The supply of homes available to rent across England has increased sharply over the past year, defying expectations that higher taxes and regulatory change would prompt a widespread withdrawal by landlords.
Analysis by the property data firm Dwelly shows that rental listings were 15.3% higher this December than a year earlier, rising from 123,669 to 142,644 homes.
The findings come after a year marked by uncertainty over the Renters’ Rights Act and a further 2% tax increase announced in last week’s Autumn Budget.
Dwelly assessed rental listings across every county in England, comparing availability in December last year with current levels to track how supply has shifted over the past 12 months.
STABILISING MARKET
The data indicates that rental stock has increased across most of the country, suggesting a market that is stabilising rather than contracting.
Only three areas recorded a fall in available rental homes over the period. Shropshire saw a decline of 3.3%, East Riding of Yorkshire fell by 4.7%, while the City of London experienced a much sharper drop of 28.5%.
In contrast, several counties recorded substantial growth in rental supply. East Sussex saw the largest increase, with listings up 44.8% year on year, followed by Northamptonshire at 42.7%, West Sussex at 37.7%, the Isle of Wight at 36.1% and Cumbria at 33.6%. A further 21 counties recorded increases of more than 20%.
TURBULENT YEAR
Sam Humphreys (main picture, inset), Head of Mergers and Acquisitions at Dwelly, says: “It’s been an exceptionally turbulent year for landlords, so the assumption might be that rental stock would fall as investors rethink their position. Instead, our analysis shows quite the opposite.
“There has been no knee-jerk withdrawal of homes from the sector and, in fact, renters today have more choice than they did this time last year.
“This increase in available stock is a positive sign for tenants and a reminder that, despite the challenges introduced by the government, many landlords remain committed to the sector.”
