Experts Warn Of Rent Price 'Limits'

Experts are warning that there is a limit as to how high rents in the private sector can go, predicting that shared accommodation will be more commonplace in the future. Hometrack - which is predicting a 2-3% increase in rents for the year ahead - says tenants are paying a premium to rent and warns they haven't benefited from lower mortgage rates on their household budgets.  It said: "Furthermore renters are more reliant on unsecured loans and borrowings where interest charges have risen in recent years. The net result is that renters are price sensitive and there is a maximum level to which they can afford to pay for rent versus other living costs."  Read more on 24dash.