Average UK rents fall for the first time in eight years
In London the fall was more dramatic, with average rents in May 2017 at £1,502, 3% lower than May 2016. Four other areas saw greater than average declines: the North East, South East, Yorkshire & Humberside and Scotland.
Commenting on the findings, Homelet’s chief executive officer Martin Totty said:
“May 2017 saw average rents nationally fall for the first time in eight years when the economy had suffered the shock of the financial crisis. HomeLet rental data suggests landlords are now facing a difficult balancing act between ensuring rents are affordable for tenants in a low real wage growth environment whilst covering their own rising costs.
“Tenants will still need a vibrant and growing rented sector to provide them with property options at the time of their choosing. Any constraint to the supply of rental properties, because landlords are unable to achieve the reasonable returns they require, cannot be in the long term best interests of tenants, especially if, as we’ve now heard from all the main political parties, the UK’s population continues to grow.”