Rents Fall And Void Periods Vary In April
It is unsurprising that during April the average monthly rent fell across the UK whilst void periods fluctuated, according to an online lettings platform’s latest rental index.
Throughout lockdown it is continually causing grave economic hardship across the majority of sectors. The platform’s latest rental index found that during April last month void periods increased in five of the eight UK regions that the index studied.
According to its data, numbers of completed and new tenancies plunged during the run-up to Easter, however towards the end of April the numbers quickly recovered to jump back to March’s levels.
The average monthly UK rental costs fell across five out of the eight monitored regions by 2% in April from £878 to £861per month.
Both Wales and the West Midlands recorded the biggest average drop in rents by 6%, the North East fell by 4% with North West and Greater London experiencing a 2% reduction.
However the good news is that both the South East and East Midlands recorded a slight 1% increase in average rental prices with the South West remaining static.
Regarding void periods, there were only very slight increases recorded in the North West of three extra days, East Midlands, Greater London and the South East increased by just two days; however the South West had the biggest increase of five days.
Tom Mundy of the lettings platform, said: “Everyone in the industry is doing what they can to cope with an unprecedented set of challenges.
“With restrictions on movement continuing, it’s no surprise that market activity is significantly down year-on-year, and that rents and void periods are fluctuating across the regions.
However Mundy is confident of the sector’s recovery as over the first week in May the platform’s lettings activity tracker found a new level of consistency in rental demand.
He added: “Whilst a halving of activity year-on-year remains a crippling statistic for the industry, we also believe a huge amount of pent up demand will be released once lockdown lifts.
“Agents who are able to plan ahead for this, and can ensure their strategies adapt to the new normal of social distancing, will be in a strong position to capitalise on that surge.”