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Country triumphs over city

Catherine Deshayes

Three and a half times as many Londoners are currently looking to rent a property in the country, when compared to the same time last year, says estate agent Hamptons International.

The latest findings also highlighted that the country saw almost double the number of new tenants register to rent during August, when compared to new rental applicants in the capital - up 60 per cent in the country compared to just 37 per cent in London. 

When the findings are compared year to date, London has witnessed a rise of a just one per cent in new applicants compared to 55 per cent in the country.

The results follow a gloomy economic forecast last week - with the Bank of England holding interest rates at five per cent for the fifth month in a row in an attempt to curb inflation and the news that consumers face significant hikes in food and soaring fuel bills.

The latest figures suggest many Londoners are seeking a better quality of life out of the capital and towards more rural surroundings. 

Also, many London vendors, who would last year have sold up in London to purchase a new property in the country, have found it difficult to sell their home in the capital and are instead using rental income on their London home, to finance a rental property of their own in the country. 

In addition, there are also a number of tenants or prospective tenants, who have the money to purchase property now, but who are uncertain as to the future of the property market, and so are sitting tight while they wait to see what will happen to the housing market over the coming months.

Properties that are being ‘dual listed' (for sale and to let) are common in the current property climate, which has pushed up the number of new rental instructions significantly - up by a staggering 84 per cent in London during August - and up by a substantial 62 per cent in the rest of the country. 

However, with comparatively fewer people seeking London property compared to those in the country, this has created a different picture in and out of the capital.

The average London-based tenant looking for country property has an annual budget of £25,000, which is 9.5 per cent more than a local tenant.

This is changing the profile of the typical country lettings tenant, with a significant increase in tenants seeking larger properties such as four or five bedroom houses, when compared to last year and greater flexibility on financial budgets.

In addition, with international corporations still moving staff, but paying housing allowances below usual central London levels, prime commuter belt locations have increased in popularity again.

Sealed bids, despite being traditionally associated with highly competitive sales markets, have recently become an increasingly popular way for landlords to secure the best tenants, best rents and quickest turn-around times in rental hot-spots.

To browse properties for sale in London, visit london.themovechannel.com/