A survey of almost 700 landlords in the UK has found that 67% of landlords have experienced an increase in tenant demand throughout the first quarter of the year – a new all-time high having increased from the previous record of 65% reported in quarter four of last year.
Over two thirds of landlords have reported an increase in tenant demand throughout the first quarter of the year according to a survey recently conducted by lender Paragon Bank, a new all-time record after beating out the previous record by an additional 2%, with the number of landlords who experienced a “significant” increase rising from 39% last year to 44% this year. This increase is also the highest increase in demand since the research agency, BVA BDRC began tracking the metric in 2011.
The record-high levels of tenant demand in the UK rental market are nothing new, having previously set the former all-time record in quarter four last year as the country continues to fall short of its targeted contributions to housing each year. In response to the rising demand for rented properties in the UK, rents have also increased, with 85% of landlords reporting that rents were rising in the areas that they own properties, and 52% of those surveyed stating that they plan to raise their rents across their property portfolio over the next six months by an average of 8.2%.
“The fact that we’ve seen another high in the proportion of landlords who have told us that they’ve experienced an increase in tenant demand reinforces what I’ve said previously; put simply, we need more private rented sector homes, not less.” Richard Rowntree, Managing Director of Mortgages for Paragon Bank.‘‘
At Beech Holdings, our in-house lettings team, Manchester Apartments, have experienced a dramatic increase in tenant demand over the last six months, with our portfolio now currently 60% let for this year, compared to just 27% at this time last year, despite an increase of 400 units added to our portfolio.
Nowhere has the increase in tenant demand for our rental properties been higher than in the Salford Quays area, where we have consistently maintained a 100% occupancy rate in our buildings and even seen a renewal rate of 52% in our popular Brookland House development.
The significant increase in demand our in-house lettings team have experienced has informed our tenant-centric approach to development and allowed us to develop a brand-new residential offering for the modern rental market in an area of high demand.
City Co-Living MediaCity will see the area of Salford Quays receive an additional 120 apartments with a wide range of on-site amenities and facilities for residents to use as they please, including but not limited to, a rooftop terrace overlooking MediaCityUK, a residents’ lounge and co-workspaces with bookable meeting pods, a state-of-the-art gym and fitness studio, and even private bookable dining rooms for residents to entertain their guests outside of their apartment.
Taking the decades-old concept of co-living and revitalising it for the modern day, City Co-Living MediaCity will provide its residents with private, self-contained apartments that include all facilities expected, with the addition of communal spaces and a regular social calendar for them to utilise and enjoy throughout their tenancy – designed to bring community and living together and combat the loneliness epidemic amongst young people in the UK.
To learn more about City Co-Living MediaCity and how you can invest at off-plan prices before they increase, get in touch with our expert team of property consultants or contact them directly on +44 (0) 161 791 4600 today.