A decade of life in the Private Rented Sector
According to tenant referencing provider HomeLet, over the past year rents have risen 2.7%, whilst the Office of National Statistics report that house prices have risen by just 1.3%.
However, whilst we all often focus on what has happened versus the previous month or year - just how has the property market changed within the last decade?
|Start of the decade||By the end of the decade|
|Percentage of private tenant households – according to the ONS||16%||20%|
|Average monthly rent in Greater London - according to HomeLet||£940 per month||£1,665|
|Average monthly rent in the rest of the UK - (excluding London) according to HomeLet||£619||£788|
|Number of private landlords - according to HM Revenue and Customs||1.97million||2.5million|
|Average house price values - according to the ONS||£167,496||£235,000|
|Average age of first-time buyer, according to the English Housing Survey||33||31|
|Percentage of 25 – 34 year-olds who are homeowners according to The English Housing Survey||55%||38%|
By all measures the Private Rented Sector has grown in size and importance over
the last decade. Home ownership, particularly in the generation who became adults
since the start of this century has dropped most dramatically. Therefore, as we look
forward to the next ten years, we must assume that demand for good quality and
affordable private homes will continue to increase.