Residential Rents in the UK are Reducing
One of the results of Covid-19 is that prices are reducing in residential property, particularly in in rental sector.
On average rents in London are now 5.2% cheaper than they were this time last year and rents are also falling in the other major cities. In some places in central London, prices have been slashed on the advertised price in recent months by up to 45%. Further, flats in Manchester that were up for £925 per month are now being advertised at just over £800 a month.
This is because many more people are working from home and no longer need to live near to where they work. Also many people want more much space nowadays, particularly gardens, than they did before the first lockdown.
It is very difficult to judge whether this is a temporary phenomenon or whether this marks the beginning of a shift away from the attraction of the city centre. Only time will tell in 2021 for landlords and tenants.