The property rental market in the UK in the last few years has gone from strength to strength as activity now soars 22% above June 2012. It is also important to note that supply of rented homes was significantly boosted by improved Buy to Let mortgage availability (37.242 mortgages were approved in May 2013 from a low of 31.000/month approved in 2009).
New tenancies agreed have increased 22% annually in the UK and 20% in London, according to the latest data from leading letting agents.
The figures also show that UK tenant demand has grown at an average rate of 17% annually as would be buyers remain priced out of the property sales market.
The number of new properties available to rent has risen by 29% annually compared with the previous data as new landlords continue to come into the B to L market. In London, properties available to rent have increased by 13% annually.
This is good news obviously and one will need to view the property market as a whole and will need to consider the impact that governmental decisions and actions (Funding for Lending) will have on the market, especially after 1.1.14. It is evident that sales will grow further with confidence coming back into the market, especially the financing sector. Expect capital growth of all properties all over the UK and especially London which eventually will see rental growth diminishing slightly.
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