Rent increases slow down through 2013

Landlords might still be enjoying a boom - but rent rises have slowed or plateaued. The latest Buy-to-Let Index from LSL Property Services showed that annual rent rises halved in 2013 in comparison with 2012.

Average rents across England and Wales rose 1.5% in the past year, to stand at £745 per month in December.

This annual rise is half that of a year ago.

By comparison, rents increased by 3.2% in the year to December 2012.

Peter Lawrence of Lawrence Rand said: “These figures still show a healthy private rental sector and, with landlords gaining from capital growth as well, the investment value of a well-managed lettings portfolio is attractive.

As the economy improves and wages start to rise, we are likely to see the more discerning and financially able tenants, gravitate towards better quality and better managed property.”