MHHG estate agents

The UK property market has seen significant changes in the past year, with varying degrees of rent and house price inflation across the regions. The most recent data indicates a slight easing in the annual growth of private rents, alongside a modest increase in house prices.

Private Rents Overview
Average UK Private Rents:
In the 12 months leading to June 2024, average private rents across the UK increased by 8.6%, slightly down from the 8.7% recorded in May 2024. This marks a continuation of the deceleration from the record-high rise of 9.2% observed in March 2024.

Regional Variations in Rent Increases
In England, the average rent reached £1,310 in June 2024, reflecting an 8.6% increase compared to the previous year. This rise was consistent across most regions, with the highest increases observed in specific areas, such as Manchester, where the rental market has seen a surge in demand. The North West region, which includes Manchester, experienced significant rent inflation, marking it as one of the more dynamic rental markets in the country.

Local Market- Manchester Highlights
In Manchester and the broader North West region, the rental market has been particularly active. Manchester's appeal as a thriving economic hub continues to attract tenants, leading to higher demand and consequently, increased rents. The region is likely to remain a focal point for both landlords and tenants as rental yields in Manchester continue to outperform many other parts of the UK.

Meanwhile, the variation in rent prices across the UK remains stark. For example, rents in the North East of England saw the lowest inflation, with a modest increase of 5.9% in June 2024. This contrasts sharply with the higher rates of rent inflation observed in other regions, reflecting the diverse economic conditions and housing demands across the country.

Property Sizes and Rent Prices:
Rent prices vary significantly depending on property size. Detached properties command the highest rents, with the average rent for such properties reaching £1,469. In contrast, flats and maisonettes are more affordable, averaging £1,236. For Manchester, this trend likely holds, with larger properties fetching higher rents, particularly in desirable areas.

The UK rental market remains robust, with varying degrees of rent inflation across different regions. While London continues to be the most expensive area, other cities like Manchester are rapidly catching up due to increasing demand. As the market evolves, renters and landlords alike must navigate these changes with caution, particularly in light of ongoing economic uncertainties and legislative developments.