Where does property rental in the UK stand today?

Posted under General by Michael

The present market situation has become a great topic for discussion. In last 5 to 10 years the property prices have gone up dramatically in the UK. The pace has now slowed down dramatically.

There are a number of first time buyers who are not in a position to afford a property for various reasons. There has been an increase in personal debt. This debt might be arising out of credit card, personal loans or student loans. All these factors have contributed to the decline in purchasing power of the people. The hike in property prices, way above the rate of employment, have left majority of people in position unable to afford a property. Yet, the better property on the market in terms of location gets filled easily.

There are a large number of people who are still staying in rented accommodation for years. This is a positive factor for the rental market. The rising inflation and interest rates have made purchasing a property all the more difficult. This is the reason why there has been an increase in the number of property rentals in UK. The trend is likely to continue until the property market stabilise.