Worrying slump in UK property rental market says Home.co.uk
Press release yesterday 21st June 2017 from Home.co.uk headlined ‘Alarming Decline in Homes for Rent’.
The UK property rental market has seen a worrying slump of 11.6% in available stock over the last six years, according to new figures released by Home.co.uk. In some areas the fall is much more dramatic and can only compound people’s housing woes.
Scotland has seen the most dramatic fall, with a 34.7% decrease in available properties to rent between July 2011 and June 2017. In Wales over the same period there has been a fall of 28.1% while the South West has seen a decline of 26.5%.
Home.co.uk director Doug Shephard said: “It is ironic that the government’s justification for tax changes in the PRS was to ‘level the playing field’ for wannabe homeowners. The result of this barrage of red tape and taxation, at both local and national government levels, has meant that the supply of rental properties has fallen behind demand in most regions thereby driving up rents. Of course, it’s not the first time that government tinkering and tax grabs have backfired but the upshot for Generation Rent is appalling.
The ‘elephant in the room’ for the government is that record low mortgage interest rates have driven unprecedented investment in the PRS over recent years. Simply put, those already with significant home equity have been able to come up with deposits for properties intended to let whilst aspiring homeowners are as cash-strapped as ever as they pay out huge sums in rent. However, ultra-low interest rates and the associated pain for renters look set to persist for the foreseeable future.”
Read the press release from Home.co.uk in full click here.