The average monthly rent in the UK is now a record-breaking £1,199, according to HomeLet, which advises landlords to prepare for more tenants being unable to pay.
Its rental index figures for April – using data on achieved rental values from 5,000 letting agents – show rental prices continuing to rise, up 1.3% from the previous month’s average of £1,184. When London is excluded, the average rent is £1,006, up 1.3%.
The South East and Scotland both saw the largest monthly variance – a 2.1% increase – with average rents rising to £1,277 and £868 a month respectively. London rental prices continue to increase, with prices hitting £2,003 in April, 1.2% above the previous month.
Spiralling
Andy Halstead, HomeLet & Let Alliance CEO, says with every region showcasing a monthly and annual rise, it regularly hears about tenants struggling to find available rental properties. Offers for rental properties were often rising above the asking price, with many landlords receiving multiple offers for their properties.
He says: “The quantity of rental properties on the market is showing no signs of a sudden rise, so prices are likely to continue to rise, with prospective tenants left with a battle on their hands to secure a suitable property.”
Rising rents coupled with the continued high cost of living means that rent guarantee insurance should be a serious consideration for all landlords, advises Halstead.
“Spiralling rental costs and dwindling disposable income is sure to result in more tenants finding themselves unable to pay their rent, and landlords must be prepared for this.”
