Over the past year there has been a strong demand for rental properties across the UK. This paired with the shortage of rental properties available means that there has been increase in rental values for tenants.

This continued success of the private rented sector and the low supply of rental homes has enabled landlords to secure higher rent. This in-turn, highlights the lowest recorded month since records began for tenants negotiating rent price.

According to Zoopla, all local authorities’ rents grew by 1.5% or more from February 2020 to February 2021, with the average rent in South Wales increasing by 3.8% from March 2020 to March 2021.

The recent data and trends suggest that this strong rental growth has been fuelled by a lack of stock, with 300,000 fewer rental properties coming onto the market since the beginning of the COVID-19 pandemic, almost a third of what was available during the previous 12 months. Alongside this, the number of properties that are being managed by letting agents has also dropped, and with a higher than ever recorded number of tenants in the market, rental growth is likely to continue in the coming months, as there is a demand in excess of supply.

Alison Jarman, director of Smooth Moves Lettings & Property Agency commented, “Strong price growth and a high number of property sales have characterised the Welsh housing market in recent months, with the pandemic coming to an end, and the recovery of the new housing developments in Wales means many renters will be looking to move, resulting in below usual levels and a limited future supply of rental properties.”

Landlords, for the latest property industry updates and more information about our professional property management services please phone 01633 401070 or email smooth@smoothmoveagents.co.uk