Average UK Rents Readjust And Start Falling
Current rental prices in the UK hit £1,172, representing a marginal drop against previous months.
Several rental property experts confirm falling average rental values across the UK for the second consecutive month. How significant is the decrease?
Rental Values In 2023
Rental values skyrocketed in H2 2022 as homeownership costs increased, and many people decided to opt for rental options, including rental flats in London. Interestingly, December 2022 marked the first month when average rents started to fall.
This trend continued throughout January 2023 as average rental prices hit £1,172, a 0.2% decrease against the prior month.
As for the London property market, rental values in the capital saw the most significant monthly drop of almost 1%, falling from £2,007 pcm (per calendar month) to £1,989 pcm.
Interestingly, average rents in the North East and the East Midlands saw a 0.8% increase, with average prices reaching £623 pcm and £803 pcm, accordingly.
These figures represent the latest data on actual achieved rental values for just-agreed tenancies. As a result, these trends represent an in-depth insight into the current rental market state in the UK, including London.
Rental Experts Add
Several rental specialists confirm falling rental values in December 2022 and January 2023, with the average number reaching £1,172 pcm.
Despite these trends, the rental market remains heated as average values are at record-high levels. Moreover, specialists anticipate rents to rise throughout 2023 despite marginal drops in the past two months. Excluding London, average UK rents remained unchanged at £977 pcm.
The costs of living crisis affects tenants just like homeowners as renters struggle with rising rental values. As a result, experts anticipate heated market conditions in the coming months, provided market settings remain the same.
