Rental property supply still lacking

The demand for rental property remains higher than the current supply, according to the Royal Institution of Chartered Surveyors (RICS).

Their recently published Residential Lettings Survey, July 2011, shows that in the three months to July, demand for rental property continues to outpace supply.

Due to continued interest, rents also increased during the period, potentially tempting property buyers to consider becoming buy-to-let landlords. Of those surveyors polled, 34 per cent more reported rent rises rather than falls. The survey also suggested that rent increases were also likely in the coming months.
Those looking to sell their homes fast will be disappointed to hear that would-be buyers are still being put off making home purchases by difficulty to find a mortgage, with first-time buyers in particular struggling to meet deposit requirements.

Demand for rental property is so great, the RICS survey reports that more tenants than ever are seeking assistance from the government and turning to social lettings with. social lettings now at their highest level since the series began in 1999, at 13 per cent of all new lets.
Nevertheless, private renters continue to make up the majority of lettings, at 66 per cent.