According to insurance company HomeLet, its latest monthly index indicates that the East Midlands has seen an increase of some 3.8 per cent on the average monthly rent in the region from the same time last year.
Monthly rent has increased from £653 in September 2019, to £678 in the same month this year, showing landlords and property experts that the rental sector in the region remains vibrant.
Taking the UK as a whole, on an annual basis, 10 of the 12 regions showed an increase in rental values between September 2019 and September 2020, with the South West seeing the highest increase of 6.6 per cent.
“Whilst it’s undoubtedly the case many landlords are being supportive of their tenants and agreeing temporary reductions or deferrals, it will be encouraging for them to see rents agreed on new tenancies, in almost all parts of the country, are continuing to hold up and generally edge forward” says Martin Totty, chief executive at HomeLet.
Totty continues: “This is likely because tenant demand remains strong whilst supply may be a little more constrained if some landlords are selling into a stronger sales market, even if that could be a short-term phenomenon.
“So, those landlords committed to the sector for the long term and having shown their willingness to confront the multiple headwinds of: taxation change; new regulatory requirements; and, in certain circumstances, longer notice periods to gain possession of their properties, may still be rewarded for their flexibility and their perseverance with reasonable returns on their investment risk.”
When London is excluded, the average rent in the UK is now £828, up by some 3.9 per cent year-on-year, causing general optimism in the sector as a whole.