UK flat share rental prices rise 2%, latest data shows
12-07-2012
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The data from over 30,000 users from across the UK shows that the national rental average has risen and remained consistent for the second consecutive month.
In May, the average flat sharing rental asking price rose from £368 to £375, demonstrating a 2% rise in rents so far this year. The increase which initially occurred in April has continued through to May resulting in the first consistent increase in rental asking prices since December 2011.
‘Rents tend to remain consistent at the beginning of the year, as tenants do not tend to relocate during this period. However the summer months are typically when we experience an increase in the number of users registering on the site and this more often than not results in an increase in rental asking prices as demand outstrips supply and landlords look for a way to cash in,’ said Jonathan Moore, director of Easyroommate.
He pointed out that the overall rise in the UK flat sharing rental prices can be attributed in part to the significant increase in the number of students entering the rental market. The number of students registered on the site has exceeded 1,000, contributing to 9% of the total number of registered users.
He added that the increase in students is clearly demonstrated in the significant increase in rental prices within a number of University towns and cities. Whilst Bath, Coventry, Edinburgh, Liverpool and Oxford remained consistent, marked increases could be found in York, Cambridge, Glasgow and London which experienced an increase of £43.
Throughout the rest of the UK increases can also be found in a number of major cities including Stoke-on-Trent which experienced an increase of £25.
Taking into account the collated figures, there is a marked increase between rental asking prices in the North of the UK and the South. On average rents in the north are £345 per month, £35 less than the current UK average and significantly cheaper than in the south of England where average rents currently stand at £425. This is a trend that has remained consistent with 2011 figures which reported a £105 difference between the North and South.
‘According to the LSL buy to let index the average rent in England and Wales currently stands at £712. The increase in rental asking prices clearly demonstrates that flat sharing is continuing to be an attractive option. Despite the increases, flat sharing is still the cheapest and most cost effective option within the private rental sector,’ added Moore.
