The average rent for properties in the UK increased in July by 2.2 per cent over June to stand at GBP 767 per month, the HomeLet Rental Index has revealed. This is the highest monthly average recorded since September last year. With the exception of Scotland, all regions in the UK experienced an annual rise in rents and Greater London saw the largest percentage change of 11.61 per cent.
According to the survey, this puts rents in the capital at an average of GBP 1,154 per month and makes them 50.5 per cent higher than the average for the rest of the nation. However, the biggest monthly rise in the amount tenants have to pay to lease a property was noted in the south-west, where rents jumped by 4.9 per cent between June and July.
Last month, Peter Mindenhall, researcher at IPINGlobal.com, warned that continued monthly rises in average rental prices across the country could result in tenants defaulting on payments as a result of unemployment and a lack of wage increases. He stressed that any investors need to thoroughly research the local Buy to Let market to ensure they are pricing appropriately.