Housing benefit tenants are showing increasing signs of frustration as it becomes harder for them to find private landlords who will accept them.
Online searches for rental homes where LHA tenants are accepted have increased 400% across London and the Home Counties since April.
Aki Ellahi of Dssmove says that his site has 15,000 people currently searching for accommodation in London, followed by Leeds and Manchester, each with 1,000 people searching.
Aki, who founded the site in 2012, said: â€œThe sharp rise in London searches is partly due to the new Â£500 weekly benefit cap that came into effect on July 15, which is making it impossible for tenants to rent in certain parts of London.Â Demand is outstripping supply.
There are over five million people currently claiming Housing Benefit in the UK. The House Crowd specializes in buying investment property to let to LHA tenants. We believe we are helping those who most need it to find a decent property to live in, whilst for our property investor partners we focus on a steadily growing market. Supply is diminishing as many Landlords retreat from the market and demand is also increasing. Thus we are able to obtain an excellent rental income and let all our properties quickly.