There is a rise in the number of landlords selling up, this is due to a shortage of tenants from high rents.

The number of tenants negotiating rents has also increased.

In March 2017, the average number of buy-to-lets that sold up per agency is 4. In February it was 3.

Rental demand is increasing whilst periods of vacancy is to. This highlights that rents are too high, but not for us.

The average home price in London has reached £455,230. Such value has resulted in young people struggling to buy and ultimately having to rent in the Capital.  Londoners are on average spending two thirds of their income on rent which is resulting in loss of key workers via being priced out. 

“Far too many people in Britain are struggling to make ends meet because of the unbearably high cost of renting” (Guardian, 2016)

Below is a chart showing in size, the difference in value of the Uk residential sector.

Housing of Multiple Occupancy or HMO is becoming London’s most exciting and profitable way of investing directly in property. Alongside the financial struggles of a first time buyer and a shift in the way people want to live, co-inhabiting space is hitting the mainstream of London’s rental market.

Build to rent contributes massively to supply, given its high density. 

The key benefit of build to rent is to accelerate delivery of housing. This makes significant contribution to the UK’s housing supply by offering mid-market pricing, ultimately meeting the local housing need. A 1000-unit development which usually will take ten years to complete and sell on a phased basis, the rental model of build to rent is estimated to take only four years. 

The benefits that the build to rent sector has will affect local authorities, developers and investors, as well as those looking for a safe, good quality home to save for their deposit. 

 Local authorities should use their discretion in the planning system to plan for and enable developments of privately rented homes, where local needs can be really met. Build to rent offers the control of tenures, from open market and affordable and social rents. The scheme can ensure local housing targets are being met and not lost in the buy-to-let market volatility.