I feel sorry for anyone renting a home in London. Rental costs in the capital are almost twice as high as the rest of the UK, and even though there are lots of great reasons to live in London—theatres, art galleries, fancy restaurants and fantastic shops—the astronomical cost of living there makes it very difficult for a lot of people to enjoy a decent standard of living!
Rent costs have risen a whopping 6.3% in the last year and the average monthly cost of renting a property in London is £1,273, whereas the average monthly cost of renting an equivalent property outside of London is only £697, which is a lot more affordable. Obviously this is a good thing for landlords in London as well as across the rest of the UK—the good times just keep on rolling as the buy to let market continues to boom.
Some of the rise can be explained by the increase of student tenants at the start of the academic year, but although rental activity typically declines again in the run up to Christmas, experts are predicting another bumper year in 2013 for UK landlords, particularly in London. Many middle class families in the capital are unable to afford to buy their homes thanks to mortgage constraints and are being forced into the rental market as a result. Unfortunately, some of the poorer families may also find themselves priced out of the rental market and pushed out of the city altogether as demand for properties in London increases and rents continue to rise.
