UK Rents Fall for the Second Consecutive Month

New Data from HomeLet’s Rental Index has revealed that rents fell again in June for the second month in a row.

According to the new data released this week by HomeLet, rental values across the UK have fallen by 0.3% in the year to June, taking the average monthly rent down to £908. This is the second month in a row that rents have fallen.

Before May this year, rental values hadn’t dipped since the financial crash of 2009. Political and economic uncertainty over the last couple of months has deterred landlords from raising rents.

The London rental market experienced a decline of 2.6% in the average rent charged compared to June 2016. The North-East was the only region to experience a bigger dip in rental values — down 3.1% on the same month last year.

Data from the past three months shows that rental values in the capital have fallen gradually, despite having risen more rapidly than any other region in the previous two quarters.

Average rental price inflation was as high as 4.7% in June last year, but slowed considerably in the wake of the Brexit vote.

About HomeLet

HomeLet is part of the Barbon Insurance Group, and provides specialist insurance products to the private rented sector. HomeLet also provides landlords and letting agents with a fast, accurate and intelligent tenant referencing service. For more information please visit https://homelet.co.uk.

About the HomeLet Rental Index:

HomeLet Rental Index provides the most comprehensive and up to date data on new tenancies in the UK. As part of referencing prospective tenants each year, HomeLet processes information including the rental amounts agreed, the number of tenants moving into the property, together with the employment status, income and age of all tenants. The trends reported within the HomeLet Rental Index are brand new tenancies which were arranged in the most recent period, giving the most relevant insight into changes in the Private Rented Sector. This is in contrast to many other rental indices which are based on all properties which are being managed, which may have had rental amounts agreed as long as two years ago.