Tenants scramble for property as rental shortage continues
It has been reported recently that the scramble amongst potential tenants for privately rented accommodation is heating up as the shortage of rental homes on the market continues.
Over recent months the situation has become more and more difficult for non-homeowners, as they have found it difficult to secure a mortgage and get their own home and have found themselves vying against many other people who are vying over the same rental property.
One lettings agent has recently reported that it now has a large proportion of small landlords, with 40 percent of its landlords having a maximum of three rental homes on the market.
There is a definite opportunity for property investors who are willing to buy to let, as the severe shortage of rental homes on the market means that potential tenants are queuing around the block to rent a home.
The high demand for privately rented accommodation is also driving the monthly rent on these homes up, which means that those coming onto the market as buy to let landlords can expect to not only find a tenant instantly for the property but can also expect to get a very good rental income, enabling them to get excellent returns on their property investment.
According to officials there is now an average of around five people vying for each of the rental properties coming onto the market. Some areas are still seeing tenants having to put in sealed bids for rented accommodation as the frenzy to be the winning bidder for a rental home continues.
The shortage of rented accommodation in the private sector is also pushing people towards the social housing sector, which is already overflowing with people that are waiting.
One housing officer said: “In the past we used to get tenants coming onto the social housing waiting list because they could not afford to move into privately rented accommodation.
However, these days we are getting a lot of people coming onto the list because they don’t seem to be able find a privately rented home that does not already have people queuing up for it.”
Related posts:
- Some areas see increase of family accommodation for rent
- Private Rental Sector Faces Severe Housing Shortage
- Rental costs expected to rise further
- Landlords are asked to reduce rents for tenants on benefits
- Demand for rental properties is at a record high
Tags: buy to let, buy to let market, first time buyers, property market
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