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Rents up and voids stand firm as market warms up in May

by LLP Finance Reporter
1st Jun 23 3:42 pm

The cost of rent across England rose for the fifth consecutive month during May, according to Goodlord’s latest Rental Index. During the month, voids also held steady – evidence that market demand remains strong heading into summer, traditionally the busiest time of year for the sector.

Rents rise in majority of regions

Six of the eight regions monitored by Goodlord saw rents rise over the course of May. The average cost of rent per property in England is now £1,111. This is up from £1,103 in April, a 1% increase.

Rents have now risen for five consecutive months. And prices are now at their highest level recorded since September 2022.

The biggest shift in prices during May was recorded in the South West, where rents were up by nearly 3% – rising from £1,062 to £1,092.

Only two regions recorded a decline in the cost of rent, albeit negligible. The East Midlands saw costs drop by 0.47% and the North East by -0.19%.

Voids held steady during May, with the England average remaining at 19 days. This is the same figure as recorded in April.

The highest voids can now be found in the West Midlands, where averages stand at 23 days. Unsurprisingly, London retains the title for lowest void periods, currently at 12 days.

Three regions saw a notable shift in void periods during May; with the East Midlands, North West and South West all seeing void lengths drop by over 9%.

Oli Sherlock, Director of Insurance at Goodlord said, “As we head into what are traditionally the busiest months of the lettings calendar, it remains to be seen as to whether we’ll hit the same rental cost highs recorded last summer.

“But the data is pointing to the ongoing rise in prices continuing and, with voids also holding firm, the market is definitely primed to heat up as we head into June.”

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