Last Updated: 02/06/2016
The Government has brought in many changes to the rental market this year – one positive move was that homeowners/renters can now rent out their spare room or studio for up to £7,500 tax-free.
The price of renting a room has also increased over the past few months - excluding London prices have increased by 5.01% in the past year, in comparison London prices have risen more slowly at 1.6%, and in the South East and South West landlords are demanding the highest monthly room rents. The largest growth in rental prices has been experienced in the South East, where monthly room rents have risen to an average price of £485 per month, an increase of 6.59% compared to 2015.
In London the average spare room can be rented out for around £747 a month, however rental price increases have slowed down compared to the rest of the country.
Esher in Surrey is one of the most expensive places to rent a room, with the average monthly rent of £629 per month, however after London Twickenham is the most expensive place to rent a room, on average they cost around £647 per month.
Whilst renting out a room is very attractive proposition renting out a whole property still offers a great return.
According to a new study published by Your Move and Reeds Rains last week, property rental across the UK have risen by around 2.4%, to around £793 per month over the past year.
If you would like to find out more about renting out your spare room or space, or if you are thinking about investing in a rental property then why not pop into your local branch of Hawes and Co or give our team a ring on 0208 946100.
Source: Daily Mail
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