BAD structural conditions, poor maintenance, bad dcor and lack of parking are some of the reasons which turn people away from renting.

In the latest RICS (Royal Institution of Chartered Surveyors) residential lettings market survey, chartered surveyors in the lettings market were asked to list the main factors that stopped potential tenants from letting.

Top of the list was the condition of properties, with 52% of chartered surveyors reporting this as a constraint.

Next came lack of suitable size properties with 48%; the high cost of letting relative to buying at 42%; lack of available properties - furnished at 31%, unfurnished at 29%; uncertainty over renewing tenancy agreements on long-term lets at 28%, and finally terms of tenancy agreements at 10%.

The survey also showed that in this quarter demand in the lettings market was strong, with the balance of chartered surveyors reporting a rise over those reporting a fall at 29%.

Chartered surveyor lettings agents have reported a firm rise in rents, with the balance of those reporting rises over falls at 29%, slightly down from 31% in the last quarter.

In the coming months rents are expected to continue to rise with the balance expecting rises at 16%, against 31% for the last quarter.

More properties for letting have become available, as investors turn their backs on the uncertainties of the stock market and move to bricks and mortar to invest some of their assets.

The booming house market and rising prices moving faster than rents have resulted in a fall of gross yields for landlords.

The outlook for the coming quarter is variable: in the short-term yields will fall further, but as house price inflation slows down, prospects for yields will improve. Conflicting influences will affect the market in the coming quarter. It is expected that high house prices combined with economic uncertainties will stimulate the lettings market as many potential first-time buyers turn to rented accommodation instead.

But at the same time the slowdown in the residential market will reduce the number of investors looking to enter the lettings sector and reduce the number of properties available.

As the economy weakens, corporate lets are also expected to slow, especially in London where they account for 28.4% of the market, against 11.7% nationally.

Cathy McLean, director, RICS Wales, said: "This survey highlights the fact that landlords have to meet the expectations of tenants if they are to be successful.

"People expect high standards these days, and this applies just as much to the lettings market as elsewhere.

"The survey also shows the lettings market doing well, through increased availability of properties to rent. Lack of confidence in the economy may also lead some people to prefer to rent rather than buy, at least in the short term."