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TODAY'S OTHER NEWS

There is a ‘massive amount of pent-up demand’ in the rental market

The UK lockdown has been essential for containing the spread of coronavirus, but it is causing major disruption and distress, so when can it be lifted? 

There are huge decisions for the government to make, as it looks to balance saving lives today with long-term damage to society.

But as soon as the lockdown is eased, whenever that may be, there will be a major release of pent-up demand in the letting sector, according to ARLA Propertymark’s CEO David Cox. 

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“There’s clearly a massive amount of pent-up demand in the market. Our message is just put everything on pause - don’t cancel it. The first Friday out of lockdown is probably going to be one of the biggest moving days in the lettings industry’s history,” he said during a webinar hosted by Goodlord yesterday.

Cox went on to caution against forgetting wider legislative changes scheduled for 2020. “Sooner or later, the government is going to go back to its normal course of business”, he warned, citing the need to be prepared for the abolition of Section 21, Electrical Safety Regulations on new tenancies - which he noted would still be coming into effect on 1 July - and the Regulation of Property Agents (RoPA).

He also believes this crisis will drive further legislative change that landlords and agents must prepare for and urged the industry to be proactive. 

Cox continued: “[Post-crisis] I think they’re going to be looking at more regulation of landlords. I think we will go into a much tougher regime on property standards. We are trying to get out ahead of that with the concept of a property MOT; if we can try and shape what comes next, it’s going to be much easier for the industry to accept than to have a whole collection of laws thrown at us like we have over the past 10 years. Let’s get out in front of it, so we’re on the front foot.”

Long-term, Cox believes this crisis “is going to change the market quite significantly”, with many of the old ways and industry habits falling by the wayside as a result. 

Poll: Do you agree that 'the first Friday out of lockdown is probably going to be one of the biggest moving days in the letting industry’s history'?

PLACE YOUR VOTE BELOW

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    Where did that quotation in speech marks in the headline of your article come from? It is uncredited, and does not appear at all in the article itself.

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    Read the article again you dimwit!

     
  • Mark Wilson

    I am sure there is pent up demand, what about ability to pay, massive job losses?

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    Lots of people stuck in houses with family members that they have now learned that they cannot live with anymore. People will be desperate for their own space. As regards job losses one person's bankruptcy is another ones opportunity. (I'm already looking at cafe-bars for sale in Spain at massively reduced prices). The economy will pick up and with Brexit on the way and reduced immigration there is going to be a workforce shortage.

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    • 01 May 2020 12:23 PM

    So prior to this CV19 thing pray tell why there wern't many aspirant OO.
    Perhaps because they were feckless and couldn't be bothered to save up deposits to buy in an affordable area.
    Too busy spending money like water that's why!!!!!
    So now that jobs will be hard to come by they won't be OO or tenants.
    Who's gonna house them!?
    I can see many of these feckless boomeranging back to their childhood bedrooms much to the displeasure of their parents!!!
    Unless MMR is abolished there will be no pick up in FTB.
    Only those with good Govt jobs and decent deposits will be able to afford to buy.
    The rest; well they won't be tenants if they defaulted on rent.
    Back home to mummy and daddy I guess.

    Simon D

    what's OO?

     
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    owner occupiers?

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    He is obviously not used to Paul's abbreviation speak?

     
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