The just published Homelet Rental Index for June 2013 shows East Anglia bounced back from the poor figures shown in May. Rents were higher by 7.2% compared to June 2012 (month on month) and the annual variance was up 6.2% from June 2012 (year on year). The average rent for June in the region was £734 pcm.
So, was the decline shown in the May figures just an aberration or will it prove to be that the June numbers are out of whack? Unfortunately, only time will tell; its only by looking at the long run averages that one can see if a trend has emerged.
And what's happening on the demand front? Well we can only speak for Norwich and while a few months ago, we sensed a flattening in the market, our July lettings numbers just don't bear that out. There again, with July, August & September traditionally being the peak letting months in most parts of the country as well as in Norwich, we would have been seriously concerned if we had encountered anything but the very good month we had. Interestingly though, looking at the current offerings from the panopoly of Norwich agents, there does seem to be a lot of properties currently available. Seasonal turnover accounts for a large slug of these but we reckon there's more about this year at this time, than for,say, the last 3 years.
Extrapolate that forward to November, if this has become an established trend, then it will mean demand has flattened after allowing for seasonailty and this will surely push rents downwards. However, as we've said before,