RENTS HIT RECORD HIGH – Experts say double-digit rises are unsustainable due to affordability

Average asking rents outside of London hit a record £1,280 per month towards the end of last year, according to a property website.

Rightmove, which released the index covering Britain, said agents are typically receiving 11 enquiries for every rental property.

However, there are indications the market may have reached its peak with 2024 expected to see a slowdown in rent hikes.

A 0.2% quarterly increase in asking rents in the last three months of 2023 was the smallest rise since 2019.

There have also been signs more tenants are reaching the limit of what they can pay, with nearly a quarter (23%) of rental properties needing a reduction in advertised rent, compared with 16% a year earlier.

Advertised rents in the final quarter of 2023 were, on average, 9.2% higher than a year earlier.

Despite the increase, Rightmove said it was the lowest annual growth in rents seen since 2021.