Private rental market valued at £ 1.4 billion under current market conditions

“The private rental market is the backbone of the UK housing sector and plays an extremely important role in providing housing for those who are unable to overcome the financial barriers associated with home ownership.”

The current value of bricks and mortar in the UK’s private rental sector stands at nearly £ 1.4 trillion, according to a new study from buy-to-let specialist Sequre Property Investment.

The company compiled data on the number of private dwellings currently rented in England, Wales, Scotland and Northern Ireland, before examining the total value of those rental portfolios based on current property values.

There are an estimated 5.5 million privately-rented homes across the UK, representing 19% of the overall property market. With the current UK average house price at £ 254,624, this brings the value of PRS bricks and mortar to £ 1.4 billion.

England is by far the largest private rental market with 4.8 million units in the area. This puts the total value of the UK rental market at £ 1.3bn based on the current average house price of £ 271,434.

London accounts for 40% of that total market value, with the capital’s 1,042,000 rental homes valued at nearly £ 519 billion alone.

The South East (£ 234bn) and East of England (£ 154bn) are also home to some of the most valuable rental markets, with rental stock in each region estimated at over £ 150bn. pound sterling.

Outside of England, Scotland is the second most valuable rental market for real estate, with 371,000 privately-let homes valued at nearly £ 64 billion on the market. market today.

In Wales this current rental market value stands at just under £ 38bn, with the private rental market in Northern Ireland valued at almost £ 18bn.

Sequre Property Investment Director of Sales Daniel Jackson commented: “The private rental market is the backbone of the UK housing sector and plays an extremely important role in providing housing for those who are unable to overcome the financial barriers associated with home ownership.

“Despite this, we have seen a number of legislative changes implemented to deter owners from the area by a government that clearly has no idea what they are doing.

“Although it represents maybe only 19% of the total market, the reduction in the size of the sector would make it very difficult to find another option when it comes to their living conditions. “

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