Average rents rise 1.2pc

Robyn Hall

September 25, 2013

London saw the biggest rent rise (1.9%) followed by the South East (1.1%). When London is excluded private rents in Great Britain rose by 0.8%.

In England prices grew by 1.1% with Scotland and Wales both seeing 1.3% increases.

George Spencer, chief executive officer of online lettings company Rentify, said: “Rents rose modestly over the past year as far as the national average is concerned but this conceals significant regional differences.

“In some parts of London, for example, there is huge upwards pressure on rents in areas where rental property is in great demand and there is a shortage of stock but in other parts of the country rents are languishing or even falling and landlords are faced with void periods.

“We question how useful a national index is to landlords or tenants because it may present a very different picture to the one they find in their area.

“However, this reluctance of landlords more generally to hike rents is something we are seeing. While demand dictates pricing, our data shows that many landlords prefer longer-term tenants to higher rents.

“Landlords would rather retain a tenant who knows the property, looks after it and pays their rent on time than go chasing new, untested tenants who might pay a bit more.

“One of the most time-consuming elements of letting property is settling in new tenants so landlords who can avoid doing this too frequently tend to prefer it.”

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