Rents stagnate at year-start for first time since 2017

Rents stagnate at year-start for first time since 2017


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The  advertised rent of homes coming onto the market outside London remained flat in the first quarter of the year – for the first time since 2017.

Rightmove says Q1 2026 rents held at an average (outside of London) £1,370 per calendar month. 

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This is the first time since 2017 that rents have not increased at the start of the year from Q4 into Q1.  

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Advertised rents outside of London are still 1.6% higher than this time last year, though this is the lowest this figure has been since 2018. 

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Rightmove says two key drivers are to blame for a more muted start to the year for rent increases. 

Firstly rental market supply and demand appears at its most balanced since 2020; secondly, lower tenant demand and a greater choice of homes is reducing competition.

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In addition, with wage growth slowing and inflation still above the Bank of England’s target 2%, affordability pressures remain for tenants, with more likely reaching a ceiling of what they can pay.

In London, average advertised rents rose by 0.7% this quarter to £2,736 per calendar month, though rents are still lower than Q3 2025’s record.  

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What’s happening with rental market activity? 

The website says there are nomajor signs of changes to market dynamics ahead of the Renters Rights Act.  

The number of available homes to rent is now 3% higher than a year ago, with supply at its highest level for this time of year since 2021. 

But overall supply remains below longer‑term norms. 

However, there’s been no surge in newly listed homes for rent ahead of the May 1 start of the Renters Rights Act. 

In fact, while the total number of available homes for rent is higher than recent years, the number of newly listed rental properties coming onto the market in the full month of March is actually 6% lower than at the same point last year.  

The balance between tenant demand and supply of rental homes continues to improve. 

The average rental home now receives eight enquiries, down from 11 a year ago and 29 at the 2022 peak, though still higher than five pre-pandemic. 

Agents report landlords taking a more measured, longer‑term approach, focusing on securing reliable tenants and ensuring properties remain competitively priced in a less pressured market. 

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