Will Rents Rise, Fall or Stay the Same in 2026?
Before we squeeze in yet another mince pie and head off home to put our feet up, let’s take a look at where rents and the rental market might be heading in 2026.
The stats say it’s actually been a positive 2025 for landlords.
Demand for rentals has been high. Official stattos the ONS say average UK monthly private rents rose 5% over the last year.*
2026 - What the experts think
So where do some of the national experts think rents are going next year?
- Posh agency Savills thinks average national rents will rise 2% in 2026 – and 12% over the next five years.**
- Chartered surveyor’s body RICS forecasts rents will rise 3% next year.***
- In their pre-Budget report the Government’s Office for Budget Responsibility (OBR) simply forecast ‘a steady long-term rise in rents' . ****
2026 - What we think
The big grey elephant in the rental market room right now is the Renters’ Rights Act. It starts in England on 1 May 2026.
The extra 2% on property Income Tax announced in the Budget wasn’t good news either. (Although that doesn’t come in until 2027.)
Some people try to avoid mentioning these things. But we’re known for our plain talking.
It will all mean challenges for landlords. Some will decide to throw in the towel.
But there are positives for landlords who stay in the market.
Demand from renters will be as strong as ever. But there could be fewer homes for them to choose from. That could see rents marching onwards and upwards in 2026.
Bear in mind, Renters’ Rights caps rent increases to market levels once a year. This isn’t the same as rent control. It doesn’t mean you can’t increase your rents each and every year.
Overall we think the market should stay strong in 2026. But it will be more vital than ever to find (or keep) good tenants. And set the rent just right.
Will the Warrington market buck the trend?
Forecasts and averages are just what they say they are – forecasts and averages. They don’t always translate to real life.
In real life how much rent your house or flat will earn depends on what exactly it offers, demand from tenants and the area (and even the street) it’s in.
So if you need advice on rents it’s vital to take advice from someone who knows the local lettings market inside out.
At Courtyard Homes we’ve oodles and oodles of real life experience in the Warrington lettings market.
If you need our help with valuing, letting or managing your property give us a call.
Have a wonderful Christmas and New Year break.
Sources:
*** RICS forecast