Landlords busy with tenancy agreements have been advised to make sure they are giving attention to the rental market in their local area as it is moving at a much faster rate than the sales market.
According to the Association of Residential Lettings Agents (ARLA), there are no longer national averages when it comes to the prices of purchased and rental properties.
Many areas are now in different situations and there is a great deal of variation across the country with some places having more supply than demand.
A spokesperson for the ARLA said: "The only thing you can do is watch your local market, which has always been the case for the rental market."
He explained that this is because "it is much faster moving than the sales market and it is a much more fluid market".
The National Landlords Association recently reported that 71 per cent of landlords expect rent arrears to increase in 2009.
Published on: December 12, 2008