According to a survey from the Royal Institution of Chartered Surveyors (Rics), UK rents are expected to rise a further 15% by the middle of 2023. There is a higher demand for rental properties due to the cost of buying a property, while at the same time there is a shortage in supply of rental spaces.
This applies directly to tenants in St Albans; a recent study found that 64% of landlords could increase rents in the city by an average of £424 a year. This places St Albans third in a list of 10 cities and towns in the UK that are facing the largest rent rises.
A number of reasons have been suggested for this proposed increase in rental rates. With the impending tenants fees ban, regulatory changes and a loss of mortgage interest tax reliefs, landlords are looking at alternative ways to make their buy-to-let investments work.
Availability and rental prices in St Albans
St Albans has a healthy amount of properties available, at present there are around 260 properties listed for rent in St Albans. There are still a strong variety of options available for first-time renters and those looking to move to a new property. The rental market in St Albans is refreshing new homes frequently, in the past 14 days, there were over 50 new properties placed on the market.
Homes in St Albans are staying on the market longer than rival areas, the average time rental properties spend on the market in St Albans presently stands at 194 days compared to Hertfordshire as a whole with an average of 169 days. However, St Albans is a competitive property market when you compare the average of 194 days to London’s 212 days.
St Alban’s average rental rates are only slightly higher than the county of Hertfordshire; the average rent in St Albans currently stands at £1,448 pcm, compared to the county of Hertfordshire at £1,418 pcm. Both of these figures are higher than the national average of £928 (last calculated in October), although compared to London this far lower, as average rents in the capital have risen to £3,286 pcm.
The rental home prices remain relatively affordable compared to London; the median rental price in St Albans is £1,275pcm, which is far lower than the London median of £2,002pcm .
St Albans properties by type
Properties available in St Albans are well suited for single and professional couples, or small families. For example, there are currently 57 one bedroom properties priced at an average of £944 pcm, while there are 102 two bedroom spaces available at an average of £1,279pcm.
The more bedrooms included in the property, the fewer there are available, which is typical of most cities and towns in the UK. There are 46 three bedroom properties and 26 with four bedrooms, which are averaged at £1,520pcm and £2,406pcm respectively.
There are only a very small number of rooms available to rent in St Albans, with the figure currently standing at 5. Flats are a better option, with 129 ready to rent at an average price of £1,137 pcm. In terms of housing stock, 116 can be rented, with the average price currently at £1,793 pcm.