Rental demand still continues to outstrip supply in most parts of the UK, which has pushed average UK rental figures to £766 in February, a rise of 3.1%, the fastest annual increase since May 2013.
The East of England has experienced one of the greatest rises in rental prices with an annual rise of 10.2%, the strongest growth experienced in the past five years. The average UK rental figure stands at £766 compared to £763 in January 2015 and £743 February last year.
This upward drive in rental prices has been caused by various factors, one is that first time buyers are still finding it difficult to save enough money for a deposit to buy their first home, despite the governments Help to Buy scheme, where buyers need to only put down a 5% deposit. Other influencing factors include the fact that the average house now costs £272,000 which is out of reach of most first-time buyers, people choosing to rent as it offers more flexibility than buying and also the lack of new affordable housing, which continues to fuel the rise in the rental prices.
In the South East we have seen average rental prices increase to £787 in February, compared to £714 in the same period last year.
So if you would like to find out more about local price changes across Essex and Herts why not pop into your local branch of Intercounty for a chat and a coffee or give our team a call on 0844 8111090.