Number of UK renters up by a quarter in 2011

The number of people renting a
property in the UK rose by a quarter in 2011 as the continued difficulties in
obtaining finance drove increasing numbers into rented accommodation.

New figures from a leading estate
agency found that applications by new tenants reached 275,000 in 2011, up
almost 25 per cent on 2011.

UK in the middle of a ‘rental boom’

The Financial Times reports that ‘the increase in renting underscores
the difficulties facing many homebuyers, who have suffered from an insipid
mortgage market characterised by prohibitively high deposit requirements and an
aversion to risk on the part of the banks.’

Nick Dunning from the estate
agent that commissioned the research said: “We are in the midst of a rental
boom as renting has become the new norm.

“With a record number of tenants
entering the private rental sector, there is a vast shortage of properties
available in all areas of the UK, which could potentially fuel a steady rise in
rent prices throughout 2012.”

Vital for potential tenants to move quickly

The figures show that couples
under the age of 35 made up the largest proportion of new tenants during
2011.  There are also a growing
number of families moving into rented accommodation.

According to Savills, private
sector landlords now account for almost one in five of the country’s
residential property. 
Simultaneously, the value of properties occupied by owners has fallen 2
per cent.

 The Little House Company, believes it is also more important than ever for
potential tenants to regularly check for properties online.  He said: “The average time it takes for
a property to be rented also fell sharply in 2011 and it is now just 13.6 days.

“If you’re looking to rent a property it’s therefore vital
that you check websites such as ours on a regular basis otherwise you’re likely
to miss out in the hunt for the best homes.”