Editor's note: This brief was summarised by The Property AI Team from a report by Property118. Read the original article for full details.
Rents Tipped to Rise as Tenant Demand Grows – RICS
Landlords are facing rising tenant demand, with surveyors expecting rents to increase over the next three months, according to the Royal Institution of Chartered Surveyors (RICS). The RICS September survey found a net balance of +23% of respondents reporting increased tenant demand.
The measure accelerated for the third consecutive month, while the balance of landlord instructions remained firmly negative.
What the survey shows
The headline findings from the RICS September survey, as reported by Property118, are:
- A net balance of +23% of respondents reported increased tenant demand.
- That measure accelerated for the third consecutive month.
- The balance of landlord instructions remained firmly negative.
- Surveyors expect rents to increase over the next three months.
Why it matters for letting agents and inventory clerks
For letting agents, growing tenant demand combined with a firmly negative balance of landlord instructions points to continued pressure on the supply of rental stock. Where demand is rising while instructions remain negative, competition for available properties can be expected to remain a feature of the market.
For inventory clerks, the expectation of further rent increases over the coming three months is relevant to the volume and pace of tenancy turnover, check-ins and check-outs. A market in which rents are tipped to rise is one in which landlords and tenants alike may have a keener interest in the condition and contents of a property at the start and end of a tenancy.
Source: Property118