Home Property How does population impact rental prices?

How does population impact rental prices?

by LLP Reporter
14th Aug 19 2:17 pm

Research by leading room share platform, ideal flatmate, has looked at the impact population size has on rental prices in major cities and towns across England and Wales.

Using government data on private rents and population figures, ideal flatmate looked at the average rental price across cities within certain population brackets, starting at 50,000 to 100,000 people and climbing.

The highest average rental cost is found in the nation’s most major cities with a population above 500,000 people which is perhaps to be expected as these cities traditional attract the greatest level of tenant demand while house prices see many priced out of buying. Bradford, Birmingham, London, Leeds, Sheffield and Manchester are home to an average rental cost of £865 with rents ranging between £530 and £1,727, the highest of all population brackets.

But it isn’t as straight forward as the larger the population the higher the rental price. In fact, towns and cities with smaller population sizes are actually home to some of the next highest average rents.

The smallest towns and cities where the population sits between 50,000 to 100,000 are home to an average rental cost of £732, climbing to £807 in towns and cities with a population of between 100,000 and 150,000, and increasing further still to £830 per month for a population between 150,000 and 200,000.

However, at this point the average cost of renting drops notable with towns with a population of between 200,000 and 250,000 home to an average rent of just £688. The average rent then drops again to £670 for towns and cities with a population between 250,000 to 300,000.

But even better value for tenants are towns and cities with a population between 300,000 and 500,000, with the average rental cost at just £628 per month, with the highest average rent marginally over £1,000 and the lowest just below £500. This means that cities such as Liverpool, Bristol, Cardiff, Coventry and Nottingham offer some of the best value for tenants without sacrificing the city life that many leave home in search for.

Co-founder of ideal flatmate, Tom Gatzen said, “For many, moving away from home to a major city can be their first experience of the rental sector and all too often it can be a negative one due to the high costs of living.

While population size can be a driving factor behind demand for rental properties the data shows that more people doesn’t necessarily mean higher rents.

Although a supply-demand imbalance can push rents up, it would seem that there is a sweet spot where rental costs remain pretty tenant friendly without the need to ditch the big city lifestyle.”

Population categories – by average rental prices
Population Bracket Average Population Average Monthly Rent Highest Monthly Rent Lowest Monthly Rent
50,000 to 100,000 83,807 £732 £1,288 £458
100,000 to 150,000 124,200 £807 £1,413 £457
150,000 to 200,000 173,389 £830 £1,366 £533
200,000 to 250,000 221,233 £688 £1,034 £486
250,000 to 300,000 269,973 £670 £1,302 £427
300,000 to 500,000 364,520 £628 £1,070 £471
500,000 + 2,075,467 £865 £1,727 £530
         
