Demand for rental property is nearly four times higher than just before the start of the pandemic, latest research reveals.
Mortgage lender Paragon says 62% of landlords polled by research agency BVA BDRC on its behalf reported increasing tenant demand in recent months.
This is compared to just 16% during the first three months of 2020 just before the first Covid lockdown.
Some 700 landlords advertising properties to rent were asked to assess tenant demand over the previous three months and a ‘significant increase’ was seen by 34% of respondents, with a further 28% reporting some increases.
Perceived decreases in tenant demand, both significant and slight, were recorded by just 3% of landlords, the lowest on record.
The rental markets seeing the greatest increases include within inner London where 84% of landlords operating in the inner capital along with the South West of England and Wales.
Moray Hulme, (pictured) Mortgage Sales Director for Paragon Bank says: “Another record high in the proportion of landlords reporting increasing tenant demand reaffirms the need to increase the supply of homes in the private rented sector.
“There is evidence of landlords exiting the sector with many citing increasing tax and regulatory requirements making their lettings business more arduous to operate.
“While it is clearly important that landlords are taxed appropriately and the sector is regulated to ensure high standards are maintained, we must ensure that buy-to-let remains attractive enough to investors who are vital in supplying the properties needed to meet demand.”