Tenant reference supplier HomeLet has found that the cost of rent has now reached a record high and is showing no signs of dropping.
As it stands the average cost of renting a home is £806 a month according to the Rental Index which has highlighted that this is the first time rent costs have reached over the £800 mark.
The findings highlight that it is cheaper to buy a property than to rent as mortgage payments for a typical home cost less than rent.
It has been found that many potential homeowners are being forced to rent a property due to the expense of buying a property and the strict rules that have to be adhered to. A deposit of 5% - 10% is needed, along with moving fees and estate agent fees which can amount to a costly figure.
The Capital comes as no surprise as being the most expensive city to rent after increasing by 2% since July. Tenants in the capital could potentially pay up to £1272 a month.
However for some regions there was a fall in rent with the largest being the South West region with a drop of 3% and rent costing an average of £753 a month. The North West also saw a consecutive fall for the third time with rent standing at £524.
Ian Fraser, managing director of HomeLet, spoke about the recent figures from the Rental Index saying: “The Index shows the average age of the UK tenant has consecutively decreased over the past three years to 32.
“This is contrary to the average age of a first-time buyer that has increased to 37 – which could suggest renting a home is the only option for those would-be first-time home owners.”
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By Amanda Bainbridge