Increasing rental demand and difficulties in the accessibility of mortgages, for purchase of properties, has dramatically driven up the rent in the London, the north-east and the east Midlands region by an average of 7.8%
Average rents during the period May in both England and Wales have reached an all time high of £695. This is an evident but gradual increase of 0, 5% on the previous monthly quarter. A key factor in the influence of the increased rental price, explains the latest LSL Property Services buy-to-let index as being the “rental gazumping”, whereby the seller accepts a verbal offer from a potential buyer, but then agrees to accept a higher offer from another potential buyer or demands a higher price at the last minute.
Drastic increases in monthly rental rates have been proficiently evident and steadily increasing in the regions of east of England (1.4%) and the north-east (1.1%). On the contrary only the West Midlands (-0.7%), the south-west (-0.6%) and Wales (-0.2%) have seen an ongoing decline in monthly rental rates, according to the Guardian.
Across the board annual rental prices have increased by 4.4%, managing to stay scarcely under the average UK rate of inflation of 4.5%. Needless to say, rents have risen at most in London by 7.8% in the last 12months, followed closely by an average of 6.3% in the north east and east Midlands. Only both the south-west and east of England region have experienced a decrease in rental prices of- 0, 4% and -1, 2% respectively. Read more of this post