Lettings company Hamptons says there’s been “an unprecedented fall” within the quantity of rental properties in the marketplace, resulting in double-digit lease rises prior to now 12 months.
There had been 45 per cent fewer properties accessible to let in April 2021 than in April 2019, with half of areas throughout Britain recording falls of 50 per cent or extra.
The South West topped the inventory scarcity league with 62 per cent fewer properties to lease than on the identical time in 2019.
London recorded the smallest fall of 20 per cent, whereas rental inventory in cities typically was down 24 per cent over the identical interval.
Unsurprisingly, Hamptons says that is triggering sharp lease rises as a result of demand so closely outstrips provide.
Rents throughout Great Britain rents rose 5.9 per cent yearly in April, the quickest fee since January 2015.
Growth stays pushed by areas past London, with rents outdoors the capital up an enormous 10.4 per cent on this time in 2020.
This is the primary time since Hamptons’ index started in 2012 that common progress charges outdoors of London have hit double digits, partly pushed by the drop in rents in April 2020 – they down 2.2 per cent this time final 12 months.
Taking that fall into consideration, over the past 24 months rents are up 8.0 per cent outdoors London.
As with inventory scarcity, the South West noticed sooner rental progress than wherever else within the nation, with costs up 11.3 per cent on the identical time final 12 months. Rental progress within the South East additionally surpassed 10.0 per cent.
Aneisha Beveridge, head of analysis at Hamptons, says: “The longer-time period influence of fewer rental properties is driving rental progress now, with rents rising six instances sooner than inflation.
“Tenants face half the selection they’d two years in the past and every new instruction has introduced a deluge of enquiries inside hours of properties going onto the market.
“While the present stamp obligation vacation has boosted investor purchases slightly, we’re but to see these circulate into new directions and enhance alternative for tenants.”