Demand For Rental Accommodation Is On The Up
It is often difficult to find optimism in the property or rental market, but there are certainly enough aspects to help professionals view the future with come confidence. At Villabela, we appreciate Landlords face many challenges in the present day, but there are various reports suggesting that the demand for rental accommodation is on the up, and we are here to help you see the positive side of being a Landlord.
In another article this month, we provided information from ARLA Propertymark. This suggested that in March of 2018, there was an average of 5 new prospective tenants at every branch across the country. This may not sound like a massive deal, but when you think about how many people were signing up for information regarding rental accommodation across the country, this should be viewed as a positive return.
Many people are resigned to renting for the rest of their life
There has also been a report from the Resolution Foundation which suggests that more than a third of youngsters are set to rent for the rest of their life. This may be viewed as a negative return for the property market, and there will be people with concerns about the social impact of this, but for professionals in the rental market, this is positive news.
The report stated that for people born in Great Britain between 1980 and 1996, more than 40% of people will be renting property when they reach 30 years old. There is a growing realisation that rental options are of huge importance to the British economy and life in general. By way of contrast, this return of over 40% is more than double the level of people of Generation X, born between 1965 and 1980, who were still renting when they reached 30 years old.
There has also been a significant increase in the number of families in the UK who rent from the private sector. With 1.8 million families renting property, this has tripled in the past 15 years.
Growing number of people choose to rent
While there will be many people who are renting because they cannot afford to buy or are struggling to obtain a mortgage, there is a growing number of tenants who rent because they prefer to do so. For some people and households, renting offers flexibility and the chance to manage their finances in a more productive manner.
While owning a home has been part of the pathway in life, times have changes. Owning property is important for some but not important for many others, and the ever-increasing array of options at people’s disposal means that buying your own home is no longer as essential to people, couples or families as it used to be.
This evolution of property mindset is of immense importance to the rental market and professionals working in the field. There are more opportunities for Landlords to achieve success in the market and if you are looking for help, come and speak with Villabela. We are rental market specialists in the North East and we look forward to assisting you.
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