Around 58% of letting agents in the North East of England reported an increase in reluctant landlords across the UK, compared to 15% in central London.

Ian Potter, operations manager at ARLA, said: “The rise of the reluctant landlord seems to reflect wider market uncertainty and instability. There is a dearth in available property either to rent or buy, yet people are holding back from selling, perhaps strategically, to secure the best price; or more likely because they simply can’t find a suitable buyer.”

He added: “While we welcome new landlords to the market, this trend is not without risks. Letting a property can be full of potential hazards, especially for inexperienced landlords – from material issues, such as a tenant mistreating a property, to financial problems, such as landlord inability to meet mortgage payments.”

ARLA’s research also revealed that 34% of its member offices reported an increase in the number of rental properties on the market, as homes became difficult to sell in the third quarter of the year.