Tenants are leaving cities for cheaper rents elsewhere

Tenants are leaving cities for cheaper rents elsewhere

0:01 AM, 17th March 2023, About A year ago 2

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Growing numbers of renters are deciding to up sticks and leave the UK’s cities to find a cheaper place to live or to get more for their money, research reveals.

The findings from Rightmove found that in 10 cities, 42% of tenants are now looking to move out of the city they currently live in.

The remaining 58% are looking to remain in the city but there is a 37% increase of those looking to leave on last year’s survey.

The property platform says that London has seen the biggest increase in the proportion of renters looking outside the city compared with a year ago, followed by Sheffield and Manchester.

‘Rental market trends demonstrate how cost pressures’

Tim Bannister, Rightmove’s property expert, said: “The latest rental market trends demonstrate how cost pressures and the imbalance between supply and demand are changing the way tenants search for their next home.

“We’re seeing that a greater proportion of prospective buyers are looking for a home in the city they live in, but it’s the opposite trend for renters who may be finding that they’ve been priced out of the city or have decided to move further out to reduce their overall bills.”

He added: “Some good news for renters is that some competition with other tenants and pressure on available homes to rent seems to be easing, however with the pace of the lettings market still strong, it is likely to be a challenging experience for many looking to secure a home that suits their needs and budget.”

Rising rents and fewer rental properties are the reasons

Rightmove says that rising rents and fewer rental properties are the reasons why tenants are looking outside of their city to secure a home.

Average asking rents across Great Britain are up 11% compared with this time last year, and up 12% across 10 major city centres, on average.

Edinburgh’s city centre has seen the largest increase in average asking rents compared with last year with a 19% rise, followed by inner London at 18% and Manchester at 14%.

Another contributing factor for leaving a city is that demand from renters to secure a rental property has rapidly increased – Rightmove says the competition has doubled compared with three years ago.

‘Availability in city centres is low’

Sarah Bush, the head of lettings at Cheffins in Cambridge, said: “Availability in city centres is low and these locations always command premiums.

“However as rental levels continue to rise, we are seeing that tenants are now looking to just let what they can afford, rather than holding out for a property in the right location.

“In busy areas like Cambridge, the lack of available properties has forced up prices and this is coupled with demand from job movers or those who are only coming to the city for a short amount of time for employment reasons.”

She adds: “These are the tenants who are now having to compromise with a village or rural location.

“Similarly, families who need to rent properties with three or four bedrooms often have to turn to village properties to simply get the space they need at an affordable level.”

Katinka Hill, the regional lettings director at Chestertons, said: “Even within London, we are seeing some tenants who decide to move from zones 1 and 2 to explore what their budget can secure them further out.

“According to our latest tenant survey, transport links and the proximity to outdoor space remain at the top of the list for many renters which makes areas such as Richmond in the southwest and Hampstead in the north highly sought-after.”

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LordOf TheManor

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20:17 PM, 17th March 2023, About A year ago

I'm selling a central property in Bristol if anyone's interested. It's a 2 bed/2 reception terrace with a small garden in an area rapidly undergoing regeneration, close to Temple Meads Station.

It'll be on the market with it soon for circa £300k unimcumbered - ready to go, no maintenance required. Rental income as a relet: £2,100pcm in ready to go condition if you furnish it for students (double beds x 3, bookcase, desk & chair) & put a sofa in the lounge. Or do a loft conversion and achieve £2,800pcm or more.

Walkable to town centre, 5 minutes on foot to hub transport to everywhere else.

It's great whether you want to live in it yourself or let it!


Reluctant Landlord

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21:25 PM, 17th March 2023, About A year ago

....only there is nothing to rent anywhere else either....and then you have the 'bonus' of a costly commute IF you find anything.

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