A new rental market study shows the average number of enquiries sent to agents about each available property they have to rent, is still nearly double the level it was in pre-pandemic 2019.
According to property portal Rightmove, each available rental home receives an average of 11 enquiries, nearly double the six at this time in 2019.
The winter is typically one of the quieter periods for the market – for context, earlier this year in the summer, agents were receiving 19 enquiries per property.
The high volume of enquiries agents are still receiving compared with pre-pandemic norms highlights why many agents report that both they and prospective tenants are still experiencing a very busy rental market, despite improvements in the balance of supply and demand this year.
The number of available properties has improved by seven per cent compared with this time last year, while the number of prospective tenants looking to move has dropped by 19 per cent compared to last year.
This improvement in the balance of supply and demand has contributed to a slowing in the pace of rent growth compared with last year.
The latest snapshot of the market shows that average rents outside of London are now £1,339 per calendar month, 4.5 per cent above this time last year, the slowest rate of annual rent growth since 2021, while rents are two per cent above last year in London.
Rightmove predicts that average newly advertised rents will rise by three per cent both inside and outside London, by the end of 2025.
Tim Bannister, Rightmove’s property expert, said: “There are two competing factors influencing rental price changes right now.
“The ongoing imbalance between supply and demand is putting upwards pressure on prices.
“On the other hand, rent rises outpacing wage growth over the past five years has stretched affordability to extreme levels, and is showing in the increasing number of price reductions.
“While at a top level, we’ve seen overall improvements in the balance between supply and demand, agents tell us they are still extremely busy and having to manage high volumes of tenant enquiries.
“We’re therefore likely to see a more normal figure of around three per cent growth in newly advertised rents next year.”
