27/03/2008

Buoyant Rental Picture

According to the latest ARLA survey, average rents in the private sector have risen by an average of 4% for houses and 2% for flats in the three months to the end of February. These averages have been boosted by a 9% rise in the prime Central London market and a 5% rise away from the South East. In the South East itself, rents fell slightly, by 2% for houses and 5% for flats. These figures are seen as emphasising the start of a new housing cycle

The improvement in rents received includes an increase of well over £3,000 a year for renting a house and £1,500 for renting a flat in Prime Central London. Rents have risen in the rest of the country too, from an average of £931 to £981 for houses and £619 to £664 for flats. In the South East the average rent dropped from £1390 to £1361 a month for houses and from £ 930 to £882 for flats. In all the regions the cost of renting a house against renting a flat is around half as much again, between 48% and 61% higher. 

For the last three months the proportion of ARLA members saying that they have more tenants than properties is at its third highest level since quarterly ARLA surveys began nearly six years ago.

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