There has been a 10% increase in the supply of rental properties according to Association of Residential Letting Agents (ARLA). 

The average number of buy-to-let properties managed by ARLA Licensed members in the last three months increased from 135 properties in the third quarter to 148 properties this quarter.

David Cox, Managing Director of ARLA, said: “This quarter we’re seeing promising signs that the market is taking small steps towards achieving a better balance between supply and demand, or at least it is easing slightly. With more landlords investing in their portfolios, ARLA Licensed members have reported a growth in (rental property) supply, while the level of (tenant) demand witnessed last quarter has fallen slightly. Of course, the market has a fair way to go in terms of completely balancing out.”

The number of landlords increasing their investment in buy-to-let properties appears to have risen with those purchasing properties now exceeding the number selling their investments, with landlords increasing their investment in buy-to-let properties rising 3%. Meanwhile those looking to sell their current buy-to-let investments fell 9% from 32% to just 23%.

Despite this upturn in availability in the private rental market, demand still strongly outweighs supply, with 65% of ARLA Licensed member agents saying there were more would-be tenants than properties (available to let) on their books.