market trends
-
Resources
Costs set to rise for landlords
Average annual UK rental price inflation fell to 1.7 per cent in December, the latest HomeLet Rental Index reveals, down from 3.8 per cent in December 2015...
Read More » -
Features
Cautious landlords hedge their bets
Cautious landlords seeking to balance tenant affordability with the need to generate returns are easing back on the rate at which they raise rents, HomeLet’s latest research shows. Across the UK, rents on new tenancies were just three per cent higher in October than in the same month of last year. With the average cost of renting a home now £902 a month, October was the second successive month in which rents rose by an average of only three per cent; in March rental inflation was 4.5 per cent a year. Landlords are aware that their properties must be affordable, as their own costs rise – the higher Stamp Duty rates on buy-to-let purchases and forthcoming reduction in tax relief on buy-to-let mortgage interest – they have so far been reluctant to ask tenants to pay significantly more. This caution may reflect anxiety about the uncertain economic outlook, with the Bank of England forecasting lower economic growth and higher inflation. Landlords are also aware that wage settlements have generally lagged inflation over the past two or three years, squeezing tenants’ disposable income. The restraint shown by landlords has encouraged tenants to remain in their properties for longer – now averaging…
Read More » -
Housing Market
Rental market inflation slows
Rents agreed in September were 3 per cent higher than a year ago, New data from the September HomeLet Rental Index reveals, but the pace at which rents are rising is continuing to slow, as landlords strive to ensure that tenancies remain affordable.
Read More » -
Resources
Rental market buoyant as tenants stay put
Rent across the country climbed again during July, building on the increases in the first half of the year, the latest HomeLet Rental Index shows.
Read More » -
Resources
Brexit uncertainty fails to halt rent rises
Population growth and limited supply continue to underpin the private rental sector, but rents rose at a slower pace during the first half of the year than in 2015, the HomeLet Rental Index reveals.
Read More » -
Uncategorised
Rent rise slowdown mirrors sales market
Rents in almost every part of the UK are continuing to rise, new research from HomeLet reveals, but at a slower rate than in previous months – markedly slower than a year ago.
Read More » -
Uncategorised
Regional rents close the gap on London
Private rents in London are rising at their slowest rate for two years, the HomeLet Rental Index reports, prompting questions over whether tenants are close to reaching an affordability ceiling in the capital. The average new tenancy monthly rent in London signed over the three months to January 2016 was £1,510, HomeLet’s data shows, 6.2 per cent higher than in the same period 12 months ago; the slowest rate of rental inflation seen since March 2014. Rents in other areas have increased more quickly. Across the South-East (excluding London), rents on new tenancies rose by 7.2 per cent over this period. In the East Midlands, rents rose by 6.8 per cent. The slower rental inflation in the capital means the gap between the rate of increase in the capital and in the rest of the UK, where rent rises averaged 5.5 per cent over the three months, has narrowed to just 0.7 percentage points, the smallest gap since last April. In October, when London rents were rising at 7.5 per cent a year, this gap stood at four per cent. This convergence between London and the rest of the UK may suggest that the much faster rental inflation seen in…
Read More » -
Uncategorised
National figures mask regional variations
Rents rose in 10 out of 12 regions last year, the latest data from the monthly HomeLet Rental Index reveals, but the headline figures mask some very significant regional variations, with certain towns, cities and regions registering much greater increases than others. Rents on new tenancies signed outside of London in Q4 were 4.9 per cent higher than in the same period of 2014, HomeLet’s figures show; the figure for the capital was 8.0 per cent. As a result, the average rent on a home outside London now is £739; at £1,523 in the capital – it is more than twice as high. As in previous years, Greater London saw faster rent increases than any other region, though the South-East wasn’t far behind, with a rise of 7 per cent. Rents on new tenancies signed in the East Midlands, the next best performing region, were up 6.4 per cent. On the other hand, average rents fell by 5.1 per cent last year in the North-West and by 0.6 per cent in Northern Ireland. HomeLet has also studied rent increases in leading towns and cities across the UK, finding that Brighton and Bristol saw higher rent rises than any other locations…
Read More »
