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Rents Up Again
wotsthat
Posts: 11,325 Forumite
http://www.bbc.co.uk/news/business-15777807
The article also says 10.1% of rent was paid late which was lower than the 12 month average but higher than September's figures.
The cost of renting a home in England and Wales has risen for the ninth consecutive month but the rate of increase has slowed, a survey has said.
LSL Property Services, which owns agencies such as Your Move and Reeds Rains, said that the average rent climbed to £720 a month in October.
"Nevertheless, despite the slower rate of increase, the cost of renting is still rising annually at nearly twice the speed of the average salary and many tenants will need to dedicate a growing portion of their disposable income to the cost of accommodation over the next year."
The article also says 10.1% of rent was paid late which was lower than the 12 month average but higher than September's figures.
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Comments
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Desperate stuff.
0.2% MoM. ROTFL.0 -
About 2.5% annualised.
I am sure the majority of people getting wage rises lower than that find it dead funny.
Stand up must be a easy job where you live.
What an idiotic thing to say, even by your standards.
That 2.5% annualised is a mean - some rents have gone up less, some more. Wage inflation is around the same level, with some receiving less and some receiving bigger increases. The fact that rents aren't rising at a faster rate than wage inflation means that it is having no effect on peoples' ability to pay the rent (unlike rising costs elsewhere).
What is hilarious is that LSL are putting out 'press releases' that are depserately trying to ramp rental prices in the hope that it will instill fear in first-time buyers and increase their desire to purchase, and to appeal to the blind greed of speculators thinking of buying into BTL. The funny bit is that rents only rose by 0.2% despite their best attempts to talk up the rental market over the last few months.
What's even funnier is that all the desperate rent-seekers who were fantasizing at the prospect of an increase in unearned wealth aren't seeing their fantasy come true.0 -
About 2.5% annualised.
I am sure the majority of people getting wage rises lower than that find it dead funny.
Stand up must be a easy job where you live.
Think you need to work on your maths, its about 2.4% annualised.
Means are meaningless anyway, even regional means are. Apparently London rents are rising. News to me as they haven't changed in over a year where I live.Faith, hope, charity, these three; but the greatest of these is charity.0 -
Think you need to work on your maths, its about 2.4% annualised.
Means are meaningless anyway, even regional means are. Apparently London rents are rising. News to me as they haven't changed in over a year where I live.
There are a huge shortage of rental properties, especially in the specific area that I live and work, where property prices are some of the highest in the country. This has left rental prices going through the roof, in cases of single rooms, in some circumstances by 25%, to an average of £125. This is not only catastrophic for young people and those on low wages, but can see people out on the streets. The average uplift in the last year is around 12% in the town I live.
At the same time, buying prices have risen by only 5%, leaving the gap even wider. I’m certainly happy I got on the property ladder when I first did, as I know that taking into account what I wouldn’t have been able to afford if I hadn’t secured everything against the house, I certainly couldn’t afford to buy one now as a FTB! :eek:💙💛 💔0 -
Wage increases? What are they. Mine were frozen this year - and next.
Pretty much all public sector workers are seeing pay freezes too - and many many I know in the private sector have had to take wage cuts.
For the vast majority that Rent - wages are static or falling - while rent, food and energy prices are soaring.0 -
The fact that rents aren't rising at a faster rate than wage inflation means that it is having no effect on peoples' ability to pay the rent (unlike rising costs elsewhere).
Rubbish.
Rents are up 4.1% on this time last year. Far more than the rate of wage inflation.
Rent rises are also seasonal. We saw rents rise for most of last year, then fall slightly in winter, then rise again for the last 9 months.LSL Property Services, said: ‘The recent increases are likely to continue to level out in run-up to Christmas – traditionally a slower time for the market. Nevertheless, despite the slower rate of increase, the cost of renting is still rising annually at nearly twice the speed of the average salary.’
‘Although buy-to-let lending has picked up steam, which has helped expand the supply of rental properties, it is still a long way off boosting supply enough to ease competition amongst prospective tenants,’ he said.
‘With no sustained meaningful increase in lending in light of the ongoing eurozone crisis, we are unlikely to see a sustained drop in the number of frustrated buyers in the coming year, and underlying demand for limited accommodation will continue to push up rents in the long term,’ he added“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
The arrears are the key information IMO.
Just wondering why they have suddenly jumped so much in a month. Christmas?0 -
What is hilarious is that LSL are putting out 'press releases' that are depserately trying to ramp rental prices in the hope that it will instill fear in first-time buyers and increase their desire to purchase, and to appeal to the blind greed of speculators thinking of buying into BTL. The funny bit is that rents only rose by 0.2% despite their best attempts to talk up the rental market over the last few months.
What's even funnier is that all the desperate rent-seekers who were fantasizing at the prospect of an increase in unearned wealth aren't seeing their fantasy come true.
Nothing funny about an average rent of £720/ month. The equation of costs of renting vs. costs of buying were already well on the side of buying - if rents are rising it makes it worse for renters.
Having to save a deposit must be a nightmare when that sort of cash is leaving the bank every month. Predictions of nominal stagnation, sub inflation pay rises and picky mortgage companies aren't going to help either.
Unless more housing becomes available housing wealth will continue to concentrate with the rich.0 -
Graham_Devon wrote: »The arrears are the key information IMO.
Just wondering why they have suddenly jumped so much in a month. Christmas?
It's only a survey so it's probably just noise. The trend looks flattish.0
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