Average rents rose for the ninth consecutive month in October by 0.4% to a record high of £691 per month, as tenant arrears fell back, according to LSL Property Services.
Annual rental inflation has increased to 4.5% and LSL said if this pace continues, rents will reach £722 per month this time next year. Average yields remained stable at 4.9% in October, as steady rent rises were matched by modest growth in rental property prices. In addition, tenant arrears dropped for the second consecutive month in October to within 0.1% of its lowest ever figure. Unpaid rent totalled 9.3% of all UK rent at £221m, down from £229.3m the previous month. However, LSL warned arrears may not remain this low as government spending cuts take effect. David Brown, com...
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