Cash-strapped students in Brighton are facing a housing crisis.
The number of properties to rent has slumped as landlords take advantage of the property boom in the city and sell.
The number of landlords registered at the University of Brighton has halved from 3,000 to 1,500 in the past five years while student numbers have gradually increased.
The figure at the University of Sussex is similar.
Now both universities have decided to raise the rent ceilings on properties listed with them in the next academic year from £58 to £63 per week for a room to attract more landlords.
Students have already started the desperate hunt for somewhere to live in the next academic year. Many are finding they are either being priced out of the market or there are just not enough properties to go round.
Up to 50 students have been responding to adverts for a single room and there are fears some may drop out because they cannot afford to live in the city.
Catherine Bancroft-Rimmer, accommodation co-ordinator at the University of Brighton, said although the university had invested in more accommodation, demand continued to outstrip supply.
She said: "We had real trouble getting all the students housed last year and I think it is going to be the same this year.
"Demand has gone through the roof. There are a lot of people moving here from London and buying so people don't need to let any more. Some students sleep on friends' floors until the pressure eases off a bit after a few months."
Ms Bancroft-Rimmer stressed registering a property was free and the university operated a scheme which allows landlords to let properties directly to the university in return for a guaranteed rent.
The University of Brighton provides about 1,500 places in halls of residence for 73 per cent of first-year students and about another 5,000 will be looking for private accommodation.
Julian Pomphrey, residential services manager at the University of Sussex, said the university had provided an extra 1,000 bed spaces on campus in the past few years and was creating another 250 this summer. It provides 3,000 spaces on campus and has about 9,500 students.
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