Investment property in the East of England is booming, with rents rising by 1.6 per cent in the last month and 7.4 per cent in the last year. It is now the region with the highest rents outside of London at £883 per calendar month, pulling ahead of the South East at £845.
The latest Your Move Buy to Let Indices for England & Wales and Scotland have shown that rentals continue to increase across Britain; with significant growth found in the East of England, Scottish Highlands and South of Scotland seeing significant growth.
The average rent across England and Wales stood at £800 in March. The cheapest location in the country to rent was found to be the North East, with the average rental being £525. In contrast, London was the most expensive place to rent a property, with the average rent in the capital standing at £1,203. However, the city has experienced slight decline, with rents having dropped 6.4 per cent from January’s total of £1,280.
In Scotland, all regions saw rents rise on a monthly basis, whilst on average rents were up 3.8 per cent annually. The average property in the country is now let for £565 per calendar month.
Scotland has seen a high demand for family properties boost its prices. This was most pronounced in the south of Scotland, which saw the fastest annual rent rise, with prices up 5.9 per cent in the past year.
The most expensive region in Scotland to rent a property continues to be Edinburgh and the Lothians, with the region demanding an average rent of £651.
Lettings Director at Your Move, Valerie Bannister, commented: ‘Rents in London have declined in the last 12 months, falling from £1,297 a year ago to £1,203 in March 2017. In previous months we have seen rents in the South East rise as people looked to move beyond the capital, but it is the East of England which appears to be seeing the benefit as rents here have risen 7.4 per cent in the last year. Though rents have dropped in the South East as demand continues to outstrip supply for affordable housing, the area remains good value for renters.’
Meanwhile, Lettings Director at Your Move Scotland, Brian Moran, said: ‘March saw a stellar performance across Scotland as every single region recorded higher rents than the previous month. Demand is increasing in segments of the market such as family homes, showing there is room for expansion of the rental sector. This increased demand is being seen in areas such as the Highlands and Dumfries, suggesting the rental sector is extending beyond the big cities. Yield levels have actually increased this month, bucking the trend seen in the rest of the UK. This shows Scotland remains a great place to invest, as well as a great place to live.’