Further growth in the number of prospective tenants looking for new homes

Further growth in the number of prospective tenants looking for new homes

There was another rise in the number of new prospective tenants in February, according to new data.

ARLA Propertymark’s February Private Rented Sector (PRS) Report shows that the number of new prospective tenants increased to an average of 82 registered per branch from an average of 81 a month earlier.

Year-on-year this remains the same as February 2020 but is a huge leap from the previous February figure of 65 in 2019.

Regionally, The West Midlands had the highest number of new tenants registered per branch with an average of 126, with the East Midlands having the second highest of 123 new tenants.

In terms of rent prices, the number of tenants experiencing rent increases rose in February as half – 49% – of agents saw landlords increasing rent compared to 39% in January. Year-on-year this figure is also up from 40% in February 2020.

In addition, the number of tenants successfully negotiating a rent reduction month-on-month remained the same at 2% in February. Year-on-year this is also the same as during February last year when the figure also stood at 2%.

Meanwhile, the number of properties managed per letting agent branch fell for the third month in a row from 196 in January to 195 in February.

Mark Hayward, chief policy advisor, Propertymark, commented: “The report demonstrates that the rental market continues to show no sign of slowing down, as demand for rental properties rose yet again in February.

“Letting agents have continued to support landlords and their tenants throughout the ongoing Covid-19 difficulties, and it is essential that tenancies are maintained wherever possible to ensure rent keeps flowing.”