Jan

Private rented sector is not ‘broken’ as campaigners claim, says new report

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Ministers and campaigners who claim that tenants are ‘trapped’ in a ‘broken’ private renters sector are wrong, a new independent report commissioned by the NRLA has claimed, highlighting how three quarters of tenants think their rent fair or excellent value for money.

Written by senior economist Chris Walker (pictured) based on research among 2,000 renters conducted by polling firm Opinium, it has found that fewer than one in ten of private renters want to switch to social rented housing.

In addition, whilst three quarters said they want to buy a home of their own at some point in the future, less than one in five would have done so already if they could.

Walker, who works for Chamberlain Walker Economics, says the sector “has attributes that make it the tenure of choice for many private renters, and that a high-quality and well-provided PRS is likely to be a good thing both socially and economically.”

The survey found that 41 per cent of private renters rated the affordability of their rents as ‘excellent’ or ‘good’ with a further 38 per cent rating it as ‘fair’.

Generation buy

With the Government committed to supporting ‘Generation Rent’ to become ‘Generation Buy’, the report finds that for many private renters, job security is the biggest factor in determining when they choose to buy a home and that one in three renters were more likely to buy their first home if they had a stable, secure job.

Also, with a growing number of older people now reliant on the private rented sector, almost half of renters aged 55 and older said they wanted to stay in the sector.

The report also tackles the ongoing debate around property under-occupation and the role downsizing from ownership to the PRS in older age can play in solving it.

Ben Beadle, Chief Executive of the NRLA, says: “Today’s report makes clear the positive and vital role the rental market has to play in the economic and social life of the country.

“Contrary to the rhetoric from many, for the vast majority of tenants their experience in rented housing is positive.
Read in full (PDF download): “A housing market that works for everyone: Rethinking the role of the private rented sector”.

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