The average asking rents for tenants in the UK outside of London have risen to yet another all-time record of £1,190 per calendar month (pcm) according to Rightmove’s Q1 Rental Trends Tracker, which makes Q1 2023 the thirteenth consecutive quarter where rents have risen – running back to the end of 2019.
According to Rightmove’s Quarterly Rental Trends Tracker for Q1 2023, the average rents for tenants in the UK outside of London has risen to an all-time high of £1,190pcm, with this being the thirteenth consecutive three-month period where asking rents have risen. Rising by 0.9% in Q1 2023, the average rents in the UK have continually risen since Q4 2019 as the supply in the UK rental market remains “very constrained” and “historically low” – with the supply of available properties in the market a staggering 46% lower than the level in 2019.
The significant gap between supply and demand in the market and the subsequent competition between tenants for the homes available maintains an imbalance, as the volume of tenants enquiring for each property vastly outweighs the number of homes to rent in the UK, and competition between tenants is still more than double (173%) higher than the level it was in 2019 and exceeds the frenetic levels the market experienced during the pandemic.
The number of tenant enquiries for properties to move into has reached 4% higher than last year and is an incredible 48% higher than the number in 2019, with apartments currently finding a tenant “the quickest” in the market – exceeding all other property types – as they are in such high demand.
“Many agents are having to manage a very high volume of tenant enquiries 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.” Tim Bannister, Rightmove’s Director of Property Science.‘‘
At Beech Holdings we have experienced first-hand the insatiable demand for rental properties, with our in-house lettings team, Manchester Apartments, having already let 59% of our portfolio for next year, in comparison to just 27% this time last year. With our market-leading approach to letting our apartments prior to completion, and the incredible demand currently experienced in the UK rental market, you can invest with a business who will have a tenant secure before your purchase completes, and be sure that you start earning your returns from day one.