City population and average renal price by population category
Population Bracket Cities and Towns Population Estimates (thousands) Average Rent (per month)  
500k London 8869.1 £1,727  
Birmingham 1137.8 £715  
Leeds 786.2 £760  
Sheffield 578.1 £618  
Manchester 547.7 £839  
Bradford 533.9 £530  
300k-500k Liverpool 491.6 £499  
Bristol, city of 461.2 £1,070  
Cardiff 362.8 £733  
Coventry 359.9 £637  
Leicester 353.1 £600  
Wakefield 338.9 £546  
Nottingham 327.2 £647  
Wigan 324.4 £509  
Dudley 318.2 £571  
Doncaster 307.9 £471  
250k-300k Newcastle upon Tyne 295.6 £717  
Stockport 291.0 £727  
Brighton and Hove 289.6 £1,302  
Bolton 284.7 £583  
Walsall 280.5 £564  
Sunderland 277.5 £528  
Milton Keynes 269.1 £976  
Plymouth 263.3 £569  
Rotherham 262.9 £507  
Kingston upon Hull, city of 260.6 £427  
Wolverhampton 259.5 £555  
Derby 257.6 £578  
Stoke-on-Trent 254.6 £481  
Southampton 252.4 £793  
Salford 250.7 £747  
200k-250k Swansea 246.5 £552  
Barnsley 243.7 £486  
Oldham 233.7 £562  
Northampton 226.6 £718  
Swindon 220.1 £698  
Luton 218.0 £816  
Rochdale 217.2 £515  
Portsmouth 214.6 £812  
Solihull 213.1 £898  
Warrington 210.0 £633  
York 208.2 £1,034  
Gateshead 203.1 £536  
150k-200k Peterborough 198.7 £649  
Stockton-on-Tees 196.8 £559  
Bournemouth 195.4 £848  
Colchester 190.2 £813  
Bury 189.0 £624  
Basildon 185.4 £985  
Southend-on-Sea 181.8 £830  
St. Helens 179.0 £533  
Chelmsford 175.3 £968  
Telford 174.9 £593  
Bedford 170.8 £802  
Maidstone 167.4 £867  
Wokingham 164.5 £1,220  
Canterbury 164.1 £873  
Reading 164.1 £1,010  
Harrogate 160.5 £847  
Oxford 155.3 £1,366  
Braintree 151.9 £814  
Newport 151.5 £539  
Poole 151.2 £872  
100k-150k Huddersfield 149.0 £540  
Slough 148.8 £994  
Guildford 148.2 £1,413  
St Albans 147.8 £1,310  
Blackburn 146.5 £492  
Lancaster 142.1 £585  
Thanet 142.0 £685  
Norwich 141.1 £787  
Preston 141.0 £547  
Middlesbrough 140.6 £457  
Warwick 139.8 £834  
Blackpool 139.5 £521  
Horsham 139.5 £1,052  
Ipswich 139.3 £643  
Stafford 134.1 £618  
Eastleigh 130.2 £856  
Gloucester 129.6 £661  
Exeter 129.0 £976  
Newcastle-under-Lyme 128.8 £581  
High Wycombe 125.3 £1,093  
Cambridge 124.5 £1,225  
Havant 124.4 £846  
Winchester 124.1 £1,165  
Chichester 120.1 £966  
Sevenoaks 119.6 £1,386  
Bracknell 119.4 £1,021  
Stroud 118.2 £739  
Cheltenham 117.6 £808  
Fareham 116.4 £891  
Chorley 115.4 £582  
Dover 115.1 £673  
Basingstoke 113.8 £933  
Crawley 112.2 £990  
Worthing 110.0 £807  
Carlisle 108.5 £478  
Mansfield 108.4 £502  
Scarborough 108.1 £516  
Darlington 106.3 £484  
Rugby 106.0 £706  
Chesterfield 104.6 £533  
Eastbourne 103.7 £772  
Lichfield 103.0 £727  
Worcester 102.5 £633  
Lewes 102.4 £1,004  
Woking 101.6 £1,289  
50k-100k Kettering 99.8 £664  
Great Yarmouth 99.2 £557  
Lincoln 97.7 £569  
Watford 97.6 £1,059  
Bromsgrove 97.3 £739  
Bath 95.0 £1,288  
Hastings 93.4 £648  
Hartlepool 92.9 £470  
Tewkesbury 89.6 £744  
Stevenage 87.8 £882  
Burnley 87.5 £458  
Selby 87.5 £608  
Harlow 86.5 £934  
Rochford 86.1 £965  
Gosport 85.8 £745  
Redditch 85.1 £674  
Scunthorpe 82.5 £475  
Daventry 81.5 £809  
Wellingborough 78.9 £704  
Bolsover 78.6 £484  
Brentwood 77.2 £1,139  
Tamworth 76.9 £660  
Corby 69.5 £560  
Boston 68.1 £609  
Barrow-in-Furness 67.2 £522  
Maldon 63.7 £864  
Christchurch 50.0 £924  
         
Sources        
Population data for cities and towns        
Mid-year population estimates for major towns and cities, 2016        
Population projections for local authorities: Table 2        
Cardiff.gov        
Swansea.gov        
StatsWales.gov        
         
Cities and Towns information        
Centre for Towns        
         
Private Rent        
Gov.uk        
Gov.wales        
Gov.scot        
Ulster University        
         

 

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