The average advertised rent outside London is now £1,314 per month – that’s a 7% increase from last year! London rents are also at a record high, with an average of £2,661 per month, according to Rightmove.

While the rate of increase has slowed down from the peak of 16% in 2022, these figures are a sure sign that demand for rental properties is still strong.

Demand Outstripping Supply

This high demand is reflected in the number of enquiries landlords are receiving for their properties. On average, each property is attracting 17 enquiries from potential tenants. This is down slightly from 26 in 2023, but still more than double the 8 enquiries per property seen back in 2019.

Even though more rental properties are becoming available (up 14% from last year), the number is still 20% lower than pre-pandemic levels. This means that the market is still incredibly competitive, with more tenants looking for homes than available properties.

Government Intervention Needed

The good news for landlords is that the government is starting to recognize the need for more support to help improve the rental market. Labour has pledged to build 1.5 million new homes, which could help to address the housing shortage and improve the availability of rental properties.

However, Rightmove is also calling for further support for landlords to encourage investment in the private rented sector. They believe that incentives to improve energy efficiency and a more positive attitude from the government towards landlords will be key to boosting the quality of rental properties and achieving long-term stability in the market.

What This Means For You

These figures are a clear indication that the rental market is still booming. With strong demand and limited supply, landlords are in a great position.

While the government is taking steps to improve the rental market, it’s important to remember that the demand for good quality rental properties is likely to remain high for the foreseeable future. This means that if you’re thinking about investing in property, now is a great time to do it.