Demand for rentals rises in UK’s largest cities in Q1

About 38% of units rented in the first quarter

National Weekend Edition /
Apr.April 10, 2021 02:00 PM
Birmingham and Bournemouth both saw a giant increase in demand. (Getty)

Birmingham and Bournemouth both saw a giant increase in demand. (Getty)

Demand is rising for apartments in the United Kingdom’s largest cities following a slow fourth quarter that capped off a coronavirus-weakened year for the rental market.

A Barrows and Forrester report comparing rented units to total listings found that 37.6 percent of rentals listed in the first quarter leased, according to Mansion Global. That’s a 10.4 percent increase over the fourth quarter of 2021.

The firm’s managing director James Forrester said in the report that students returning to schools “should further boost this initial increase in demand.”

Birmingham saw the largest quarter-over-quarter jump in demand, rising to 46.7 percent. In Bournemouth, nearly 75 percent of rentals leased in the first quarter, a 23.3 percent quarterly gain and the highest percentage overall of any city in the country.

And in London, leasing was up to 48 percent, an increase of 14.5 percent from the fourth quarter of 2020. Three of London’s boroughs saw more than 70 percent of their total listed units find renters. Demand in Sutton was calculated at 76 percent.

Multifamily developers and investors are bullish on London rentals despite a decrease in demand due to the pandemic. More Londoners are renting than in decades past, a trend that’s expected to continue through the 2020s.

Belfast and Liverpool were the only cities in the U.K. that saw rental demand decline between the fourth quarter of 2020 and first quarter of 2021, with 15.8 and 2.3 percent declines, respectively.

[Mansion Global] — Dennis Lynch 


Related Articles

arrow_forward_ios
Steven Mnuchin and 740 Park Avenue (Getty, Google Maps)
Steven Mnuchin’s $26M home finally finds a buyer
Steven Mnuchin’s $26M home finally finds a buyer
Robert Millard and 9 East 88th Street (MIT Corp, Google Maps)
Former Lehman exec lists Carnegie Hill mansion for $38M
Former Lehman exec lists Carnegie Hill mansion for $38M
April’s occupancy levels climbed to 61.6 percent, above March’s 60.9 percent. (iStock)
Demand for short-term rentals surges past pre-pandemic levels
Demand for short-term rentals surges past pre-pandemic levels
Cape Cod and the Jersey Shore suffered among the sharpest inventory declines. (iStock)
Here’s where homes virtually sold out in the pandemic
Here’s where homes virtually sold out in the pandemic
1384 Meadow Lane
The 20 priciest Hamptons sales this year
The 20 priciest Hamptons sales this year
Airbnb CEO Brian Chesky. (Airbnb, Getty)
Airbnb’s losing spree continues with $1B loss in Q1
Airbnb’s losing spree continues with $1B loss in Q1
Madison Realty principal Josh Zegen, Raphael Toledano with the properties at 325-329 East 12th Street and 223-235 East 5th Street (Madison Realty, Google Maps, Toledano by Michael McWeeney)
Madison Realty Capital closes on Toledano’s bankrupt East Village portfolio
Madison Realty Capital closes on Toledano’s bankrupt East Village portfolio
Manhattan and Brooklyn saw all-time records in lease signings in April (iStock)
April leases soared across city; so did concessions
April leases soared across city; so did concessions
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...