UK Rent Yields Rise in Q3 2011

The latest report by the Royal Institution of Chartered Surveyors on UK housing market, published a few days ago, suggests that property rent rates and demand from tenants are growing, and so do the yields on rental property.

On a regional basis, rents picked up on the fastest pace in London. This was followed by the North, the South East, the Midlands and then Wales.

As a result of a significant increase in rental yields, fewer landlords said they were "opting to sell at the end of a tenancy agreement, with the percentage planning to do so

edged down to 2.6%."

According to RICS, the demand for rental property in the UK is so high because potential buyers have been "forced into the lettings market as they struggle to access mortgage finance."

There more new properties on the UK rental market in the three months to October 2011, reports RICS. The pace of growth was the fastest since the three months to April 2009.

The detailed report is available on the official website of RICS.