Rising rents are forcing people onto the property ladder and preventing the property market from collapsing, says a leading estate agent.
While some property commentators predicted a collapse of the property market at the start of the year, this has not happened.
Dominic Agace, of M Winkworth estate agency believes this is due to the severe shortage of rental homes and the rising cost of renting.
Although affordability issues and higher interest rates may be off putting to would-be buyers, rapidly rising rents and lack of rental properties are creating demand amongst those who want certainty and the chance to be in control of their housing.
Residential rents at their highest since records began
Residential rents in March 2023 were 4.9 per cent higher than they were in the previous 12 months and are now, according to the Office of National Statistics, at the highest level on record.
Agace said: [The market] “continues to be supported by the shortage and high cost of rental property, pent-up savings post-pandemic, a strong employment market and private sector wage inflation.”
Statistics taken from home.co.uk show that the average rent in Southport is £1056 pcm.
According to Rightmove, the average price of a property in Southport is £245,953. With a median average of £184,000 homes in Southport are still affordable making a property purchase preferable to renting.
Buying after renting
While some play the property market to make money, most people are looking for a comfortable, affordable place to make their own; secure in the knowledge that, if they buy not rent, they will not be forced to move out of their home on the whim of a landlord.
If you are ready to move out of your rental home and into your own home, contact Breens Solicitors Southport to get an no obligation quote for conveyancing. Contact Debbie on 01704 532890.