March 25, 2011
UK tenants are suffering from an increase in living costs as rents continued their upward trend this February, research has indicated.
Experts claim there are too few properties available to meet property rental demand, forcing the average rent in England and Wales to edge ahead by 0.2% to £684 a month, making the typical cost of being a tenant 3.9% higher now than in February last year, LSL Property Services revealed.
"The fierce competition among renters in many areas of the country has cut short the traditional lull we tend to see between December and February," said David Newnes of LSL Property Services.
"Around 158,000 fewer first-time buyers were unable to enter the market in the last 12 months, compared with three years ago. With the mortgage market even more sluggish since the start of 2011, this backlog of frustrated buyers has increased even further and rents have risen correspondingly."
Amidst the rental increase, there continues to be wide regional variations in prices, with Wales seeing the biggest monthly change at 1.9%, followed by the North West at 1.1%. However, that pales in comparison to London, which has seen the largest annual increase in rents at 7.7%.
Yet despite the widespread increases, average rents actually fell in four regions, with the North East reporting a 1.4% slide, and they have remained broadly static during the past year in the North East, North West and East of England.
Property owners looking to improve their finances have been advised that if they are lucky enough to have properties laying vacant, opening the doors to tenants could boost their financial security.
To make sure you meet all Government standards before advertising in the rental market, contact our property experts today.
