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| Version 1 | Version 2 |
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| Rents fall in December ... but it's just a 'seasonal blip' | Rents fall in December ... but it's just a 'seasonal blip' |
| (2 days later) | |
| Average rents fell across London and the south-east during December in the first sign of a slowdown in rampant rental inflation, according to figures from LSL Property Services, which owns letting chains Your Move and Reeds Rains. | Average rents fell across London and the south-east during December in the first sign of a slowdown in rampant rental inflation, according to figures from LSL Property Services, which owns letting chains Your Move and Reeds Rains. |
| It found that the average rent in England and Wales was down 0.9% in December to £734, with London enjoying a fall of 1.5% and the east of England and the north-east dropping by 1.7%. Only the West Midlands, the south-west and Wales saw small rent rises over the month. | It found that the average rent in England and Wales was down 0.9% in December to £734, with London enjoying a fall of 1.5% and the east of England and the north-east dropping by 1.7%. Only the West Midlands, the south-west and Wales saw small rent rises over the month. |
| But despite December falls, 2012 marked another year in which rents outstripped average pay rises. LSL said that on average in London they rose by 6.3% over the year, while in the south-east they were up by 3.9%, compared to pay rises running at less than 2%. | But despite December falls, 2012 marked another year in which rents outstripped average pay rises. LSL said that on average in London they rose by 6.3% over the year, while in the south-east they were up by 3.9%, compared to pay rises running at less than 2%. |
| Rent rises have taken a heavy toll on tenants, who are increasingly falling behind with payments. LSL said rent arrears rose sharply to £326m in December from £241m in November, equal to 10.1% of all rents across England and Wales. | Rent rises have taken a heavy toll on tenants, who are increasingly falling behind with payments. LSL said rent arrears rose sharply to £326m in December from £241m in November, equal to 10.1% of all rents across England and Wales. |
| David Newnes of LSL said: "The amount owed hit levels not seen since last Christmas. In the absence of real salary increases in 2012, the additional burden of higher rents was met by tenants cutting back on other essentials." | David Newnes of LSL said: "The amount owed hit levels not seen since last Christmas. In the absence of real salary increases in 2012, the additional burden of higher rents was met by tenants cutting back on other essentials." |
| But LSL warned that December's fall will be temporary, with rents marching up again in 2013. "It is a seasonal blip rather than an about-turn in the market. Long-term problems remain for new buyers looking to leave the rental market, and Funding for Lending is proving a double-edged sword. | But LSL warned that December's fall will be temporary, with rents marching up again in 2013. "It is a seasonal blip rather than an about-turn in the market. Long-term problems remain for new buyers looking to leave the rental market, and Funding for Lending is proving a double-edged sword. |
| "While rates are coming down for those with large deposits, extremely low savings rates are hitting those still trying to pull together a deposit – a problem accentuated by the record low base rate." | "While rates are coming down for those with large deposits, extremely low savings rates are hitting those still trying to pull together a deposit – a problem accentuated by the record low base rate." |
| But buy-to-let landlords face few problems accessing finance, according to figures from Arla, the association of residential letting agents. It said lending to landlords jumped by 8% in the final quarter of 2012 to £4.2bn, with the average number of buy-to-let properties owned by a landlord rising from seven to eight in 2012. Ian Potter of Arla said: "The latest data suggests landlords are carefully but concertedly increasing their portfolios; activity is returning to the buy-to-let market." | But buy-to-let landlords face few problems accessing finance, according to figures from Arla, the association of residential letting agents. It said lending to landlords jumped by 8% in the final quarter of 2012 to £4.2bn, with the average number of buy-to-let properties owned by a landlord rising from seven to eight in 2012. Ian Potter of Arla said: "The latest data suggests landlords are carefully but concertedly increasing their portfolios; activity is returning to the buy-to-let market." |
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| Chelsea Building Society | Chelsea Building Society |
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| Provided by London & Country for the Guardian |