The imbalance between supply and demand in the rental market persists, according to the latest data from letting agents' trade body Propertymark. Their market snapshot, using May data and released this week, shows that an average of eight applicants are now competing for every available rental property.
While the average number of new tenancies agreed per member branch was 8.36, the number of properties available for rent at member branches saw a slight decrease to 12.09. Concurrently, the average number of tenant registrations per member branch increased significantly to 98.
Nathan Emerson, Propertymark's chief executive, stated that the "long-standing imbalance between supply and demand remains firmly in place." He also noted that "ongoing legislative change and continued pressure on landlords risk limiting future investment in the private rented sector at a time when more homes are urgently needed."
Phil Spencer, founder of Move iQ, commented that with around 12 properties available per letting branch and demand continuing to outstrip supply, "securing a suitable home remains challenging." He added that while rent increases appear to be stabilising in many areas, the underlying shortage means tenants face limited choice and strong competition.
In the sales market, Propertymark's data revealed that the average member branch agreed eight sales in May, consistent with April. The number of available properties increased marginally to 44, but new prospective buyer registrations dropped to 64 per branch. Most agents, 84%, reported properties selling below their asking price, with only 11% achieving the asking price.