Research Barrows and Forrester reveals which areas of the rental market are currently most in demand amongst tenants, based on the ratio of available rental properties that have already been snapped up.
The Barrows and Forrester Rental Demand Index monitors rental listings across the nation, taking an average demand score for each English county based on which of them has the highest number of properties already let as a percentage of all rental listings.
The analysis by the letting agency of all 49 English counties shows that, on average, 36% of all rental properties listed on the market during the first quarter of 2023 had already been taken by tenants keen to kick off the new year in a new rental property.
In terms of the hottest spots in the current market, Cornwall tops the table, where a huge 64% of all available rental stock has already been let.
West Sussex is home to the second highest level of demand at 60%, with Bedfordshire (56%), Dorset (55%) and Wilshire (55%) also ranking within the top five.
Cornwall has also seen the largest quarterly uplift in demand, with 26% more rental properties let in Q1 versus Q4, 2022.
Rutland is home to the second highest quarterly increase, with rental demand up by 15% in Q1 of this year, followed by Bristol (+12%), East Sussex (+11%) and Greater Manchester (+9%).
However, on an annual basis, it is Bedfordshire that has seen the largest uplift in demand at 5.3%. Worcestershire is also home to some of the strongest annual movement in rental demand, up by 5% versus Q1 of 2022.
East Sussex (+5%), Staffordshire (+4%) and Greater Manchester (+3%) also make the top five counties for the largest annual uptick in rental demand.
At 19%, the West Midlands is currently home to the lowest level of current rental demand, while Durham has seen the largest quarterly decline (-10.6%), with Herefordshire seeing the largest annual drop (-12.8%).
The managing director of Barrows and Forrester, James Forrester, commented: “While rental demand has crept up in Q1, the market as a whole isn’t quite as hot as it was this time last year, which means tenants looking for a property in the current rental market should find it that little bit easier.
“Of course, in some areas demand remains incredibly high, while in others it has increased substantially both on a quarterly and annual basis. The upshot for tenants in these high demand areas is a far tougher time securing a rental home and when they do, they can expect to pay an inflated level of rent for the pleasure.
“Unfortunately, with the government once again choosing to ignore buy-to-let landlords in the recent spring statement, the issue of rental stock supply is only likely to get worse as the year progresses.
“So those considering a move within the rental market are best advised to act sooner, rather than later, before demand starts to soar and their options are substantially reduced.”
| Table shows current rental demand across each English county, as well as the quarterly and annual change | |||||
| Location | Current Rental Demand – Q1, 2023 | Quarterly Change (%) | Annual Change (%) | ||
| Cornwall | 64.0% | 25.9% | -1.5% | ||
| West Sussex | 60.1% | 4.0% | -9.3% | ||
| Bedfordshire | 56.2% | 1.8% | 5.3% | ||
| Dorset | 54.9% | 3.5% | -1.5% | ||
| Wiltshire | 54.8% | 6.3% | -7.9% | ||
| Somerset | 53.3% | 3.6% | -0.9% | ||
| Shropshire | 53.2% | 6.6% | -1.7% | ||
| Suffolk | 52.6% | 3.3% | -7.9% | ||
| Essex | 51.7% | -2.3% | -0.7% | ||
| Rutland | 51.6% | 14.6% | -2.9% | ||
| Buckinghamshire | 51.1% | 4.9% | -0.8% | ||
| Gloucestershire | 49.9% | 6.1% | -2.8% | ||
| Hertfordshire | 49.9% | -0.4% | -0.3% | ||
| City of Bristol | 49.6% | 12.0% | -9.3% | ||
| Northamptonshire | 49.3% | 4.2% | 1.1% | ||
| East Sussex | 49.2% | 11.2% | 4.5% | ||
| Cambridgeshire | 48.6% | 1.3% | -5.2% | ||
| Isle of Wight | 47.3% | 3.7% | -10.0% | ||
| Surrey | 46.8% | 4.2% | -0.6% | ||
| Kent | 46.2% | 5.1% | 0.5% | ||
| Hampshire | 44.8% | 7.0% | 1.1% | ||
| Berkshire | 44.4% | 5.1% | 2.2% | ||
| Greater Manchester | 42.8% | 9.4% | 3.0% | ||
| Cheshire | 42.2% | 1.6% | -1.9% | ||
| North Yorkshire | 41.2% | 3.1% | -2.0% | ||
| Warwickshire | 40.7% | 1.8% | -3.8% | ||
| Durham | 40.6% | -10.6% | 2.1% | ||
| Worcestershire | 39.7% | 6.3% | 4.8% | ||
| Norfolk | 39.1% | 2.6% | -6.2% | ||
| Northumberland | 38.9% | 1.4% | -5.8% | ||
| Staffordshire | 38.5% | 7.3% | 3.7% | ||
| Derbyshire | 38.5% | 7.5% | -2.6% | ||
| Cumbria | 37.8% | 3.8% | -4.3% | ||
| Oxfordshire | 36.5% | 4.3% | -2.4% | ||
| Devon | 33.3% | -0.4% | -3.3% | ||
| Herefordshire | 33.3% | -3.4% | -12.8% | ||
| Tyne and Wear | 31.5% | -3.0% | 0.4% | ||
| Lincolnshire | 30.9% | 4.1% | -0.9% | ||
| East Riding of Yorkshire | 30.7% | 4.8% | 0.8% | ||
| Greater London | 30.7% | -1.4% | -2.0% | ||
| Lancashire | 28.3% | 6.0% | -0.7% | ||
| Nottinghamshire | 26.3% | 0.7% | -6.7% | ||
| South Yorkshire | 26.0% | -0.2% | -4.8% | ||
| City of London | 25.8% | 0.4% | 0.0% | ||
| Merseyside | 24.9% | -0.5% | -2.2% | ||
| West Yorkshire | 20.9% | -0.4% | 1.8% | ||
| Leicestershire | 19.6% | -1.2% | -3.3% | ||
| West Midlands (county) | 19.3% | 0.4% | -3.8% | ||
| England | 35.8% | 1.9% | -2.1% | ||