Private rented sector continues growth

The private rented sector is continuing to grow steadily with households under 30 responsible for part of the growth, according to information from the Office of the Deputy Prime Minister (ODPM).

Figures from the Survey of English Housing, due to published in full in 2006, show that the proportion of households that are privately rented has increased significantly since the turn of the century from ten per cent to 12 per cent.

John Heron, managing director of leading buy-to-let mortgage provider Paragon Mortgages said between 2000 and 2003 the number of privately rented properties increased by over 200,000 units.

"The new figures, when published, are likely to show the private rented sector reaching close to 2.5 million out of around 21 million homes in total. This coincides with our own research which shows demand for rented properties increasing, with almost a quarter of landlords reporting that tenant demand is growing steadily or strongly."

The survey also shows that the rented housing sector has the oldest housing stock, with 38 per cent of private renters in accommodation built before 1919, whereas only six per cent of social renters and 20 per cent of owner occupiers are in similarly aged premises.