Tenant demand in the north west lags behind rest of the country!
The gap between increases and decreases in tenant demand in the North West is narrower than elsewhere in the UK, according to research* carried out by the largest landlord association.
Twenty seven per cent of landlords in the North West saw an increase in tenant demand over the past three months – which is well below the UK average of 40 per cent – while 11 per cent of North West landlords say they witnessed a decline in demand over the past three months, which results in a net increase of just 16 per cent for the region – the lowest across the UK.
Yorkshire and Humber (23 per cent) and the North East and Wales (both 24 per cent), also experienced lower net increases to tenant demand.
At the other end of the scale, the East of England (47 per cent), and the South East and Outer London (both 38 per cent) witnessed the highest net increases in tenant demand.
The research also found that on average just six percent of landlords reported a decrease in tenant demand in the last three months. The highest proportion of landlords reporting a fall in tenant demand was in the North East with a 15 per cent decline, closely followed by 12 per cent in Wales and Yorkshire.
Carolyn Uphill, Chairman, NLA, said:
“These figures paint a mixed picture for the North West. While tenant demand is increasing overall in the region, it is lagging behind the rest of the UK.
“The gap between those reporting increases and decreases in tenant demand in the North West has narrowed over the past year. While we should be glad that the overall picture still reflects positive growth, we should watch this trend carefully.
“However, the Government’s plans to remove mortgage interest relief for landlords – announced in the Summer Budget – could have a huge impact on the market’s ability to meet rising demand, with as many as five per cent of landlords indicating their intention to sell up following the changes.
“This could affect as many as 600,000 tenancies across the UK ** so the projected impact will mean that renters who rely on the private rented homes will lose out as a dwindling stock drives up prices and competition for homes.”
