Latest rental market snapshot from Goodlord released

The latest lettings market snapshot from PropTech supplier Goodlord suggests that voids are reducing in almost all regions but that rents themselves are steady.

With good quality housing stock in high demand, voids reduced again during February. 

Greater London saw a 24 per cent reduction dropping from 17 to 13 days, and the East Midlands recorded a 25 per cent drop - from 24 to 18 days.

The biggest change was seen in the South West, where voids reduced by a sizeable 27 per cent during February, moving from 26 to 19 days. The North East, North West and South East also all recorded reductions in average void periods. 

The only region to see an increase in voids was the West Midlands, where numbers rose from 18 days to 22 days. 

It was a much steadier picture for rents during February. Most regions saw a small drop in the average cost of rent; the England average reduced from £994 per property to £968 - a 2.6 per cent decrease. 

The biggest change came in Greater London, despite diminishing void periods. There was a 3.9 per cent reduction in the average cost of rent in the capital, from £1,675 to £1,609. 

All other regions saw a drop of one to three per cent in the average price of rent.

A clear trend since the start of 2022 has been a rise in the average salaries of tenants in England. 

The 2021 salary was average £26,111 per tenant.; this has risen sharply over recent months, with average salaries in February hitting £28,115.

Tom Mundy, Goodlord chief operating officer, comments: “We are seeing a clear, consistent picture when it comes to the market - demand is high and stocks are low. This is driving the low void pattern we’re seeing across the majority of the country. 

“We are, however, seeing rents behave in a slightly more stable way which is more in keeping with what we’d expect at this time of the year.”

He continues: “The shifts in average salaries for tenants is something to keep an eye on … we are seeing take home pay increase. This could well begin to drive up rental prices once again as tenants max out their budgets in order to secure the best properties.”