Reports in last weekend’s Financial Times have highlighted the surge in new buy-to-let purchases,with many areas in London likely to be the first to benefit, according to property search consultant Expatfindaproperty.com.

According to the Financial Times report, landlords are taking advantage of weaker house prices to snap up bargain rental prospects in premier locations. While some are cash purchasers, others are using cheap borrowing costs to expand their portfolios.

Expatfindaproperty.com’s own research suggests that rental yields in many parts of London, in particular, are starting to rise steeply, following many years of static, or only gently-rising, prices. In particular, demand for rental homes near to prime commuting transport links, such as those in the Clapham, Earlsfield, Wimbledon and Raynes Park areas of South West London, has seen agents arranging block viewings, with would-be tenants forced to bid against each other to secure a property.

Thanks to substantial growth in tenant demand combined with lack of new stock, the oversupply of flats in the North of England's cities has now been corrected, according to a new report.

However, the report, by property investment specialist Assetz, also finds that the belief that a glut of flats still exists is hampering the financing of much-needed new development and compounding a serious shortage of this type of accommodation.

The northern residential market underwent an enormous expansion of flat-building between 2000 and 2008, when the housing market was booming and finance was readily available.

Corporate demand for family homes as a percentage of all new lettings has almost halved in prime central London, falling from 14.1% a year ago to 7.4%, according to estate agent Savills.

New research from Savills also indicates that prime London rents rose 0.4% in the third quarter of 2011, contributing to a growth of 7.3% since the same period last year.

The East of City area was the top performer, with prices up 2.5% over the quarter and 9.8% year on year.

Zoopla and the Digital Property Group are to merge, in a deal which will bring together several leading property-search websites, including Findaproperty.com, Zoopla.co.uk and Primelocation.com, creating, the two companies believe, a credible challenger to long-standing market leader Rightmove.

The Digital Property Group is owned by A&N Media, the consumer division of Daily Mail and General Trust.

Key benefits to househunters will include greater coverage of property listings and enhanced features, which will enable them to make better-informed decisions in the current difficult UK residential property market.

When looking for accommodation, you must first decide whether you want to live on your own or with friends.

If you want to live on your own, you should start looking via letting agents or estate agents. Note that not all estate agents will have a lettings department.

Walk around any area and you will find estate agents lining the main streets. Rents are quoted weekly in London, and it is a good idea to check prices in the window, to get a good idea of whether it is realistic to live on your own.

You can register with a letting agent by walking into the office, and they will show you what is available that matches your budget. Although photos nowadays are very clear, it is always good idea to visit the property before you sign anything, as you never know whether it is on a busy road or right above a late-night bar.

An undersupply of good-quality property is threatening the UK rental market, according to the Association of Residential Letting Agents (ARLA), as its research reveals that the imbalance of supply and demand is continuing.

The research, which was carried out among ARLA members, shows that, during Q2 2011, three-quarters (74%) of members reported that there were more prospective tenants than properties available – a figure that jumps to 82% in central London.

By comparison, just two years ago the number of members reporting an undersupply of rental homes in the UK was 10%, and 8% in central London.

If you’re letting your home for the first time when you relocate – perhaps because you can’t sell it – the Association of Residential Letting Agents has some useful advice for you.

Research conducted by the Association of Residential Letting Agents (ARLA) shows that more than a third of member offices surveyed during Q3 2010 saw an increase in the number of properties coming on to the rental market because they couldn’t be sold.