The Rise of the Rental Sector- Part 1

Two recently published reports have highlighted the recent rise in rental values whilst supply has dropped.

Sequence reported that new tenancies in the UK increased by 16% year on year.  They also report that demand is up by 11% annually but supply is down by 13% for the same period.  The average monthly rent, excluding London now stands at £702, up by 5% on last year.

In a separate report, Homelet, a referencing company, reported that the average rent on newly signed tenancies were up by 2.5% on those signed in December.

The situation in our area is very much reflected by these figures as we have noticed a definite increase in rental values whilst supply, especially of new properties to the market, has dropped whist there are still good quality tenants looking and frustrated by the lack of stock.