Tenancies for families ‘are getting longer’
An article written by Graham Norwood, for Letting Agent Today, explains that the RLA says new government figures show that the average length of residence in family-sized rental units is growing, a trend often linked to the need to keep a stable address for households with school-age children.
According to the English Housing Survey for 2014-15, over the past 10 years the proportion of private rented households with dependent children has increased from 30 per cent in 2004-05 to 37 per cent in 2014-15.
Related to this is the trend for the average length of residence for private sector tenants in their homes increasing to four years – just 12 months ago the average was 3.5 years. The survey notes that those living in private rented housing for a longer period generally paid less rent.
Now the RLA says it wants government to remove barriers to longer term tenancies, including restrictions imposed on landlords by lenders and by freeholders of leases.
“More can be done to help landlords offer longer term tenancies without the need for compulsory three or five year tenancies. We are calling on the government to use the Housing and Planning Bill to remove barriers preventing landlords from offering longer tenancies, including mortgage and leasehold conditions that may prevent this” says RLA chairman Alan Ward.
Joe Hall, Fenn Wright’s head of business development, residential lettings, says: “Our experience of the market in Suffolk and Essex supports the findings of this most recent research by the government and there is definitely a need for the private rented sector to supply homes suitable for growing families.
All of our branches are seeing the demand for larger, family-sized accommodation increase. And the security of longer term tenancies in becoming more and more important to tenants – especially those with children.”
Any landlords who need further insights about the rental property market, may contact the lettings manager at their nearest Fenn Wright branch. They will be happy to discuss long term projections for the lettings market in the local area.