Renting somewhere to live in the UK has never been more expensive, according to a new report from Reeds Rains and Your Move.
The report shows that UK rentals cost £816 ($US1,261) per month on average. The rise of 6.3% means that people now have to shell out £48 ($US74) more per month than they did at the same time last year.
Rental prices in London are by far the highest in the country, with a standard flat in the capital now costing £1,301 ($US2,011) per month, more than £450 ($US695) higher than anywhere else in the country.
If you want somewhere cheap to live, your best bet might be to move to the North East, where the average rent per month is just over half of what it costs in London, just £519.
Over the past year, renters in Wales have seen a bit of a boost to their bank accounts, with the average cost of renting now 5.4% less than it was at the same time in 2014. Rental properties there are also the second cheapest in the whole country.
Adrian Gill, the director of Reeds Rains said in the report “Rents are rising strongly in real terms due to the recent acceleration in wages, and the much deeper and longer-term shortage of available properties across the UK.
“Meanwhile, as the price of everyday essentials plateaus and even falls, rents are no longer following the same broad trends. The cost of a place to live has now uncoupled from the cost of living.”
Students and young graduates are part of the reason that rates have risen so much in the past month, with the new academic year starting, and thousands of recent university leavers starting new jobs in the month.
“We are in the middle of the busiest time of year in the rental market. September and October are especially important given the student rental market in the autumn and the echoes of the academic year as those in their twenties start new jobs.” said Gill.
“When rents hit a fresh record, it is more likely to happen at this time of year. Yet in 2015 that seasonal trend has been blown out of the water by an unprecedented acceleration.”
Basically, whether you’re renting or buying, the UK’s property market has never been so hot. Earlier in the week, the ONS published stats that showed the cost of an average property in the country is also at an all-time high, costing £284,000.
Reeds Rains and Your Move based their survey on rents in around 20,000 properties across England and Wales.