Rapid fall in UK rental properties means rents set to rise, making flatfair’s mission more timely than ever

Figures released in a report this month show that the number properties available to rent in the private rented sector in the UK is plummeting, and quickly – especially in greater London. As a result of this fall, rents could rise more sharply, and more rapidly, than previously predicted.

The number of homes available to rent in the London area that have been on the market for up to 20 weeks fell by a significant 24% over the last year, from 52,388 in August 2017 to 39,746 this August according to Home.co.uk’s report. It’s a trend that’s being seen across the UK with a drop from 233,453 to 223,115 homes that have been available to rent for 20 weeks or more.

It seems that recent legislation and new taxation measures imposed on the rental market is dissuading landlords from holding on to properties to rent, as well as investing in new ones. As a result, renting is likely to get even more expensive, and more quickly.

“Basic economics tells us that when supply falls, prices must rise. In the case of London, it looks like rents will increase quickly,” says director Doug Shephard. This then means that the burden of an upfront deposit on tenants weighs even more heavily, especially if it is the equivalent of six or eight weeks’ worth of rent.

By replacing the traditional tenancy deposit with a one-off membership fee of one week’s rent plus VAT, split evenly across the household, flatfair is working to make renting more affordable and transparent for tenants. At the same time, it also affords landlords more protection than a standard tenancy deposit provides.

“The UK rental market is broken,” explains Daniel Jeczmien, flatfair founder and COO. “We founded flatfair to disrupt the current system for the better, making renting more accessible to tenants and safer for landlords.” In light of this latest report, it’s clear that flatfair’s mission has never been more timely.