An analyst and editor of a property website warns the latest Bank of England report indicates a slight deterioration in the personal financial circumstances of renters and lower-income households, with an increase in rent arrears.

As well as these issues there are the significant challenges faced by landlords in the southern half of England, as highlighted in the portals latest housing market snapshot, making the outlook particularly difficult. Along with these issues are the significant challenges faced by landlords in the southern half of England, as highlighted in the portal’s latest housing market snapshot, making the outlook particularly difficult.

The portal’s data reveals that annual rental growth across England and Wales is a modest 0.8%. However, this average conceals significant regional disparities, in some northern areas rental growth has reached double digits, while in London, typical rents have decreased by 1.9% over the past year.

Notably, in the City of London and Hackney rents have dropped by more than 9% over the same period.

In other parts of its market report, which presents a rather bleak but accurate depiction of the current state for landlords, it's highlighted that the sales market is impacted by the sell-off of buy-to-let properties.

The report on the website says: “Whilst expectations of lower interest rates going forward have buoyed confidence in the [sales] market, fears of increased taxation and restrictive legislation persist, especially among landlords. Consequently, we expect landlords to continue to offload their least profitable properties, thereby adding to sales supply but reducing rental property availability.

The forthcoming hike in stamp duty for first-time buyers (31st March 2025) is likely to cause a burst of buyer activity over the next quarter. Consequently, prices look set to rise at least until this deadline.