Average rents now stand at £867 per month which are at their highest level for two years. Two and three bedroom properties rose 0.6% and 0.9% respectively on average a month while one and four-plus bedroom properties fell by 0.1% and 1.6% respectively.
Nick Dunning, group commercial director at Countrywide, said: “August is traditionally a busy period for the rental market with tenants, particularly families, wanting to move into their new rented accommodation before the start of the school term in September.”
The Midlands saw the greatest month-on-month increase in average monthly rents up 1.7% followed by Scotland at 1.3%.
Despite some regional increases the average monthly rent fell in the East of England, down 0.6%, the South East down 0.7% and Wales down 2.7%.
Rent arrears increased year-on-year in all regions. In terms of property sizes the level of rent arrears increased for all sized properties with two bedroom properties seeing the greatest increase, up 1.4%.
However Dunning voiced concerns over the lack of rental homes for families on the market.
He said: “Demand is not being met by supply and currently there is a particular lack of family-sized properties available to rent especially in the South of England. Improved conditions in the sales market are attracting reluctant landlords to sell these types of properties specifically in the catchment areas for good schools. With four to five tenants vying for every property tenants need to act quickly.”
