Rent rises tail off as number of tenants continues to boom

The number of tenants experiencing rent rises dropped for the second month in a row, according to ARLA Propertymark.

The trade body's monthly survey of letting agents found that only 37% of respondents witnessed landlords increasing rent.

This figure is down from 40% in September and 48% in August. It is also 13% lower than the 50% recorded in October 2019.

The number of new prospective renters increased to 88 per letting agency branch in October - a record high, according to Propertymark.

Regionally, the West Midlands had the highest number of new tenants registered per branch at 173. The lowest was recorded in Scotland at 30 new prospective tenants per letting agency branch.

Meanwhile, the number of properties managed per letting agency branch rose from 193 in September to 213 in October. This figure is an all-time high for October, eclipsing the 201 record set last year.

The number of landlords selling buy-to-let properties dipped from five per agency branch in September down to four in October.

"As the UK experiences continued lockdown measures and regional restrictions, it is essential that tenancies are maintained to keep the rent flowing as the stability of the private rental sector is key to the economy’s bounce back from the impact of Covid-19," says Angela Davey, ARLA Propertymark president.

ARLA Propertymark's report is based on a survey of almost 300 of its letting agent members.