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UK Rental Market Update: Rents Rise in February as Void Periods Fall

Written by Magnate Assets | Mar 8, 2023

The rental market is firing on all cylinders according to the latest market snapshot from PropTech firm Goodlord.

It says void periods decreased in all regions in February, dropping by an average of 26 per cent, while rents rose slightly to return to a four-month high. 

In detail, Goodlord says there was a significant reduction in the average void period for a rental property in England during February. The England average dropped by over a quarter from 23 to 17 days, highlighting strong demand amongst tenants. 

The biggest change came in the Northwest, where voids went from 27 days in January to just 18 days in February - a steep drop of a third. The East Midlands also recorded a decrease of more than 30 per cent with void periods in the region going from 29 days to just 20, a 31 per cent reduction. 

Greater London, the Northeast, Southeast and the West Midlands all saw voids reduce by more than 20 per cent. The smallest change was recorded in the Southwest, where voids decreased from 21 days to 19 days - a 9.5 per cent decrease. 

The new average void period for England of 17 days is the lowest since September 2022, when void averages hit 15 days. 

Meanwhile rents across most regions in England rose during February, taking the average cost of a rental home to £1,089.04 - a rise of one per cent on January’s figures. 

The biggest increase in the average cost of rent during February was seen in the Northeast, where prices rose by three per cent. In contrast, both Greater London and the Southwest saw fractional decreases in the cost of rent. 

Year on year, the cost of rent is now up by 12.5 per cent.

Tom Mundy, the chief operating officer of Goodlord, comments: “December and January are traditionally slightly quieter times for the lettings market and, given the intense demand the rental sector has seen over the last year, I’m not surprised to see how pace has increased during February. 

“The big drop in voids is a clear reminder that housing stock is low and tenants are moving quickly to secure properties - everything listed is getting snapped up extremely quickly. This is linked to the renewed increase in rental costs. Although we’re not at the cost averages we saw during last summer and early autumn, the price per property averages is significantly higher than this time last year.