Rents rising at fastest rate for three years – but still affordable, says Zoopla

Rents are rising at their fastest rate for three years, Zoopla has reported.

It said that the annual rate of UK rental growth for new lets is now 2%, up from 1.3% a year ago.

It blames tightening supply as levels of new investment decline, a result of tax and policy changes.

Despite the rent rises, it says the growth is half the level of earnings growth, which the ONS puts at 4% over the last three years, and that actual rental affordability is trending downwards.

Zoopla puts the average rent at £876, up from £859 a year ago, with average time on the market just 17 days.

Zoopla also says that there are more home moves in the UK rental market than in the sales sector – 1.2m compared with around 1m. It says private renters move on average every four years, while home owners move every 20.

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2 Comments

  1. Gromit

    Rents going up – well there’s a surprise. NOT!

    Who would have expected that punitive tax increases, higher compliance requirements, extra Licensing costs would lead to higher rents. (apart from politicians and housing charities that is).

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  2. PossessionFriendUK39

    Couldn’t have something to do with  Theresa May’s ( Shelter Housing Advisor ) policies imposing regulations that got passed onto tenants   perhaps   ?

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