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Average monthly rent in Northern Ireland jumps to £632

AVERAGE rental values in Northern Ireland rose again last month, according to the latest data from HomeLet.

Its December index show that the average rent in Northern Ireland is now £632, up by 1.9 per cent on the same month last year.

But that is still at the lower end of the UK rate, where the average is now £921 (or £763 when London is excluded.

HomeLet chief executive Martin Totty said: “Positively for both tenants and landlords, this year we’ve seen stability in UK rental price growth, with increases remaining broadly in line with the rate of consumer inflation.

“For landlords there remains a sustained demand for property, with the private rental sector continuing to provide the market with both flexible and long term housing options.

“The slowdown in the rate of house price growth, as reported by the Nationwide House Price Index is being driven by the depressed London market, which saw house prices decline by 0.8 per cent during the last four months of 2018.

In contrast, we have seen average rental values in the capital rise by over 4 per cent in the latter stages of the year. Ultimately, we would expect this theme to continue in London, if the demand for property outweighs supply.”

On the outlook for 2019, Mr Totty added: “Private residential landlords will continue to play a key role in the wider UK housing market. Whilst the outlook for property investors remains positive, one of the key concerns for the market in 2019 would be a potential lack of supply in certain regions.

“The government’s squeeze on private landlords via taxation changes and more regulation could discourage their continued participation in this important sector. Unlike the trends we saw in 2018, any reduction in supply could lead to rental increases that are above the rate of consumer inflation.”

Source: Irish News