The UK is suffering from a major housing shortage. A decade ago, the Government forecast that 250,000 new homes needed to be built every year to keep up with new demand, but ever since, housing output has averaged only 150,000 new homes per annum. Latest Government forecasts predict c. 225,000 new households will be required each year for the next decade, but housing completions are still showing no signs of accelerating. Since 2001, UK residential property has delivered a total annual return of 170 basis points above the annual total return from commercial property. We expect London, South East and Rest of UK PRS to see stronger rental growth than the All Property average over the next five years.
To find out more about the rise of the UK private rented sector, please click on the link above.
