According to recent research, 20% of UK households will be living in rental accomodation by 2016. The report also revealed that an extra 1.1 million rental homes will need to be provided to fulfill this demand.
This news will come as little surprise to many who have been part of the gradual shift from home-ownershp to renting in recent years. A combination of affordability constraints, and a desire to live a more flexible lifestyle in central urban areas, has meant that many individuals are now renting property for the foreseeable future, rather than looking to buy a home of their own.
This is good news for buy to let landlords and individuals who are keen to invest in rental property. The research estimates that around £48billion was paid in rent to private landlords in 2011. In 2016 this is estimated to rise to £70billion.
Landlords looking to expand and grow their portfolios should work with agents who are not only able to help them source tenants but also alert them when properties suitable for rent come up for sale.
There is a huge opportunity for canny investors to capitalise on the ever increasing rental demand in the UK and those wishing to get a foothold on future opportunities should start to discuss their strategy with their agent soon.