Rents rise at fastest rate in 16 years

20/07/2015
Rents in England and Wales rose at their fastest rate for more than 16 years to hit a new record high in June, research showed today.

The typical cost of renting a home jumped by 1.4 per cent during the month to stand at £789, eclipsing the previous peak of £778, which was reached in May.
Rents rose by 5.6 per cent in the 12 months to the end of June, the highest increase recorded since the Your Move and Reeds Rains buy-to-let index was launched in 2009.
The cost of letting a home is also rising at a faster rate than house prices for the first time since July 2013, while the hikes are significantly higher than inflation, which stood at 0 per cent in June - based on the consumer prices index.
Adrian Gill, director of estate agents Reeds Rains and Your Move, said: “The pedal is pressed to the metal in the rental market. Not only have rents hit a new all-time record high, but we have never seen them rise so quickly.
“Growing wage packets and a strengthening economy mean that a greater number of tenants are able to afford higher rents.
“With such an overall shortage of housing in the UK, rental costs are primarily driven by the amount tenants are capable of paying.”
He warned that further increases to the cost of letting a property were likely in the months ahead, after assistance for landlords was reduced in the recent Budget.
Tenants in the east saw the biggest increase in letting costs, with rents soaring by 13.8 per cent year-on-year in June to stand at £839.
It was the 15th consecutive month during which the cost of renting has increased in the region.
London saw the next strongest annual rise at 9.6 per cent, leaving rents at a new high of £1,241, with costs soaring by 2.8 per cent during June alone.
But increases were more subdued in other regions, with rents rising by only 2.2 per cent year-on-year in the south east to stand at £778.
Meanwhile, gross yields on a typical rental property held steady at 5.1 per cent in June, the same level as seen in June last year.
Total returns on an investment property fell slightly to 9.2 per cent for the 12 months to the end of June.
As a result, the average landlord has made £16,216 on an investment property before deductions for mortgage payments and maintenance, with £7,946 of the total coming from house price rises, and £8,270 from rental income. 

Fonte:http://www.zoopla.co.uk/discover/property-news/rents-rise-for-fastest-rate-in-16-years/?utm_content=buffer8bc0b&utm_medium=social&utm_source=linkedin.com&utm_campaign=buffer#5V4JyGTIPy1T71F2.97

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