Goodlord: Summer rental boom continues through July

The UK rental market’s ‘summer boom’ continued throughout July, with rents up and voids down, according to the latest Rental Index from Goodlord.

Average rents rose in six out of the eight regions monitored, including by 22% in the North East, with the East Midlands recording a 17% rise.

Both Greater London and the South East also recorded rises, increasing by 3% and 7%, respectively.

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The only region not recording an increase was Wales, where average rents dropped by 5%.

Overall, all eight regions recorded higher rental rates in July than their 2020 regional average to date.

All regions also saw a decrease in void periods thanks to ongoing demand; the UK average void period dropped from 23 days to 16.

The biggest decrease was seen in the East Midlands, where void periods decreased from 30 days to 17.

In the West Midlands, a sizeable drop was also noted – 35 days down to 24.

The lowest void periods can now be found in the North East and the South West, where voids dropped to 10 days during July.

According to the Goodlord Lettings Activity Tracker, the average number of completed lets during July sat at 99% of 2019 levels, on track for this time of year.

Between the 6 and 11 July, the market recorded higher volumes of new tenancies than during the same week in 2019.

Tom Mundy, COO at Goodlord, said: “July’s numbers confirm that the post-lockdown bounce we were expecting was more than a flash in the pan.

“The market has found its feet once more and is retaining momentum.

“Comparisons to 2019 data are highly encouraging; showing a return to predicted levels of activity and, in some instances, exceeding expectations.

“In addition, rental prices and void periods both bode well for the sector as we head into August, which is also a traditionally busy month for the industry.”