The proportion of landlords reporting increasing tenant demand has hit the highest level since 2016, research from Paragon Bank has found.
Just under 39% of landlords have seen increased tenant demand over the past three months, with 18.2% saying it has grown ‘significantly’ and a further 20.3% reporting slight increases.
The survey of over 750 landlords also showed a decline of 2% in the proportion of landlords reporting a fall in tenant demand compared to Q1 2021.
In addition, the proportion of landlords who are unsure about current levels of tenant demand also saw a small decline, decreasing 3%.
Yorkshire and The Humber saw the biggest rises after 65% of landlords reported increased tenant demand, 28% significantly and 37% slightly. This was closely followed by Wales and the South West where a net increase in tenant demand over the past three months was reported by 64% and 63% of landlords respectively.
Moray Hulme (pictured), director of mortgage sales at Paragon Bank, said: “It’s great to see that tenant demand reported by landlords to hit the highest level since 2016.
“Quarter two of 2020 was a time of real uncertainty and this was reflected in the record low levels of demand that landlords saw.
“Demand bounced back the following quarter and has been rising ever since. This highlights resilience of the private rented sector and suggests that a growing number of people have turned to it at a time when the stability of a good quality home is ever important.”