UK rents rise


Tue 11th Mar, 12:55:05 GMT

New research shows that typical rents charged in the UK rose in the three months to February.

That Association of Residential Letting Agents (Arla) has revealed that the rent on a typical house increased by four per cent in that time.

Further to this, rent on a typical UK flat increased by two per cent, with Arla pointing out that current housing market conditions suit buy-to-let investors.

That is because potential buyers are turning to the rented sector as house price growth becomes more subdued.

"We are seeing the beginning of the inevitable," said Arla''s heard of operations, Ian Potter.

"Whenever property prices soften or fall, rental demand, rents and yields all increase. As we begin a year of uncertainty in the sales market, it is inevitable that our member letting agents should report that they have more tenants than properties available for them," he continued.

Paragon recently revealed that rental yields and total returns increased throughout 2007.ADNFCR-1143-ID-18503855-ADNFCR


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