Average monthly home rent in London are higher compared to the rest of the UK

Average monthly home rents in London are higher compared to the rest of the UK

According to Rightmove, a property website, the average monthly rent in the first quarter has surged to a record high of £1,190, while tenants in the capital are paying more than £2,500. The surge has been ongoing for 13 successive quarters since the end of 2019, even though the pace of growth has declined over the last nine months.

Rents in London this year have hit a record high of £2,501 in the first three months. Compared to the previous three months, rents rose 0.9%, the smallest increase in two years.

According to Rightmove, although the overall supply of rental properties available is 6% higher compared to lows recorded in the first quarter of 2022, it is still 46% below 2019’s level.

Competition among renters increased as a result of the supply and demand mismatch, with the number of inquiries per property increasing by 173% in the first quarter compared to the same period in 2019. Nevertheless, it has decreased by 2% from the same three months in 2017. In the first three months of this year, demand was up 48% from the same period last year and up 4% from the first quarter of 2019.

A director at Rightmove, Tim Bannister, stated: “We have seen some early signs of improvement on squeezed supply levels this year, though with no significant influx of new properties becoming available to rent currently on the horizon, the mismatch is set to continue for some time.”

“Many agents are having to manage a very high volume of tenant inquiries for every property that they let in the current market. Properties in popular areas within an affordable asking rent range of that local area are likely to be snapped up almost immediately, and on average, homes are finding a tenant much more quickly than this time in 2019.”

“Although there are some early signs that the gap between supply and demand is starting to narrow a little, it will still feel very competitive for tenants trying to secure a home.”

- Published By Team Timeswire

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