Rents are not rising everywhere in the country. According to North East-based property business KIS Lettings, its region experienced a 3.1% fall last month compared to an average rise of 0.9% across the rest of the UK.
The average rent is now £813 per month, compared to an average of £517 in the North East, 4.4% lower than this time last year.
Ajay Jagota of KIS Lettings said: “These figures are a boost to the region in the week the Centre for Cities warned of a ‘brain drain’ sucking talented young people to London.
"The North East still gives you quality affordable housing in a way the capital can’t. There’s evidence UK rents are starting to plateau, and that’s certainly what the figures indicate in the North East – and that is not necessarily bad news for landlords.
“Of course landlords want to get as much income as possible from their properties but bidding wars are much more suited to the football transfer window than long-term tenancies.
“At the end of the day the market will dictate the price people are willing pay to rent a property. If it’s too expensive, no-one will be interested – it’s a simple as that.
“More importantly, the best tenant isn’t necessarily the one who offers the most money. If you’re making potential tenants bid against each other there could be a risk of pushing the winning bidder further than they can afford, raising the risk of rent arrears later.
“Are you better off with one tenant paying one rent for six months, after which your property sits empty, or a tenant paying a marginally lower one for several years?"