Demand from eager applicants is outstripping the number of rental homes currently on the market. In January there were more than 35 per cent of wannabe tenants looking to rent compared to the same period last year, while in February demand was 40 per cent up on 2009, reports Gavin Sung from Anscombe & Ringland.

“One-bedroom properties have been popular, as have quality two and three- bedroom flats from £600 to £1000 a week, and four-bedroom flats and houses from £2000. Across London, corporate relocation demand is at its highest for more than a year,” he says.

Applicants’ budgets are being extended as the property shortage pushes up prices and multiple offers are taken on some homes. “We are finding that tenants who had thought of serving notice on their tenancies are now looking to firm up renewal contracts, and landlords are seeing an increase in rents,” adds Sung.

A shortage of rentals stock across the board, particularly at the lower end, is being noted by Kelly Matthews at Sandfords Regent’s Park office.

“One reason for the shortage is a number of tenants have renewed current contracts, because they got good deals when there was a lot to let and they can’t really be bothered to look around with so little choice,” explains Matthews.

Another reason for the shortage of homes is landlords, who have spotted an improvement in the sales market, deciding to sell their property.

Matthews advises landlords to make sure their property is shown at its absolute best. “Many tenants have no imagination, so if that wall needs painting or carpet needs cleaning, you must get it done.”

This is not a time for tenants to be fussy now that the market has swung back in the landlords’ favour. “If tenants see something they like, they should take it,” she adds.