Rents fell 12% month-over-month, a big drop after a summer and early fall of record-breaking averages. Good sir is evident from the latest rental index.
The data showed that month-on-month rents fell in every region of England in October, by an average of 12%.
This brings the average rental cost down from September’s average of £1,447 to £1,276.
For tenants moving in October, this means a significant annual saving of £2,052.
The biggest drop in rents was recorded in the South West, where prices fell by 24%.
And in the South East, Greater London and the East Midlands, rents have all fallen by more than 10%.
The smallest shifts were seen in the North West and West Midlands, where rents fell by around 6%.
Despite the significant month-on-month decline in rental prices, such a decline remains in line with expectations and reflects the market movements of previous years.
However, year-on-year rents have increased by 3.1%, up from £1,238 in October 2024 to £1,279 last month.
This is lower than the 4.6% year-on-year increase in rental costs recorded in January this year. However, it is significantly higher than the year-on-year figures recorded in September, when rental inflation stood at 2%.
Annual rental inflation is currently most notable in the North West, Greater London and the South East, where rents have risen by more than 4% compared to October last year.
Renters in the South West and West Midlands are better protected from rent increases, with year-on-year inflation in October reaching less than 2%.
And prices in the East Midlands have even fallen slightly compared to 2024 averages – with homes now costing an average of £4 less per month.
Data also shows that vacancy has increased on average from 16 days in September to 21 days in October; an increase of 31%.
All regions saw an increase in vacancy rates, with the exception of the West Midlands, where averages fell by one day from 24 to 23 days.
Elsewhere, voids were extended by more than 50%, both in Greater London and the South East. The most notable shift occurred in the Northeast, where the number of empty spaces nearly doubled, from 12 to 23 days.
In October 2024, void averages across England were slightly shorter at 19 days.
William Reeve, CEO of Goodlord, comments: “This month’s figures show something of a paradox. On the one hand, we have a big drop in rental prices and an associated extension of vacancy rates; exactly what we would expect at this time of year. But we have also recorded something of a turnaround in year-on-year rental inflation figures.”
“Throughout 2025 to date, these figures have fallen quite steadily each month. However, the slight increase from 2% in September to 3% in October could indicate that we are entering the quietest season for the market, with slightly more heat than normal. The year-on-year change is the benchmark to consider during winter.”