Rental growth picks up for the sixth month in a row
The rental market has picked up for a consecutive sixth month, suggest sources in the property sector, with reports showing a 4.
3% increase in January – which is 0.2% higher than the 4.1% figure in December.*
The South East topped the rental growth market, seeing a 10% increase in rents over the last 12 months.
The lowest rental region in the UK was the North East, with an average rental cost of £539 per month, whilst the highest region being Greater London had an average rent of £1,556; an approximate difference of 288% for the country’s capital.**
What are the main reasons for this rental market growth?
Cost is an obvious drive for rental growth as we continue to see house values rise.
From 2007 to 2017, the property market saw the average UK house rise in price by just shy of £40,000, which has had a knock-on effect to tenants.
Another possible factor could be that – in the last 12 months – more and more people are becoming tenants due to so called ‘risk factors’, for instance, lengthy 25-year mortgages and not wanting to worry about house depreciation over time.
This has been amplified by those who have decided to rent for longer, such as first-time buyers delaying their purchase plans.
Changes in society also play a massive part in the rental market, as households are embracing the ability to move out easier and not being committed to a given property.
How we can help
With a tried and tested method to support landlords, we can help you maximise your property investments and make smart choices with your portfolio.
Contact a member of our team now to explore your options.
*Letting Agent Today
**Statista
This article was originally published by BriefYourMarket and is reproduced here with their permission.
For more company news and insights from Pygott & Crone, click here
Latest news
One third of properties need price reductions: How to avoid joining them
January 2026 brought a strong start to the property market.
Mortgage rates and what they mean for buyers and sellers
Mortgage rates and what they mean for buyers and sellersMortgage rates are one of the most significant factors in the UK property market, influencing how much buyers can borrow, which price brackets are accessible, and how sellers should calibrate their expectations.
What buyers are actually doing during a viewing, and why it matters
What buyers are doing during a viewing, and why it matters A viewing typically lasts thirty to forty-five minutes, and within that window a browser becomes a buyer, or does not.
Preparing for a valuation visit: What agents actually look at
Preparing for a valuation visit: What agents actually look atMost sellers tidy the house before an agent comes to value it, which is sensible enough.
