Average monthly rent jumps above £700
Monday, 18 July 2011 11:28 AM
The cost of an average monthly rental property in England and Wales hit another record high in June as it jumped over the £700 barrier for the first time.
According to LSL Property Services’ Buy-to-Let Index, annual rent inflation last month hit 4.1 per cent year-on-year.
London rents climbed the most at 6.9 per cent, reaching record averages of £1,006 per month in June.
Rents in the South-West changed the least over the year, rising just 0.4 per cent to an average of £629 per month.
The North-East remained the area with the cheapest rents, with an average monthly charge of £514.
Despite the high cost of renting, the Index showed that tenant arrears dropped by 18 per cent year-on-year with the total amount of late or unpaid rent falling from 11.5 per cent to 9.3 per cent over the period.
David Newnes, estate agency managing director of LSL Property Services, said: “Tenant demand continues to reach ever higher peaks – and there simply isn’t enough rental property coming onto the market to match it.
“In areas like London where competition for rental property is most intense, it’s not unheard of for rental properties to be let within a day of coming on to the market. We’ve had five successive months of rent rises, but there is no sign of a let-up anytime soon.”
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