London Rents Plummet As Other Areas Soar
A tenant insurance provider has just released its latest report showing that areas’ rents outside of the capital are flying high whereas London’s are falling.
The UK average rent now stands at £997, a 0.4 per cent increase in the corresponding period last year which is another trail blazing high.
Every region except London experienced an increase in monthly rent year in year and if the capital is taken out the equation, the average UK rent is now £854 which is 6.4 per cent higher than last year.
London’s rents continued falling to an average price of £1,583 – 0.9 per cent lower than the same time last year.
The highest rent increase of 8.5 per cent against the corresponding time last year was enjoyed by the East of England, however the most noteworthy rent increase occurred throughout Scotland rising in May by 2.6 per cent to £707.
However in East Midlands monthly rents dropped by 0.7% from last month with an average rent of £704.
A spokesperson for the firm, said: “We’ve seen from sharp house price spikes across the country that the Coronavirus pandemic changed what Britons are looking for in a property.
“Many said to be looking for properties offering more living space; for those working from home as an example, that’s also the case in the private rented sector.
“Rental properties continue to play a crucial role in meeting the demands of people up and down the country, and the flexibility and responsiveness shown by the private rental sector will be vital in the coming months as the country opens up again.
“As rents increase, we’ve also seen an increase of over 10% in suspicious and fraudulent applications for let property; with backlogs and delays in processing evictions, the demand for high-quality tenant reference and insurances has never been higher.
“The overwhelming success of the vaccination drive brings hope that returning to some form of normality could be on the horizon. However, we would still caution that millions could be made unemployed at the end of the furlough scheme – posing considerable problems in tandem with an unbalanced rental market.
“Whilst the government looks to stimulate homeownership, the importance of the private rented sector can’t be understated and should not be overlooked.”