Wrexham was the busiest rental market in the UK this year, attracting an average of 56 prospective tenant enquiries per property, research reveals.
This is an increase from eight rental enquiries per property in 2019 – equal to 55th position in the current rankings – according to Rightmove figures.
Rightmove said the number of tenants enquiring about each available rental property has grown significantly over the past few years due to the mismatch between supply and demand.
Feedback from local letting agents suggested the stock shortage has been aggravated by landlords selling at the peak of the pandemic and renters staying in properties for longer.
Redbridge in London took the second spot on the list with an average of 49 enquiries per available rental property, up from 11 in 2019.
Meanwhile, Tameside in Greater Manchester came third with an average of 48 enquiries, an increase from 14 in 2019.
Overall in Great Britain, the typical rental home on the market received an average of 20 enquiries per property this year, a rise from six in 2019.
Rental market will improve next year
Rightmove said there were signs that the balance between supply and demand will improve next year.
The number of properties to rent has gone up by 11% compared to the same period this year.
At the same time, the number of renters looking for a home and sending enquiries to estate agents is down 12% on last year’s figures.
However, while the gap between supply and demand is improving, tenant demand is 42% higher than this time in 2019, with the number of available rental properties also 28% lower.
Rightmove added that the “early signs of improvement” suggest that the average rise in advertised rents would be lower next year compared to the last few years.
In the past year, newly advertised rents have gone up by around 10% inside London and 6% outside the capital.
The property website forecast a 5% rent increase by the end of 2024 outside of London and a 3% increase in London.
‘More renters than homes available’
Rightmove’s property expert, Tim Bannister, said: “The balance between supply and demand has been slowly improving this year, and while it will likely be a long time yet before we reach the more normal market levels of 2019, the early signs of improvement are promising heading into 2024.
“The increase in available homes for rents we’re seeing is likely to be a combination of some longer-term leases agreed during the pandemic years coming to an end, some new developments across the country being converted into rental homes, some landlords choosing to sell up, and also other landlords now returning who temporarily switched to the short-let market.”
He added: “There are still far more renters looking to move than there are homes available which means we still expect rents to rise on average next year. But these early signs of a better balance of supply and demand means we predict rents will rise by a smaller figure of 5% next year, rather than another year of double-digit rental growth.”
