Business Finance, Skipton International (our bank in the Channel Islands), and Jade Software (database and AI company).
“Our Group Purpose is to help people have a home, to save for life ahead and to support long term financial well-being.
“… Given our position as the largest owner of estate agencies in the UK, responsible for about one in 10 houses bought and sold every year, alongside our financial capabilities, we have great potential to drive transformative change in the UK housing market and financial services industry.
“We have already started to leverage the unique power of our collective Group expertise and the launch of the Home Affordability Index is a great example of how we can make the most of the power and potential of our Group data and insights.
“The Skipton Group Home Affordability Index provides a fresh perspective on how housing costs vary for households across the country, exploring where and for whom the challenges are most significant. The timing of the launch has given us the opportunity to contribute to the national debate, informing critical agenda and supporting policy with important insights.
“… We recognise the role we have as Skipton Group to enable us to become a well-known voice campaigning on socially important matters, such as affordable housing.”
