Rentals across England have risen for the third consecutive month in March according to Goodlord’s Rental Index.
With year-on-year rental growth now standing at 4.6%, landlords are benefitting from a steady demand-driven market that shows no signs of cooling down.
The average rent across England in March was £1,213, compared to £1,160 in March 2024 — a rise of 4.6%. This means that renters signing new tenancies are now paying £636 more per year per property compared to 12 months ago.
Landlords in the South East have seen the greatest annual growth, with rental prices rising by over 6%. A property in the region that rented for £1,286 per month in March 2024 is now an average of £1,365.
The West Midlands and the North West also reported strong growth, with both regions seeing a 5% rise. However, the East Midlands recorded the slowest increase, coming in at under 3%.
William Reeve, chief executive of Goodlord, says: “We’ve long believed that rental prices didn’t reach their ceiling last summer and that this year will bring new rental cost highs. The steady creep of price rises we’ve tracked in 2025 so far appears to bear this out.
“The overall picture is currently pointing to another year of record-breaking rents.”
London leads monthly rent growth
The month-on-month picture is also encouraging for landlords. Average rental prices rose slightly by 0.33% between February and March 2025, increasing from £1,209 to £1,213.
Greater London recorded the largest monthly increase, with average rents jumping by over 1% from £2,021 to £2,045.
All regions recorded a monthly increase, except the East Midlands, where rents fell by 3% from £1,018 to £987.
Voids rose slightly in March, with the UKaverage length rising from 20 days in February to 21 days.
The regional picture for voids was mixed. While Greater London, the North West, and the South West all saw voids shorten, the South East experienced an increase of two days, and the West Midlands saw a significant jump of five days.
Void periods remained stable in the East Midlands and North East, indicating that demand remains robust in these areas despite slower price growth.
This article is taken from Landlord Today