Average rents fall for only the second time in five years - but some towns still see prices jump
- More homes available to rent and more first-time buyers behind the drop
The cost of monthly rent fell at the end of 2025, only the second time this has happened in the past five years.
The average advertised rent for homes outside of London fell 1.1 per cent in the final three months of last year to £1,370 per month, according to Rightmove data.
While this only equates to £15 in cash terms, it is rare for rents to fall rather than rise.
The last time this happened was in the final three months of 2024, which was the only other time asking rents have fallen in a five-year period.
In the three month period immediately preceding, rents had risen by 1.5 per cent.
Inside London, rents fell by 0.7 per cent or £20, going from £2,736 per month in July to September 2025 to £2,716 in October to December.
Down: Asking rents tumbled by -1.1% in the final three months of 2025, Rightmove says
Share this article
Across the whole of 2025, Rightmove said average advertised rents outside London rose by 2.2 per cent or just £29 compared to 2024. In the capital they edged up by 0.8 per cent.
However, renters in some cities saw rises that far outstripped these averages.
In Hulme in Greater Manchester, rents soared by 20.7 per cent, going from £1,660 to £2,003, while in nearby Altrincham they rose 18.9 per cent from £2,641 to £3,141.
Harrogate, Maidenhead, Preston and Stockport also recorded rises of more than 10 per cent.
Regionally, tenants in the North West and Yorkshire and the Humber saw the biggest rent rises over 2025, at 3.6 per cent and 3.1 per cent respectively.
Is the current rental market making life harder or easier for tenants across the UK?
Comment now| Area | Region | Average asking rent per calendar month December 2024 | Average asking rent per calendar month December 2025 | Annual change | |
|---|---|---|---|---|---|
| Hulme, Manchester, Greater Manchester | North West | £1,660 | £2,003 | 20.70% | |
| Altrincham, Greater Manchester | North West | £2,641 | £3,141 | 18.90% | |
| Harrogate, North Yorkshire | Yorkshire and The Humber | £1,390 | £1,624 | 16.80% | |
| Maidenhead, Berkshire | South East | £2,156 | £2,405 | 11.50% | |
| Preston, Lancashire | North West | £978 | £1,084 | 10.80% | |
| Stockport, Greater Manchester | North West | £1,253 | £1,386 | 10.60% | |
| Bracknell, Berkshire | South East | £1,784 | £1,961 | 9.90% | |
| Huddersfield, West Yorkshire | Yorkshire and The Humber | £884 | £970 | 9.70% | |
| Poole, Dorset | South West | £1,746 | £1,905 | 9.10% | |
| Liverpool, Merseyside | North West | £1,066 | £1,163 | 9.10% |
Why have rents stopped rising as fast?
Tenants were faced with huge rent rises in recent years, as the number of tenants looking for properties outstripped the supply of new homes coming to the rental market.
Average UK private rents increased by 9.1 per cent in the 12 months to November 2024, according to Office for National Statistics data.
There are signs this could be easing, as Rightmove reports the total number of available homes to rent is currently 9 per cent higher than last year.
The website said there were an average of ten enquiries for every available rental home last year, higher than the pre-pandemic 2019 average of six, but lower than 2024's figure of fourteen.
However, demand is still hot in some areas including Scotland where sixteen tenants enquired about each home in 2025.
Colleen Babcock, property expert at Rightmove, said: 'Existing tenants or those looking to rent their own home for the first time are likely to experience a much more settled and balanced market than a few years ago, when the competition to secure a home was frenetic.
'There is much greater availability of homes, and fewer tenants to compete with now, which should hopefully make the experience more positive for renters.'
It has also been suggested that more tenants are taking advantage of falling mortgage rates to get on the property ladder, reducing competition for homes to rent.
Although raising a deposit is still a challenge for many, data indicates that first-time buyer numbers increased last year.
Those getting on the ladder for the first time were responsible for almost 39 per cent of transactions in 2025, according to Zoopla, up from 35 per cent the year before and above the 25-year average.
In 2026, Rightmove predicts that average advertised rents will rise by 2 per cent across the year.
SAVE MONEY, MAKE MONEY
Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence. Terms and conditions apply on all offers.
