A new study by Zero Deposit, a tenancy deposit alternative company, predicts that the number of available rental properties will increase by 9.5% by 2030. That means almost 5.4 million rental homes will be available, up from the current number of nearly 5 million.

Fewer Tenants Per Property

This increase in available homes means there will be fewer tenants competing for each property. In 2023, there were 2.19 tenants for every property, down from 2.22 in 2022. While still a high number, it’s a drop from the pre-pandemic figure of 2.28 and the peak of 2.56 in 1991.

By 2030, the study predicts the ratio will further decrease to 2.06 tenants per property.

The Bigger Picture

The increase in available rental properties is good news for the wider housing market. The government’s plan to build 1.5 million new homes by 2030 will help address the housing crisis and provide more affordable options for everyone.

Key Takeaways

• The rental market is slowly becoming more balanced, giving landlords a little less power.
• There will still be more than two tenants for every property in 2030.
• Landlords need to offer tenants choice and ensure their properties are attractive to the best renters.