top of page
  • Writer's pictureSarah Ruivivar

Rent Hike Pushes Over-30s to Smaller Homes, Cheaper Areas

📸 ModelProp / Midjourney

The rental market is witnessing a significant shift as renters aged over 30 are compelled to move to more affordable regions and smaller homes, as reported by BBC News.

This trend is a direct consequence of escalating rents and a dwindling supply of available properties.

Data from property consultancy, Dataoft, reveals that almost half of the new tenancies signed by families earning between £30,000 to £70,000 in the first half of 2023 were for one or two-bedroom homes. This is a stark contrast to the first half of 2020, during the first national lockdown, when 57% of new tenancies signed by similar income families were for homes with at least three bedrooms.

Sandra Jones, Managing Director of Dataloft, attributes these reductions in renters' living standards to the severe supply constraint that has inflated rents. She explains, "When affordability is stretched, as it is for so many today, people make trade-offs to stay within a budget."

The data also indicates that renters over 30 years old are more likely to relocate to a cheaper area when changing homes. Greg Tsuman, President of ARLA Propertymark, suggests that landlords require more incentives to remain in the sector and increase the number of private rental properties, such as tax system modifications.

"Landlords are exiting the market when demand for rental properties continues to rise. Landlords are making a loss when rents are rising, and we need to address the root causes if we're to solve this," he comments.

This trend underscores the urgent need for policy interventions to balance the rental market and ensure affordable housing for all.

Made with TRUST_AI - see the Charter:

16 views0 comments


bottom of page