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Rent rises have almost doubled in a year Posted On 30 April 2024

According to the most recent official government rent index, the average private rent in the UK rose by 9.2% during the course of the year ending in March 2024

 

Over the same time frame, average monthly rent in England rose to £1,285 (9.1%), in Wales to £727 (9.0%), and in Scotland to £947 (10.5%). The percentage for Northern Ireland was 10.1%. England's private rent inflation rate was 6.1% in the North East and 11.2% in London.

 

Due to the ongoing mismatch between supply and demand, rents are still growing, albeit a little more gradually. In practice, affordability is the primary factor, but the recent announcement that the cost of living is increasing more slowly will undoubtedly benefit tenants—especially those who spend a large percentage of their income on living expenses. The majority of landlords understand that a great tenant is preferable to the highest rent, despite the fact that many are finding it difficult to pay increased regulatory, mortgage, and tax expenses. The rise in annual rental values is almost double digits because of strong demand and limited supply.

 

The mismatch between supply and demand that exists in many UK regions is the primary cause of the rise in private rental inflation. There are still many more renters than there are homes, even though the record highs for tenant demand were reached last summer. The supply of rental properties has to be expanded to keep up with the anticipated rapid population growth and household formation in the upcoming years.

 

Landlords are constantly adapting and changing to meet the challenges of the cost of living crisis which continues, and in order to make their rental a worthwhile business, rent increases are often inevitable, necessary, and justified.

 

 

#property #rental #landlords

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