Thank you for visiting, don't forget to subscribe by following here if you enjoy our content. We use follow.it to give you maximum control over your news.
In a significant shift for the UK property market, rental prices outside London have decreased for the first time since 2019, marking a potential turning point for tenants struggling with rising living costs. The average advertised rental cost outside the capital fell by £3 (0.2 per cent) to £1,341 per month, according to data from Rightmove.
The modest decline represents a crucial milestone in the rental sector, which has experienced relentless growth since the onset of the pandemic. Despite the drop, current rates remain 4.7 per cent higher than the previous year, though this represents the slowest annual increase recorded since 2021.
The supply-demand dynamics within the market have begun to stabilise, with available rental properties increasing by 13 per cent compared to last year. Simultaneously, the number of prospective tenants has decreased by 16 per cent, suggesting a gradual market correction. The Northeast of England has witnessed the most substantial increase in rental property availability.
London continues to buck the national trend, with rental prices reaching a new peak of £2,695 per calendar month. The capital’s rental market has consistently broken records every quarter since late 2021, though the annual increase has slowed to 2.4 per cent, its lowest level in nearly four years.
Industry experts attribute these changes to various factors, including stabilised mortgage rates and wage growth outpacing house prices. However, competition remains fierce, with an average of 10 applicants per rental property – double the pre-pandemic level.
The imminent Renters’ Rights Bill, Labour’s proposed legislation to reform private renting, looms on the horizon. While some landlords express concerns about these sweeping changes, Rightmove reports no immediate impact on market dynamics thus far.
Post Disclaimer
The following content has been published by Stockmark.IT. All information utilised in the creation of this communication has been gathered from publicly available sources that we consider reliable. Nevertheless, we cannot guarantee the accuracy or completeness of this communication.
This communication is intended solely for informational purposes and should not be construed as an offer, recommendation, solicitation, inducement, or invitation by or on behalf of the Company or any affiliates to engage in any investment activities. The opinions and views expressed by the authors are their own and do not necessarily reflect those of the Company, its affiliates, or any other third party.
The services and products mentioned in this communication may not be suitable for all recipients, by continuing to read this website and its content you agree to the terms of this disclaimer.