A number of tenants are struggling with the burden of paying rent, Goodlord research indicates.
As it stands one in four tenants have missed rental payments, had to make alternative arrangements to pay their rent, or are concerned about paying their rent in the future.
Over a quarter of tenants (28%) believe their current income isn’t secure or are unsure about its security. Only 40% of renters “definitely agreed” that their income was secure.
People between 18-34 were showing the most financial strain.
Tom Mundy, chief operating officer at Goodlord, said: “The pandemic has been life-changing for a huge number of people. We are definitely seeing that more tenants are generally anxious about their finances.
“As a result, many letting agents and landlords are working closely with tenants who might be struggling to pay their rent; whether that’s through payment plans or other remedial measures.
“Both financial strain for renters and the overall impact of lockdown is translating into some macro shifts for the wider property market. Tenants are seeking new, often cheaper properties, in more rural or suburban areas.
“There’s been a significant rise in demand for new properties with gardens or proximity to nature as home working looks to become a long-term fixture and the need to be near urban centres diminishes. Overall, tenant behaviours are starting the shift on all fronts as a result of the pandemic.”
Some 55% of current renters still expect to be renting in five years’ time, with only 45% of tenants said that they expected to buy a property within this period.
This post has originally been featured in Property Wire.