Continued lack of supply will push up rents throughout 2019

Continued lack of supply will push up rents throughout 2019

New data from Rightmove is providing an insight into how landlords have reacted to the various UK government clampdowns on buy-to-let. Here are some of the key findings:

  • Figures between October and December 2018 on Rightmove’s portal has revealed that rental listings in London are down 22% annually and have fallen to 10% outside of the capital.
  • The lack of supply has resulted in rents going up by 2.7% annually.
  • Rent rises have been steeper in London, with average rents reaching an all-time high of £2,034 per month, up 5.4% annually.
  • Rightmove have forecasted that rents will rise by 4% in London during 2019 and by 3% outside of the capital.

Commenting on the figures, Miles Shipside, Commercial Director for Rightmove, said: “When the Government introduced higher Stamp Duty on second home purchases back in 2016, it deterred many landlords from investing in the buy-to-let market, which in turn has exacerbated this ongoing dearth of available properties, and we’re yet to see any significant boost in stock from the many build-to-rent programmes.”

Lack of supply will continue to be an issue throughout 2019, so we can expect rents to bear the brunt of this.