The latest data from Propertymark suggests a small – perhaps very small – change in the supply/demand imbalance in the private lettings market.
In its latest market report, with data from July, it says the previous month’s average of 99 new prospective tenants registering per Propertymark branch dipped to 88: and supply of homes to rent showed a very small increase, to a typical 11 properties per branch.
That’s still a hefty ration of eight tenants to each property, but that is actually an improved ratio on much of 2024 to date.
On the sales side there was a rise in prospective home buyers registering with Propertymark agent branches, against the usual summer trend – 71 on average over the month, up from 69 in June. And there was no fall in viewings – 93 in July, precisely the same as in June.
Similarly, the average number of houses available for sale per branch stayed the same at 41. And there was a small rise in the average number of new buyer enquiries and sales per branch to approaching 8.0.
Nathan Emerson, Propertymark chief executive, says: “We entered July with a new government and the prospect of a reset in major housing policy areas. Despite this, and a wetter than normal July, prospective buyer registrations in the residential sales sector were up, and so too were the number of sales agreed. Reflecting seasonal trends alongside the anticipation of an August rate cut, most other sales metrics remained static. Although underlying demand remains strong, the gap between buyer and seller expectations continues.
“Also impacted by the holiday season, the residential letting sector witnessed a 10% reduction in the number of prospective tenants registered. Regardless, there were still 8 registrations for each available property. New instructions trended downward pointing to the potential for further supply constraints and the need for policies, which support and encourage private landlords.
“The new government has inherited a very large ‘to-do’ list with urgent interventions required in several policy areas. Priorities include improving the home buying and selling process, the regulation of property agents, clarification around net zero funding, and stabilising investment patterns within the private rented sector. We look forward to working with the new government to tackle these and other issues.”
