There was a slight fall in rents in January, according to the latest Buy-to-Let Index from LSL Property Services. The average rent in England and Wales dropped by 0.3% to £682 per month. This is the second successive month rents have fallen. The average yield fell slightly to 4.9% in January, as rents declined at a faster pace than rental property values.
Despite the slight decrease in rents, they are still 4% higher than a year ago, and LSL says it is showing signs of renewed growth in several areas of the country. Rents in the East and West Midlands increased by 0.9% and 0.8% respectively, 0.8% in Yorkshire and the Humber, and 0.2% in London. However, the overall drop was driven by larger falls in the East of England (-2.5%), Wales (-2.1%), the North West (-1%), alongside decreases of 0.4% in the South West and South East.
David Brown, estate agency managing director of LSL Property Services, said: “The recent loosening in the buy-to-let mortgage market has boosted the supply of rental homes on the market
