The North East of England saw record-breaking rental activity in July – with voids falling and rents rising significantly, Goodlord’s Rental Index found.
Void periods have dropped to an average of just seven days in July, down from 13 in June, highlighting how renters are snapping up properties fast.
This competition is hiking up prices, as average rents climbed by 19% month-on-month to £872.
Despite the rising cost of renting, the North East is still the most affordable area for renters based on average salaries in the region.
Tom Mundy, chief operating officer of Goodlord, said: “We’ve seen some incredible numbers come out of the sector over recent months, but July has set a new benchmark for industry strength.
“It’s clearly been an incredibly busy few weeks for the market, with the data pointing to void and rental cost averages not seen for almost two years.
“Likewise, tenants are earning higher salaries, which is contributing to this ongoing demand for rental space.
“August is typically a hugely busy month for the sector. This means landlords and agents should be prepared to capitalise on demand and ensure that they have the systems in place to handle this next phase of the lettings boom.”
Void periods fell in most regions of England, as they also dropped in the West Midlands from 23 days in June to 18 in July.
The South West of England saw the biggest rise in average rents, increasing by 24% month-on-month to £1,248, which Goodlord attributed to rising demand for coastal living.
Rents also saw more moderate increases elsewhere: in the North West (11.5%), the South East (7%), the East Midlands (6.8%) Greater London (4%), and the West Midlands (3.5%).
Tenant incomes increased by 5% month-on-month in July to £26,946 per year – the highest country-wide average ever recorded by the rental index.