The average cost of rent in England broke records during July – hitting the highest levels ever recorded according to Goodlord, which has been tracking the contracted rents of new tenancies for over six years.
In July, the average monthly price of a rental property in England was £1,496.
This breaks the previous rental record, set last July (2024), of £1,470. The latest figures, which also include record-breaking rental spikes across a range of regions, mark a milestone in the nation’s rental market.
July’s average cost of £1,496 marks a new rental record, the highest average recorded since the Index began in January 2019. Month-on-month rents rose by a huge 18.3% compared to June. This pattern was also seen last year, when prices shot up across England between June and July.
July is traditionally one of the busiest months for the rental market. Demand is driven up by student lets changing hands, graduates moving to new cities, and families looking to secure a home before the new school term.
This phase of heightened market demand was exacerbated by COVID-19. The market saw a surge of activity in July 2020 after four months of restrictions dramatically reduced movement in the rental market. This means a larger cohort of renters see their tenancies expire in June or July each year, kicking off a wave of demand for new properties.
A range of regions across England saw intense price escalation during July compared to the previous month. The cost of rent in the North West jumped by a dramatic 42%. South West residents saw 34% increases in average rents. And those in the North East faced a rise of 27%.
The smallest increases were found in the capital, with rents in Greater London increasing by a comparatively modest 4%. This was followed by a rise of 6% in the South East.
Overall, renters in England who secured new properties in July are paying £231 per month – or £2,772 a year – more than renters who secured a new tenancy in June.
However, the latest figures also indicate that, despite a record-busting July, we may be reaching something approaching rental price stability. Throughout 2025 to date, year-on-year rental inflation has been steadily reducing.
In July, prices were up by 1.8% compared to the same time a year ago – £1,496 in July 2025 vs. £1,470 in July 2024. In contrast, February recorded year-on-year inflation at the much higher rate of 4%.
It’s a more mixed picture at the regional level. Year-on-year, rents are actually down slightly in the East Midlands and the South West, by 1% and 1.6% respectively. However, in Greater London and the West Midlands, year-on-year figures are up by nearly 5% and over 6% respectively.
As market demand saw rents soar, voids also shortened dramatically in July. The average void period shortened from 20 days in June to just 12 days in July – a reduction of 40%. This is only slightly higher than the void periods recorded at the same time last year (July 2024), when they hit 11 days.
In the North West, where rental prices spiked so dramatically in July, voids tumbled from an average of 22 days to just 5 – down by a whopping 77%. Hot on its heels was the North East, which saw a 65% reduction in void periods – down from 20 days to 7.
The smallest shift was recorded in Greater London – which also recorded the smallest monthly rental rise – with voids down from 16 days to 14 days.
Goodlord chief executive William Reeve comments: “Throughout the year the data has been pointing to two clear trends: firstly, that we were likely to see new rental records set over the summer and secondly; that the year-on-year pace of price increases overall is starting to slow.
“This month’s figures show both predictions coming to pass. Across six years of operating the Index, we’ve never recorded a higher monthly rental average. Likewise, every month of 2025 has brought a softening of year-on-year rent inflation. So whilst the market continues to operate under intense pressure, the late autumn could bring something more predictable in terms of rents and voids.”
