Tenant News

Tenancy renewals have increased but renters begin to plan for future

Em Morley - April 28, 2020

Demand for lets with gardens may be on the rise, but the number of tenancy renewals agreed since lockdown began has increased by 15% compared to this period last year.

This also shows the highest figure for renewals in 10 years, according to Knight Frank.

The estate agency found this figure based on renewal agreements for tenancies that are due to end in May and June.

Gary Hall, head of lettings for Knight Frank, said: “While demand is rekindling, more people are also opting to go with the status quo, particularly if there is no pressing need to move.”

It was during the first week of lockdown that the number of new prospective tenants registering in London and the Home Counties dropped by 59%. This is compared to the five-year average. However, this decline was at 28% in the week ending 18th April, which could suggest tenants are beginning to make future plans yet again.

Jon Reynolds, head of lettings for the City and East region of London at Knight Frank, said: “In the early stages of the lockdown people froze. That has changed as time has gone on. People now know whether they’ve been furloughed or not and some are starting to plan for life after the lockdown.”

David Mumby, head of central London lettings at Knight Frank, said: “It [the letting sector] is the most nimble area of the UK housing market and we trade by the day with a product that can come on or off the market. 

“Small variations in currency or tax policy can produce sudden changes in demand and the infrastructure is now in place that means we can move people quickly.”