Letting agents have been accused of profiteering from lack of supply in the private rented sector.
Property website Easyroommate claimed they are responsible for huge rent hikes for flat-sharers and charging “arbitrary” admin fees.
The rental budgets of flatmates in the UK have increased by 27% in the past four year, according to the web portal through analysis of its own data.
Easyroommate said rental prices rose 13% in the second quarter of this year compared to the same period last year.
It said: “As supply continues to dwindle against growing demand, agencies make the most of the trend by bumping up their prices.
“By taking advantage of the lack of supply, estate agents are tearing away any savings that renters could make with arbitrary administrative costs.”
Easyroommate said the Renters’ Rights Bill, which is currently progressing in the House of Lords, should help tenants as it aims to ban letting agents’ fees charged to tenants.
The firm said: “Tackling greedy agencies who let the sector down is a burning question as it could bring more stability in the rental sector.”
The report also found:
- The average number of flatmates looking for every room available in the UK rose from 3.7 in the second quarter of 2015 to 5.3 in the second quarter of 2016
- The majority of UK room-mates are in their twenties, with 27% between the ages of 21 and 25
- 58% of flat-sharers are young professionals while the number of students flat-sharing has gone up 4% from last year