The private sector must expand

Commenting on today’s figures from the Royal Institution of Chartered Surveyors, Heron said: “The RICS figures echo what we have been saying for some time – the private rented sector has to expand to meet growing levels of tenant demand.

“With fewer owner-occupier mortgages available, limited resources in the social housing sector and wider social and demographic changes, such as a growing population, increasing net migration and rising numbers of single person households, we are entering the age of renting.

“Unless the private rented sector is able to meet this growth in demand, rental inflation is likely.

“Therefore a thriving and responsive private rented sector is vital socially and economically, and at the heart of this is the need for active and motivated private landlords to invest in and upgrade private rented property stock.

“Unfortunately, the buy-to-let market is still very focused on small scale landlords and is failing to serve the needs of professionals who require finance for more complex investments, such as multi-unit blocks and Houses in Multiple Occupation.

“Until this changes it is likely that we will continue to see supply failing to keep up with demand.”