Annual rental growth in the UK – excluding London – increased at its slowest rate in five years, according to the latest Landbay Rental Index
Rental growth in England (excluding London) rose by 1.18% in the 12 months to July 2018, its lowest point since April 2013.
With London included, growth was reduced to just 0.81%.
However, the capital registered its first annual rental increase in 18 months in June.
Rental growth in Scotland hit a record low of 0.98% year-on-year, while in Wales rental growth reached its lowest level since June 2015.
John Goodall, CEO and co-founder of Landbay, felt that rental growth across the UK was stuttering.
“However, there are signs of a recovering market in London and stronger demand for rental properties.
“With an interest rate rise … many landlords that are stuck on variable rates or those looking to refinance will likely feel the impact.
“Therefore, tenants could be hit by rent rises in the near future as landlords look to recover some of the cost.
“Brokers can help their clients navigate the impact of an interest rate rise and make sure they have the best deal for their circumstances.”
