Rents Up 5.7% in UK Property Market, Per Goodlord

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Rental Growth Continues Along Strong Trajectory in the UK

According to the April 2024 Goodlord Rental Index, rents have risen by 5.7% over the last year.

Today, we’re looking at the data in detail and seeing what it means for property investment in 2024.

Read on for more information.

Discover More: Is it a good time to invest? Check out our property investment guides to learn more. Additionally, you may want to read our guide on the different types of property investment.

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How Much Is the Average Rent in the UK According to Goodlord?

In the last month, property prices averaged £1,166, up from £1,103 in April 2023.

The South West saw the most significant rent increase, up 11% from last year to an average of £1,184 per property.

In Greater London, rents increased by 3% compared to 2023. Across England, rents rose by 0.6% from March to April, reaching £1,166.

The East Midlands experienced the most significant month-on-month increase, with rents up nearly 3% compared to March.

Only two regions saw rent reductions, with the West Midlands down 1% and Greater London down 0.15%.

As expected, Greater London had the highest rents at £1,951, while the North East had the lowest at £863 per month.

Void periods remained steady, averaging 19 days in April, up one day from March.

Only Greater London saw a decrease in voids, dropping from 16 to 15 days in April.

The average void period in April 2024 matched that of April 2023, indicating stability despite fluctuating rental prices.

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What Did Goodlord Say About the Latest Rental Data?

CEO of Goodlord, William Reeve, said: “The latest data show that year-on-year rent rises continue, with rents up 6% compared to this time last year. Although inflation has now dropped to 3%, the ONS is reporting earnings growth of 6%. Rents neither outpacing nor lagging earnings implies the market is stabilising – an idea supported by what we see with voids which are tracking closely to the 2023 figures. ”

The Goodlord Rental Index follows the latest Zoopla House Price Index, which also showed considerable growth in the UK rental market.

The latest rental index from Zoopla reveals that the average UK rent for new lets has reached £1,223, resulting in an additional £960 in yearly expenses for tenants.

While not as pronounced as in previous years, the current inflation rate remains notable. In 2023, rental growth decreased from 11.4% to 8.2%. Nevertheless, rent continues its upward trend, with a 7.2% increase in the past year, indicating a shift towards a more stable growth rate.

If you’d like to look at more regional-based property investment insights, check out our buy-to-let area guides. Some of our more recent pages include:

Author

Dale Barham

Dale is a property content writer at RWinvest. Keeping a close eye on the UK property market, Dale helps our readers stay informed and up to date on the latest market news and statistics.