It is important for property owners and agents to understand tenant choice as this understanding can increase business opportunities for letting agents. There are a variety of factors that may impact tenants’ consumer choice such as their personal preferences and their budgets. This blog will discuss how lockdown impacted tenant choice as well as the impact of the current cost of living crisis, rental supply, and industry regulation on tenant choice.
How did lockdown impact tenant preferences?
During lockdown, many people were working from home and some people were able to live with their parents and save money. The pandemic had a direct impact on tenant preferences, for example, more tenants were searching for properties with a garden, fast broadband and properties that were pet-friendly.
How is the cost-of-living crisis affecting tenant preferences?
The cost-of-living crisis has also impacted tenant consumer choice. Many tenants are no longer choosing properties based on what they want. The cost-of-living crisis is forcing tenants to choose properties based on their needs, therefore looking for properties that are affordable in these challenging times.
Rental supply, industry regulation and its impact on tenant choice:
In the past year, rental supply has decreased significantly. There is high tenant demand but low rental supply making the current market challenging.
Industry regulation has also impacted tenant choices. For example, the Tenant Fees Act had an impact on the amount of rent that tenants pay. Many property owners were required to pay agents more because of the loss of revenue.
Furthermore, the Renters’ Reform Bill is also likely to impact tenant choice as one of the aims of the Bill is to give tenants more choice and to ensure they have access to homes of a good standard.
Since choice is restricted depending on the availability of homes to rent, property owners and agents can think of other ways to give tenants more choice.
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