12
Apr
Rental market is related to the economy
The rental market in the UK runs "contrary to the economy"
according to one expert, who said that when the economy is
performing badly, the private sector in rented homes will perform
much better.
Michael Banks, commercial director at Upad, said that people are
less willing to purchase a home when the economy does not look good
because of poor job security and prospects, leaving them in rented
homes.
"People are less willing to buy when there are question marks
[about jobs]. The rental market runs contrary to the economy
generally; the more uncertain the economy, the more buoyant the
rental market," he noted, which is good news in general for
landlords.
It was also announced this week that rental prices in central
London prime property have fallen by 0.1 per cent in March, adding
to the overall decrease of 0.8 per cent since October of 2011,
before which it had been performing well.