Britain’s rental stock falls by more than 40% in just three years

Britain’s rental stock falls by more than 40% in just three years

8:01 AM, 28th September 2022, About 2 months ago 3

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Britain’s rental stock has declined by more than 40% in the past three years leaving the market severely depleted compared to the pre-pandemic years, research reveals.

The findings from Research from Ocasa, the specialist rental platform, reveal that in 2019, there were 225,000 homes listed to rent across the rental market.

But the most recent data shows that this number has now declined to little more than 134,000, representing a three-year drop of 40%, or 91,000 homes.

These declining numbers are represented across the whole of the country with every single region seeing its rental markets shrink considerably.

Number of available rental homes has dropped

In the North East of England, the number of available rental homes dropped by 57% since 2019, while in Wales the number is down by 51%.

In the South West, the number of available homes is down by 46%.

Significant three-year drops are also being reported in London (-45%), Scotland (-42%), the North West (-42%), the East of England (-39%), Yorkshire & Humber (-37%), the South East (-34%), West Midlands (-30%), and East Midlands (-16%).

‘Public attention has been given to the sales market’

Jack Godby, the sales and marketing director at Ocasa, said: “As always, the vast majority of public attention has been given to the sales market since the start of the pandemic as soaring house prices and manic demand have stolen headlines week after week.

“Furthermore, focus on the housing crisis and shortage of affordable homes has been a subject of hot debate and endless political promises.

“But something hugely significant has also been happening in the rental market while going largely unreported. Stock is dwindling.”

‘A 40% nationwide decline in available rental homes’

He added: “A 40% nationwide decline in available rental homes in just three years is remarkable and more than a little concerning.

“For one thing, it means that demand is going to be incredibly high leading to a very competitive market.

“This will inevitably lead to rising rent values which, at a time when we have a cost-of-living crisis, is going to add additional stress to those who are already struggling to stay afloat.

“It’s a shame that we are in a situation where the financial security of so many people and families is now dependent on private landlords not taking advantage of this dwindling supply and hiking their prices.”



Comments

Old Mrs Landlord

10:07 AM, 28th September 2022, About 2 months ago

This is a stuation brought about by a Conservative government adopting Socialist policies in an attempt to attract younger voters. It was entirely predictable (and predicted by many of us). It has not succeeded in its aim but made matters far worse for young adults who are rallying to Labour in droves since Starmer is promising to prevent buy-to-let landlords stopping them from getting their first home - thus perpetuating the myth that landlords are responsible for young people being imprisoned in sub-standard rentals on eye-wateringly high rents. Governments of all shades have failed to ensure the number of properties matches the growth in population and used landlords as a scapegoat for their own failed policies. Not surprisingly, landlords have responded rationally and generation rent are paying the price, while still under the illusion that it's all the fault of the greedy landlords. Basic economics: supply and demand; cause and effect.

Mr.A

12:05 PM, 28th September 2022, About 2 months ago

If the rental stock has gone down by a whopping 40% ,where have all the ex tenants gone ? .
Back to mum and dad or sleeping rough or sofa surfing ?
I think we have just seen the beginning of the Sell off ,as interest rates go up and new landlord's who are geared up to the eyeballs start to pay to keep tenants in a home.....
This could get very ugly.

Mark C

12:36 PM, 28th September 2022, About 2 months ago

I don't see it getting any better any time soon.
As Landlords sell up there are no new ones coming on board as the barrier to entry has become too much, stamp duty, mortgage rates, agent rates.. all crazy.
As interest rates rise so do interest on savings. When the savings get more than the property profit and house prices are falling there is little incentive to stay invested

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