Increases in rent are not nationwide

26 2008
Contrary to some predictions, new research has confirmed that massive increases in the cost of renting are not occurring all over the country.

A study released today (June 26th) by Findaproperty.com showed that the national average rent for flats increased by just 0.3 per cent, compared to 5.9 per cent for houses.

Furthermore, many areas experienced decreases over the past year for flat rental rates, such as the east Midlands (15.1 per cent) and the south-west (9.3 per cent).

Michael O'Flynn, content editor for the website, said: "With the credit crunch biting, buyers are unable to take on mortgage debt and financiers are unwilling to dispense mortgages to all but the most secure of buyers.

"The natural assumption would be that for this reason, more people are choosing to rent homes, to 'sit out' the credit crunch until economic conditions become more favourable, dictating a rise in prices.

"However, there is considerable regional variation in rental values, a trend, no doubt, determined by localised levels of supply and demand."

The north-west and West Midlands regions also experienced decreases, which may be attributed to high levels of new-build properties going on the market in their largest conurbations.

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