Are average monthly rents in Altrincham at a record high?
Are average monthly rents in Altrincham at a record high?
Rental properties hit the headlines again recently, with average monthly rents in Great Britain hitting a record high. The reason continues to be lack of rental property availability versus high demand.
With this in mind, we take a look at what average monthly rents in Altrincham look like.
High demand pushing up average monthly rent payments
While it seems prices are going up everywhere all around us, one area where this is most definitely true, is with rentals. There are simply more people wanting rental properties than there are rental properties available.
According to information from Rightmove, demand from renters is up 20% compared to the same time in 2021. And because of this, average monthly rents have increased. Across the whole of Great Britain, the average monthly rent is up 11% in a year, to £1,162. And compared to July 2022, earlier this year, rents have increased by 3.2%. Rightmove also state that it’s only the third time rents have increased by 3% or more in a three month period.
More rentals are becoming available
There is some positivity to be had. If you look at all regions, with the exception of London, there are more properties available to rent now than earlier in 2022. But the influx of rental demand continues. And let’s face it – recent economic pressures haven’t helped the scenario.
Young hopeful homebuyers face limited mortgage offers, and pricey interest rates. Anyone for whom buying a property could have been a reality pre-Truss government, are now faced with delaying their plans. So, if they can’t find a place to stay with family, they too add to the numbers of people looking to rent. There is evidence of the gap between the supply and demand for rental properties widening. The current economic conditions can only be adding to that.
Manchester ranks as second highest region for increased rents
Yes, Manchester in the North West region has seen average asking rent per calendar month increase from £959 to £1,157. This is an annual change of 20.5%. There appears to be a trend where people are moving back into the cities again. Where during Covid people moved away to the coast and countryside, the demand for city centre living appears to be returning.
Are average monthly rents in Altrincham sky-high?
The average monthly rents in Altrincham have been high for a couple of years now. It’s been the case for some time that they far exceed the North West average.
Property prices in general in Altrincham have been high for a few years now, too. And because of this, there’s a slightly different pattern to rental behaviour. You will see this more visually when you read on, where we share the average age of tenants. But, here in Altrincham, it’s mostly the 40+ age category who rent property.
One of the reasons for that is down to couples and families securing a base in the borough to access the excellent schools. Often, we find renters in Altrincham are on the hunt to buy. It could be that they are a few months away from completion on a house purchase, or they are still hunting for the right property with the view to buy in Altrincham. By moving in and renting beforehand, they can make sure their children can access the schools in the Altrincham area.
Affordability is another factor, having to hang on a little longer to afford a deposit. And looking at the rental figures for Altrincham, rents have certainly increased again.
The statistics on the average rents in Altrincham
Over the last 12 months, the average rent achieved for properties let in Altrincham was £1,150 per month. This is a +15% change on the previous 12 month period.
And if we look at the type of property let in Altrincham, 49% of them were flats. Flats or apartments achieved an average rental value of £972 per month. Houses in Altrincham by comparison, achieved an average rent of £1,380 per month.
The graph below shows the average monthly rents by property type in Altrincham compared to the North West region from October 2021 to September 2022. It’s clear to see the difference in price across all property types. It’s in the flats category where the gap appears to be closing between the average monthly rents for flats in Altrincham (£972) compared to the North West average of £768. This could be because people are starting to return back to city centre living after the Covid lockdowns, increasing rents on flats and apartments across other areas.
How average monthly rents have changed in Altrincham
It’s no surprise to know that average rents have changed over the course of time. And when it comes to Altrincham, the change has been consistently that of an upward trend. Average monthly rents have only increased! And more recently the change has been quite significant, as rental housing stock struggles to meet demand.
Here we show by how much, in both the last year and the last 5 years, average rents have changed. And you can see how this differs between flats and houses.
The age profile of tenants in Altrincham
As we mentioned before, the fact that the 40-49 age category represents the largest age group of tenants in Altrincham (31%), says a lot about average monthly rents. By comparison, for the North West, the largest age group of tenants is the 25-29 age category (25%) and that’s followed by the younger 22-24 category at 17.4%. You would expect the younger age groups to rank higher as they start their own property journey and independent living. However, in Altrincham, only 16.6% of those age 25-29 age rented properties in Altrincham in the last twelve months. And it was less still for the 22-24 age group at 7.4%.
By looking at the average age profile of tenants in Altrincham, it’s clear that average monthly rents are too much for those who are starting out on their careers. Only those much older can afford to rent in this area. But the types of rentals available makes a difference too. Here in Altrincham, around 20% of properties are flats with the remaining 80% being houses. With such a balance, it’s no surprise we see more 40+ families renting in this area. They are more likely to want to rent a house over an apartment. And as we saw in the chart earlier, the average monthly rents for houses in Altrincham sit around the £1,400 mark. That prices a lot of younger people out of renting in the area.
It will be interesting to see how the average monthly rents in Altrincham change in the next few months with the cost of living. Will even more demand force rental prices up? And will we see any change in the average age of tenants based on current economic conditions? With a predicted slowdown in property sales due to living costs, it’s inevitable the rental market will be affected. We will have to wait and see…
Are you considering renting a property in Altrincham? Or are you a landlord looking for a change of management agent to get the best for your investment property? We have many years’ experience dealing with rental properties in Altrincham. Contact us to discuss your circumstances.
And if you are looking to rent in Altrincham and would like to be contacted about new rental properties available, get in touch with our rental team today or call 0161 941 4445.