According to an ARLA survey of its member branches, the number of prospective tenants registered per branch has recovered from the post-referendum dip, now standing at an average of 37.
Although tenant demand was shown to have decreased slightly year-on-year in the first quarter of 2016, it is actually now higher, post-referendum, than in August 2015. However, the average number of properties managed by each branch has fallen from 184 in July to 183 in August; but this is still 3% higher than the same time last year, where the average number of managed properties was 178.
The survey also revealed that more tenants are negotiating rent reductions. The figures show that 3% of tenants secured a cheaper rent last month, compared to 2.1% in July. This the highest level ARLA have seen since they began recording it at the start of last year.
Over half (51%) of members reported signs of uncertainty amongst both those looking for property to let and those looking to let a property following the referendum, but this didn’t seem to manifest itself in any tangible way. Rent rises were reported by 12%, decreases by 11%, while 72% said rents remained unchanged. Similarly with supply, 16% reported an increase, 17% a decrease, and 67% no change.
The findings suggest that the impact of Brexit on the rental market has been minimal to non-existent, despite the widespread uncertainty both before and after the referendum. David Cox, managing director of ARLA, said: “Although Brexit painted a temporary picture of uncertainty for tenants and landlords, our findings show that the market remains in good shape.”