The latest figures from LSL Property Services suggest that rents have increased across the UK by an average 2.5 per cent in the past year with yields stabilising in most areas.
The average UK rent is now £829 per month and over the past 12 months only two regions – London and the North East – have seen falls.
While the strongest growth has been seen in southern areas in recent years, rents in the North West and East Midlands grew faster than anywhere else in the year to the start of February with the typical monthly rent in these regions 2.9 per cent higher than 12 months ago.
This headline figure of £829 masks stark regional differences. London, the most expensive region, boasted an average monthly rent of £1,276 compared to £534 in the North East.
“While 2017 saw the yields achieved by landlords continue to be squeezed, landlords can begin to feel confident in the market as yield levels have stabilised in all areas” claims Martyn Alderton, national lettings manager at the LSL brand Your Move.
“With more tenants seeing renting as a long term option, landlords, with their letting agents’ support, should identify features to encourage longer tenancies. For example, our recent tenant survey has found that more than a quarter of tenants would pay on average £24 more a month to live with their pets. Tenants are also prepared to pay more for communal living extras, such as a shared garden, childcare facilities or a gym” Alderton adds.
