Home rental agency My Property Box says private landlords in the North East are benefitting from rent increases of almost half a percent.
Whilst property prices and rents are lower compared with other areas of the UK, the realistic rates make the region an attractive destination for investors.
In the 12 months to October 2019, private rents rose by 0.4% in the North East, according to the Government’s Index for Private Housing Rental Prices.
The three areas that experienced the sharpest rent increases during the same period were Yorkshire & the Humber (1.8%), the East Midlands (1.9%) and the South West (2.2%).
Meanwhile, official figures released on median monthly rents between April 2018 and March 2019 revealed that tenants in the North East pay an average rent of £495.
The region’s highest median rent was in Newcastle (£600) whilst the lowest was Middlesbrough (£430). The highest median rent in London was £1,495, more than double the £695 average for England.
Prices are also being inflated in the East of England, South East, London and North West by an influx of overseas investors, fuelled by the depreciation of the pound. In London, the proportion of non-UK investors letting homes was 18% compared to 10% in both the North East and Yorkshire & the Humber regions.
Ben Quaintrell, managing director of My Property Box, said: “Property is still an excellent investment and landlords can be reassured that rents increased by an average of 0.4% in the North East.
“There has been a lot of uncertainty in the market with many influencing factors, including new regulations and various party-political pledges regarding the housing sector, leaving some landlords looking to reduce their portfolio.
“Here in the North East there is still a good supply and demand for quality rented homes and it’s encouraging that both investors and tenants can benefit from the realistic prices available.”
Darlington-based My Property Box, which was founded in 2012, recently took over Sandersons Lettings in the town’s Duke Street and Holt Estate Agents, which had an office in Thornaby, to grow its North East portfolio.
The innovative agency has embraced digital marketing and technology to deliver a range of services, including a bespoke digital platform for landlords and a mobile app for tenants.