As we are all very much aware, the cost of living continues to rise almost on a daily basis, and with the price hikes in food and energy showing no signs of abating, more and more people are choosing to jump off the property ladder and move into the rental market.
The situation is of course no different in London, and according to recent figures, rental prices in London are now at an all time high, despite the fact that the average salary is not rising at the same rate.
Tenants living in London can now expect to pay £1,202 per month. This figure is 12.2 percent more than the same period last year and the average rent in London is now higher than it has ever been. The lack of availability of rental accommodation is feeding the rise of rents in London, and as more and more people struggle to get mortgages and are forced into the rental sector, it is highly likely that demand will continue to rise.
But although the gap between rental prices and salaries is widening and placing pressure on tenants, landlords in London are benefiting from the situation. With the average rental property being snapped up within hours of being placed on the rental market, London landlords have never had it so good.
Interestingly though, the average length of tenancy has fallen in line with the rise in rents, so even though landlords are gaining from the extra income, they are seeing a higher turnover of tenants in their properties as people are choosing to move more frequently.
