Long term rental demand on the rise

11 2008
The number of homes being let on a long-term basis rose significantly over 2007 as market forces altered tenant demographics, it has been reported.

As house prices continue to rise, families are being priced out of the property market and are therefore opting to move into the rental sector, according to the website easier.com.

In particular, many tenants wanted a family home on a long-term lease as it would allow them to stay in one location during the crucial years of their family's education.

"Another group of tenants was those who wanted to realise their capital to put it into a business or school fees but still wanted to live in a substantial house," the website added.

Properties available for let for periods of between three and five years are often leased by private rural estates or charitable trusts which use the income to fund the maintenance of historic buildings on the same estate.

The report concluded that, with prices on the sales market looking unlikely to rise in 2008, many people will not look to buy again for the foreseeable future, "so it would seem likely that the long term rental market will grow further in the months to come."ADNFCR-1219-ID-18462164-ADNFCR

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