According to Property Talk Live rents in Central London are on track to increase by 8 - 10% this year, putting even greater pressure on the finances of tenants in the capital (source: Cluttons' Residentail Property Forecasts June 2011).
According to Cluttons the significant pressure the increase will put on households, who are facing depleting incomes and job insecurity, means that it is unlikely that demand for rental property will be dampened.
Tenants have already adjusted to record rent increases of 19.1% in 2010 and now face further rises as the mortgage famine and low consumer confidence feed the demand for rental homes.
Will this increase have a knock on effect on rental prices in the Midlands. We are experiencing steady growth in rental incomes and demand for rental properties in rural areas remains strong. Watch this space....