Average Rent in England Hits Record High in July 2025

he cost of renting in England has reached a new milestone, with July 2025 recording the highest average monthly rent since records began, according to the latest Goodlord Rental Index.

Record-breaking rents across England

The national average rent for July hit £1,496, surpassing the previous record of £1,470 set in July 2024. This marks an 18.3% jump compared to June, echoing last summer’s sharp seasonal increase in rental demand.

July is traditionally one of the busiest months in the rental market, fuelled by a combination of factors:

• University students moving for the academic year
• Graduates relocating for work opportunities
• Families securing homes before the school term starts

Post-pandemic tenancy cycles have also contributed to this surge, as many contracts now expire in early summer, creating annual waves of heightened demand.

Regional rental growth shows stark contrasts

Some regions experienced exceptional month-on-month growth.

• North West: up 42%
• South West: up 34%
• North East: up 27%

In contrast, Greater London saw the smallest increase at 4%, followed by the South East at 6%.
For those moving in July, rents were on average £231 per month higher than in June — an annual difference of £2,772.

Annual growth slowing despite monthly peak

While July’s monthly rise was dramatic, annual rent inflation appears to be easing. Year-on-year, rents increased by 1.8% — a slower pace compared to the 4% annual rise seen in February 2025.

Some regions even saw small annual declines:

• East Midlands: down 1%
• South West: down 1.6%

However, Greater London and the West Midlands bucked the trend, posting year-on-year increases of nearly 5% and over 6% respectively.

Void periods drop as demand soars

As demand intensified, void periods — the time a property sits empty between tenancies — fell sharply. The average dropped from 20 days in June to 12 days in July, a 40% reduction.

Notable regional changes include:

• North West: down from 22 days to 5 (a 77% drop)
• North East: down from 20 days to 7 (a 65% drop)

In Greater London, voids only decreased slightly, from 16 days to 14.

Market outlook

William Reeve, CEO of Goodlord, noted:

“Across six years of operating the Index, we’ve never recorded a higher monthly rental average. However, every month of 2025 has shown a softening in year-on-year rent inflation. While the market remains under pressure, the late autumn could bring more stability in both rents and voids.”

The data suggests two ongoing trends: record-setting rents in peak months, paired with a gradual slowdown in annual growth — a sign that while tenants face high costs now, the pace of future increases may start to ease.

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