17th
Aug 2021
Latest research from a property investment consultancy highlights which areas in England, that will no doubt appeal to BTL investors, as having the lowest housing rental stock availability.
Further analysis of each region’s number of PRS homes and compared against how many rental listings in the same area, the investment consultancy’s research uncovers the prime areas for landlords where there is the most need for more rental homes and thus the best opportunity for buy to let investors.
Throughout England there are around 4.7m PRS ‘residences’ and only approximately 3.6 percent - 168,634 - are advertising available tenancies.
When studying the country’s regions separately, figures imply that there are in all probability some areas with lower numbers of available rental housing stock and a much higher demand when compared against the overall size of the PRS market.
The South West has around 520,000 private rental homes with only 7,802 of the properties being available for new tenancies which equates to a paltry 1.5 per cent of rental housing stock.
However the investment consultancy claims that the North of England offers the best opportunities for BTL investors as having the next three lowest percentage of properties available to rent.
The North West has only 2.2 per cent of private rental properties currently on the market.
The North East has just a 2.4 per cent availability in PRS properties available to rent and Yorkshire and the Humber fractionally higher with 2.5 per cent.
Across the East and West Midlands the availability of rentable homes is only around 3 per cent and the East of England is the same.
The South East has 3.7 per percent of PRS properties available to rent however London has twice the amount with 7.2 per cent.
Sales director of the property development consultancy Daniel Jackson, says: “So much attention is given to the sales market, not least in the wake of Covid-19, but the rental market remains far more relevant for many millions of people in this country.
“These people need homes - good quality, secure homes - and yet the buy-to-let industry has come under attack from a government that has a vision of England where everybody owns and nobody rents.
“But this isn’t a vision that most people share and so, despite the government’s best efforts, choosing to invest in a region with a lack of available rental properties on the market means you have a great chance of securing reliable, long-term tenancies in high-demand markets.”
Region
|
Private Rent Stock 2019
|
Rental Listings (all inc let agreed)
|
Current Listings as % of private rental stock
|
London
|
963794
|
69329
|
7.2%
|
South East
|
728927
|
69329
|
3.7%
|
East
|
451828
|
14896
|
3.3%
|
East Midlands
|
231539
|
7448
|
3.2%
|
West Midlands
|
546579
|
16709
|
3.1%
|
Yorkshire & Humber
|
553477
|
13980
|
2.5%
|
North East
|
180174
|
4276
|
2.4%
|
North West
|
529169
|
11811
|
2.2%
|
South West
|
520078
|
7802
|
1.5%
|
Sources
|
Gov.uk-Estimate of dwellings by tenure
|
Rightmove (29/07/21)
|
Rental listings/ dwellings stock |
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