By UK rents rose by 1.5 per cent in November compared to the same month in 2017 and were recorded at £918, according to data from the HomeLet Rental Index. Also, the data shows that rents rose in nine out of twelve regions across the UK.
In London, the average monthly rent price increased by 4.4 per cent in November 2018 compared to November 2017 and was recorded at £1,597. This is an increase of 110.0 per cent when compared to the UK average monthly rent of £918, according to the recent HomeLet data.
The average rental value in the UK, when excluding London, was recorded at £760 in November 2018, which is an increase of 0.9 per cent on the previous period last year. The average rental value in London of £1,597 is 74 per cent higher compared to the rest of the UK at £918, according to the recent HomeLet report.
However, the November average rental value for London recorded at £1,619 has dipped slightly from the October 2018 average rental value.
In the UK, the average rental value decreased by 1.1 per cent between October and November 2018, according to the recent HomeLet report. There are a number of areas across the UK that saw a decrease in their average rental value between October to November 2018. The South East dropped 1 per cent from to £1,010 to £989, and the East of England decreased 1.1 per cent to £898 from £908.
Other areas that saw a decrease in the average monthly rental value included Yorkshire and Humberside, which saw a 1.3 per cent decrease to £623 from £631. The West Midlands saw a 0.7 per cent decrease from £693 to £688 and the East Midlands decreased by 0.5 per cent to £625 from £628, according to the recent data.
Those areas which saw an increase in the average rental value between October to November 2018 were; the North East by 0.4 per cent to £517 from £515 and the South West, which increased 1 per cent to £819 from £811.
When comparing the average rental values between October to November 2018 for other countries in the UK, Wales saw a decrease by 2.4 per cent to £599 from £614, Northern Ireland’s average rental values decreased by 2.1 per cent to £639 from £653 and Scotland saw a 1.9 per cent decrease to £635 from £647.
The HomeLet Rental Index data is gathered from the HomeLet tenant referencing service that included brand new tenancies that were arranged during the month of November 2018, which gave the latest rental figures received by private landlords.
Average UK rent price increased in November compared to 2017
Although there was a decline in the average rental value month on month between October and November 2018, the average rent price has increased year on year when compared to November 2017. The highest year on year increase in rent price was recorded in Greater London, which saw a 4.4 per cent increase, pushing the average rent price in the capital to £1,597.
However, the UK area that saw the lowest decrease in year on year average rent price was Yorkshire and Humberside, which dipped by 3 per cent compared to November 2017, despite a slight increase of 0.4 per cent recorded in October 2018, according to the recent November HomeLet Rental Index.
Other areas across the UK that saw a positive increase in the year on year average rental price in November 2018 were Scotland, which increased by 2.4 per cent to an average rent price of £635, Northern Ireland by 2.9 per cent to £639 and the South West of England, which increased by 2.1 per cent to £819. This region also saw an increase in the average monthly rental value of 1 per cent.
The recent data revealed that there was a decline in average monthly rental values recorded in November 2018 across many regions in the UK, in spite of a year on year increase in the average rent price when compared to 2017. Martin Totty, chief executive at HomeLet commented: “Although on the increase, on average UK rents are rising slower than inflation at just 1.5 per cent.
“However, there are some areas of the country showing more extreme variance. It’s not surprising that London rents are continuing to rise at nearly double the rate of inflation, having seen a 4.4 per cent increase. Meanwhile, Yorkshire and Humberside has seen the greatest decrease in the last twelve months. Despite a modest 0.4 per cent rise since October 2018, the region’s annual variance is negative 3 per cent.”
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