lettings market

Number of rentals to outstrip sales for first time in 80 years, says Countrywide Lettings Index

The number of homes rented next year will outstrip the number sold if current trends continue, says Johnny Morris, research director at Countrywide (pictured, below). His prediction is made within the Countrywide Lettings Index, published today, which also highlights increasing rents in the north but slowing growth in the south. “A different type of two speed rental market is emerging, with falling stock and growing demand driving rental growth in many Northern cities at a higher rate than those in the South,” he says. The Countrywide Lettings Index also reveals that rents in Manchester are rising the fastest at 7.1%, three times faster than the average. York, Leeds, Liverpool and Glasgow are the other cities in the high growth ‘top five’ while the slowest growth cities – where many landlords are cutting back rents – include Cambridge and Oxford. Overall Countrywide says rental growth has slowed across the UK over the past 12 months from 2.8% to 2.2% as rent rises have slowed in eight of the UK’s eleven regions (see list, below). Agents will be cheered by Countryside’s activity figures, nevertheless. Morris says September saw “record activity with increasing numbers of lets agreed and tenants choosing to renew their contracts,”…