Torbay lettings market update 2022

The lettings market has had a turbulent time over the last 2 years, as have we all. But as we step forward into 2022, what changes can we expect for the Torbay lettings market?

The early signs from 2022 are that the world is returning to something that might be called normal. It isn’t completely normal just yet and things are still somewhat tenuous, but there is an overall sense that there is now light at the end of the tunnel.

What does this mean for the rental sector? Is the Torbay lettings market still crazy? Is demand still as high as ever? The simple answer is YES, YES and YES!

The Christmas period normally signals a quiet time for many letting agents as no one really wants to be looking for a new home at Christmas. Plus, most letting agents take a break and close down for the majority of the season. And indeed, this year there was a small lull over the Christmas and New Year period.

However, this year the lull over Christmas was more like the calm before the storm rather than the restful recharge it normally offers. In a normal year, January can often be a slow month as everyone awakes from their festive slumber. But this year is rather different, and now the new year is in full flow the market has returned to its buoyant self and demand is just as high as ever.

Rental properties for sale

Over the last 2 years, there has been a huge increase in the number of landlords looking to get out of the rental market. This has been caused by a combination of factors, including huge house price increases and a lack of support for landlords during the pandemic. All of the factors combining at the same time had led to a perfect storm of landlords selling rental properties at a never-before-seen rate. This, inevitably, has led to many more tenants looking for new rental properties and ending up in temporary housing situations.

Despite the property sales market starting to calm down, rental properties are still being sold by landlords wanting to leave the sector. The tenants in those properties are now looking for new homes, and this creates a high level of demand with a shrinking level of supply.

How relocation is affecting the Torbay lettings market

The relocation sector is still very large. When the pandemic first hit there was a huge number of people who decided that if they didn’t need to commute to work and they could work from home, then they might as well do that in a nicer part of the world. Torbay had always attracted attention from city dwellers looking to escape to the English Rivera and during the pandemic, this was no different.

Since then, demand from the relocation market has eased a little: it is no longer the mass exodus we saw during the early stages of the pandemic. However, there is still high demand for short-term lets for those looking to buy a property locally and longer-term demand from new tenants relocating to the area.

Demand for single person Torbay lettings

Since the pandemic, we have seen an increase in demand for single-person rentals including studio apartments, HMOs and 1-bed flats, etc. This demand is likely due to many people having a change in circumstances during the pandemic, including the increase in relationship breakdowns.

In a normal year, the post-Christmas period often sees an increase in demand for single-person accommodation. To be blunt, there is nothing like Christmas to cause relationship breakdowns (even after all the lockdowns). So, if you are a landlord with HMOs or Torbay lettings that are suitable for the single-person market, now is a good time to market those spaces.

So, what is clear is that the market is busy as ever and you can assume that the range of properties in demand covers the full spectrum. We currently have huge demand for pretty much every type of rental property including rooms, studios, flats and the holy grail of rental properties: 3 bedrooms (with garden, parking and that will take pets). The Torbay lettings market is still as busy as ever and demand is still far outstripping supply.

Another aspect that is impacting the Torbay lettings market is the demand from local councils. Local councils are still desperately short of accommodation for those in temporary housing, so for the landlords that are open to that option, there is still the demand there too.

If you would like our help, contact us here.