Average rents in the private rented sector in England and Wales were steady in April compared with the previous month and are 4.4% higher than a year ago at £861 per month, the latest index shows.
All but two regions posted rent increases in the 12 months to April 2018, led by a rise of 3% in the South West and 2.9% in the East Midlands, according to the data from the Your Move rental tracker.
The only two regions to see rents decline in the last year were the North East and Wales with rents down 1.6% and 0.5% respectively to an average of £526 and £590. The North East is the cheapest place to rent.
In contrast, London has the most expensive rents at £1,275 but they have risen by just 0.1% in the 12 months to April 2018 and fell 0.11% month on month, the data also shows.
While yields in most regions of England and Wales remained steady between March and April, there was an increase in the East Midlands to an average of 4.3% but the rare dropped in the North West from 4.9% to 4.8% and in the East of England from 3.8% to 3.7%.
Across all of England and Wales, the average yield was 4.4%, unchanged month on month. The highest yield is 5% in the North East, followed by 4.8% in the North West, and 4.7% in Wales. The lowest yield is 3.2% in London with the South East and the South West at 3.3%.
According to Martyn Alderton, national lettings director at Your Move, average yields are good news landlords who have been battling falling returns in recent times due to a combination of slower rent increases and Government tax changes.
‘Even areas which have seen yield levels fall or remain flat, property continues to deliver competitive returns compared to other forms of investment,’ he said.
