The private rental prices grew by 1.4 per cent in April 2017 in London, one of the top real estate markets of the world, data released by the Office of National Statistics (ONS), has shown.
In its latest Index of private housing rental prices (IPHRP) in Great Britain, an experimental price index tracking the prices paid for renting property from private landlords in Great Britain, it is shown that the growth in private rental prices in London continues, increasing by 1.4 per cent in the 12 months to April. The growth rate registered in March 2017 was 1.6 per cent.
New build constructions, buy-to-let investors and accidental landlords have led to elevated levels of stock available to rent in the capital according to real estate adviser Savills. This view is supported by Countrywide, who report that rental stock was growing at a faster rate than demand in London, the IPHRP observed.
IPHRP measures the change in price tenants face when renting residential property from private landlords, thereby allowing a comparison between the prices tenants are charged in the current month as opposed to the same month in the previous year. The index does not measure the change in newly advertised rental prices only, but reflects price changes for all private rental properties.
London continues to remain an attractive investment destination for rental income. If you are interested in investing in a buy-to-let property in London, contact Strawberry Star estate agents by calling our global offices.
London private rental prices grew by 1.4% in the 12 months to April 2017