There’s a new driver in the lettings market – the need for a flexible location and property type.
Market consultancy TwentyCi says demand for this kind of property – where a home is suitable for working and living, and may be tenanted by a house seller waiting to buy – has now taken over from the previous driver, the location with a shorter commute.
The consultancy says that over the first quarter of 2021 the average rental asking price across the UK in Q1 2021 was £1,331 per month, a fall of two per cent.
All areas except London have seen a drop in supply.
The South West has recorded a fall of 19 per cent in stock year-on-year, whilst in comparison Inner London has seen rental volumes soar by 35 per cent.
TwentyCi also says the market share of hybrid and online agents has remained at eight per cent. This figure – covering rental and sales markets – has now remained stable for two years.
Despite an initial surge in penetration during the first lockdown in spring 2020 agents were closed, hybrid/online penetration did not increase during later lockdowns and restrictions.
However, the sector has seen an improved level of penetration into properties of greater value, a trend that was observed throughout 2020.
This post has originally been featured in Letting Agent Today.