A shortage of suitable properties for rent could lead to would-be tenants having to join a waiting list as demand for accommodation soars across Yorkshire.

And the Aire Valley is one of the hot spots, according to agents Dacre Son & Hartley which has offices in Saltaire, Baildon. Bingley and Keighley.

The firm has seen the the number of properties it manages increase by 30 per cent over the last 12 months and expects to let 20 per cent more properties in the next two months than in the same period last year.

The company now manages one of Yorkshire’s largest rental portfolios with a value of more than £100 million and soaring demand for high-quality property is outstripping supply, resulting in a shortage of all types of homes across the company’s office network.

Julie Craven, head of residential lettings, said: “The start of the year is always a busy period in the lettings market but the start of 2010 has completely exceeded all expectations and there’s currently plenty of potential tenants seeking all property types, from apartments through to large family sized properties.

“At the moment most properties that meet a good standard and are priced realistically will let quickly. This is enticing investors back to the market and it’s also encouraging second home owners to cash in and rent out their properties.”

One of the reason for the rental boom was the high deposit needed to buy a home, but according to Julie Craven, more people are choosing to rent rather than buy for more flexibility.

She said: “We are finding that many people do not want to go down the house buying route, preferring instead to remain more mobile by renting or because their job requires them to move around. Good rented properties in the Aire Valley are very much in demand and let quickly and it is one of the most popular areas .”

Meanwhile, LSL Property Services, which became the UK’s second largest estate agency chain after buying Halifax Estate Agencies in January, is seeking acquisitions as the housing market recovers. The group, which includes the Reeds Rains estate agencies in Bradford and Keighley, bought the loss-making 218-branch business from the Lloyds Banking Group for £1.

LSL has announced a return to profit with pre-tax profits of £16.6 million for the year to December 31 compared to a loss of £6.2 million the previous year. Chairman Roger Matthews said: “The group has a strong balance sheet with net debt of £25.7 million against an available facility of £75 million.

“This, together with the cash generative nature of the business, means that the group is well placed to respond to further acquisition opportunities which may arise as a result of market conditions.”