Goodlord's November Rental Index shows a steady market picture in November, characterised by a slight increase in average void periods and a marginal dip in rental costs, as we head towards the Christmas season.
The average for void periods for the UK increased to 24 days in November, up from 18 days in October, with six of the eight regions monitored by Goodlord seeing an increase. The current average of 24 days is now slightly higher than the year to date average of 20 days, which is as expected following a busy summer of lettings.
The increases in void periods during November were small in most areas, as the market steadies itself ahead of the Christmas lull, but larger jumps were seen in the East Midlands, where the average void period increased from 17 days in October to 28 days in November.
There was no change in London, where average void periods held steady at 14 days. The South West was the only region to see a decrease, with average void periods dropping from 18 days in October to 17 days in November.
The average cost of rent across the UK as a whole stood at £898 in November - a decrease from October’s average of £925. This is the lowest average rent recorded since March, when average rents also averaged £898 throughout the UK, pointing to a seasonal trend.
Marginal decreases were recorded in all but one of the eight regions monitored by Goodlord, returning to the levels seen before the summer surge. The North West saw the biggest decrease, with the average rents dropping 5% month-on-month - taking their average to £663.
Elsewhere, average rents dropped slightly, with 1% to 4% month-on-month decreases recorded across the regions.
Tom Mundy, COO at Goodlord, comments:
“As these numbers suggest, we can expect to see longer void periods and slightly lower rental averages as we head into winter, which traditionally tends to be a slower period for lettings. Void periods are likely to creep up further in the coming months - January had the longest average void periods over the course of 2019 at 29 days, a trend that held throughout the winter months before dipping down dramatically during the summer.”