Landlords around the UK are seeing the rate of rent increases beginning to slow, according to research.
The figures have been provided by the HomeLet Rental Index which shows that in the quarter to August 2015, landlords were charging new tenants, on average, £992 a month. That's up slightly from the £977 a month that was paid in the three months up to July 2015.
On the other hand, landlords in the south-east, north-west and north-east have seen their rents decrease. The biggest drop was recorded in the north-east where rents are now 2.1% lower in August than there were in July.
New tenancies have seen rents increases
The index also reveals that new tenancies have seen rents increase and are now, on average, costing 10% more than they were in August 2014.
Tenants in London are now paying around £1,558 every month while landlords in Wales saw new rents increased by 2.5%.
Martin Totty, the chief executive of Barbon Insurance which runs HomeLet said: “Rents are continuing to run ahead of house prices with most landlords experiencing rent increases, though at a slower pace than we've seen in early 2015.
“Rents are still higher than they were a year ago with most regions having lower rents being reported for new tenancies.”
He added that the private rental sector in the UK will be looking at the rent price situation over the next few months to see whether the slowdown continues or whether this has just been a blip in their figures.
London landlords face rent control promise
Meanwhile, landlords with rental properties in London will face rent control measures should Sadiq Khan, the mayoral candidate for the Labour party, win in the May election.
Mr Khan says he will freeze rent increases and bring in a London living rent in a bid to bring down the cost of renting property in the capital.
He says that the living rent measure would consist of a below market rent figure being offered on new build properties, which would equate to a third of the average renter's wage.
Mayoral candidate wants to bring in ‘Living Rent’
The mayoral candidate has also said that by bringing in a Living Rent, it would make it easier for tenants to save up to buy their own home.
Other proposals from the candidate include creating a not-for-profit letting agency, as well as naming and shaming rogue landlords.
He also wants to begin a campaign that empowers tenants in the capital to get the necessary property repairs carried out quickly.
