You are here: Home - Mortgages - First Time Buyer - News -

First-time buyer boom does little to halt rent rises

Written by:
A thriving first-time buyer sector has done little to slow rent rises, data from LSL Property Services has found.
First-time buyer boom does little to halt rent rises

The average rent stood at £743 at the end of August. This represents a 0.7% rise on the previous month and 1.3% compared to the same period last year.

Rents are now £1 behind the all-time high recorded in October 2012.

Eight out of ten regions saw rents increase month-on-month with the South East recording the biggest rise at 2.3%.

However, those with properties in North East towns such as Middlesbrough and Hartlepool fared worse as rents slumped by 0.8% across the region. Average rents in the East Midlands also fell month-on-month.

David Brown, commercial director of LSL Property Services, said an increase in the number of first-time buyers had not had a damaging effect on the rental market.

“Releasing a blast of that pent-up pressure to buy a home is unlikely to change the long-term trend to renting. Although government schemes are helping, buying a first home is still extremely hard on the back of low salary growth.

“As hundreds of thousands of new households look for homes, it’s increasingly private renting that’s absorbed the pressure. Autumn brings the seasonal peak for the rental market, in part due to the spike caused by student renters, and the sheer volume of lettings activity shows demand this year is as strong as ever.”


Tag Box




Financial fitness

There are 0 Comment(s)

After an award-winning health insurance provider?

Winner of best online health care provider in the Your Money Awards 2015

Guide to Self-Employed Mortgages

Download/watch our Guide/video on Self-Employed Mortgages, produced in association with Precise Mortgages. ...

BNY Mellon launches investment guide for women

BNY Mellon has produced a free ‘Guide to Investing for Women' to provide an introduction to investing and lo...

Your ultimate guide to the new ISA rules

As the new ISA – or "NISA" – rules come into force, we explain what has changed and how you can benefit.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Top tips for protecting yourself online

One in six adults has fallen victim to a cyber-attack, according to new research from Experian.

BLOG: Top tips for would-be entrepreneurs

As Global Entrepreneurship Week draws to a close James Benamor teaches Your Money how to get a business off th...

Stock tips from top fund manager: IP Group

James Henderson, manager of the Lowland Investment Company and Henderson Opportunities Trust, selects IP Group...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week