Rents hit ANOTHER record high as summer market arrives

Posted on Monday, June 6, 2022

Fresh data from PropTech supplier Goodlord shows the average cost of rent in England reached £1,020 per property in May, up 0.8 per cent on April’s figures. 

This surpasses averages recorded for the previous eight months. 

The last time rents rose above £1,020 was September 2021 - peak season for the market - when rent averages hit £1,104. Overall, the cost of rent has now risen by 11 per cent year-on-year. 

The biggest change in the cost of rent during May was seen in the East Midlands, where prices rose by two per cent per property, up to £867 per month.

The only region to see a dip in the cost of rent was the North East, where costs dropped by 2.7 per cent over the last month, down to £728.

Rents in Greater London remain far and away the most costly - averaging £1,723 in May and now up 13 per cent year-on-year. 

In the North East, at £728 per property, rents remain the cheapest, although this is still 11 per cent higher than this time last year. 

With regard to voids, average period held steady between April and May. Overall, the average voidage for a property in England in May remained at 19 days. 

At a regional level, however, the picture was more chequered. The East Midlands, North East, and West Midlands all saw a reduction in voids of between nine and 10 per cent.

However, Greater London, the North West, South East and South West all saw voids rise. The increase was the starkest in the North West, where voids jumped from 17 days to 22 days - an increase of 29 per cent.

Tom Mundy, chief operating officer at Goodlord, comments: “With the squeeze on available stock, we’re not surprised to see rents continuing to climb as we head into summer. 

“Void periods have started to fluctuate that bit more, which offers an early indication that the market is beginning to settle down following a long run of consistently high demand. 

“The message to agents and landlords, however, remains very much the same; there is a huge consumer appetite for good quality rental homes and this shows no sign of abating.”

Via @LettingAgentToday