Help to Buy having impact on rents
With purchasing becoming more affordable due to the Help to Buy scheme, rents across the country have started to stabilise.
According to the latest Move with Us rental index, average advertised rents even started to decrease in Q3 2013.
The average advertised rent in Britain reached £965 per month at the end of Q3, having fluctuated between £964 per month and a high of £970 per month over Q3.
Obviously London bucked this trend with rents increasing by £55 but most other regions saw decreases.
Robin King, director, Move with Us, said: “Average advertised rents fell in every region except Greater London and the West Midlands.
“Reductions in most regions tying in with the launch of Help to Buy indicates that the scheme may be starting to impact the rental market. Those who would ordinarily rent are opting to buy, putting downward pressure on rental prices as demand reduces.
“With this in mind, we anticipate further falls in advertised rents in the coming months, as the market starts to stabilise and reverse the over-inflated rental prices that we have seen in the past few years”.