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Q1 2022: Rental Market Report

by | Jun 2, 2022 | Clients

The headlines from the Q1 2022 Rental Market Report from Hometrack are:

  • UK annual rental growth for new lets rises to 11% in Q1 2022 as demand continues to outstrip supply
  • Rents have bounced back from a -1% fall a year ago
  • Wage growth hit 8.8% last year, and cumulatively, UK rental growth has not kept pace with earnings or inflation since 2016
  • Rental demand is particularly acute in city centres as students, office workers and international demand returns
  • The rise in rents is pushing up the affordability metrics, to 37% of gross income for a single earner, and 18.5% for sharers
  • Tenancy lengths continue to rise, signalling that some renters may be ‘rolling over’ their rental contract with lower rent rises
  • Rental growth will start to slow in H2 as the ‘bounce-back’ eases and more challenging economic conditions emerge

You can read the full report online for Q1 2022 Hometrack Rental Market Report on the Hometrack website.