Historically, a decline in property sales has also led to a boost in private rental market stock. This is based on research1 looking at both sales and rental markets during the 2008-09 financial crisis and recent pandemic downturn.
In 2008 property sales volumes across England fell by 49.3% on an annual basis and fell by a further 3.1% in the following year before rebounding by 6.4% in 2010. The level of privately rented stock available to tenants across England rose by 8.2% in 2008, an increase of 261,474 rental homes in a single year. This was followed by a further 7.6% annual increase in 2009, adding a further 261,264 privately rented homes.
The jury is still out, but if historic market trends play out, the nation could well be in for a rental market boom.