UK rental prices continue to climb, but locations like Stockport are leading the charge as more people flock to the Greater Manchester town.
Despite an 11% rise in the number of rental homes coming to the market in the UK in March compared with last year – while total availability of homes to rent is now 18% higher than it was in 2024 – huge demand from tenants continues to push up prices, according to the latest figures released by Rightmove.
The property portal revealed another increase in rents across the country in this month’s report, with the average household now paying a record-high £1,349 per calendar month, which is 4.5% higher than this time last year. In London, this rises to a huge £2,698 per month, although this figure is only 2.5% higher than in Q1 2024.
Although tenant enquiries have cooled from their most recent highs, they are still more than double where they were in the pre-pandemic period of 2019, with an average of 12 tenants for each available rental property outside London.
But here is where the major regional differences can really be seen, reflecting why Stockport in particular is seeing its rental market hotting up compared with the wider UK market. In the North West, according to Rightmove, there were 18 tenant enquiries per property in March, with landlords in this part of the country continuing to be flooded with interest for their buy-to-lets.
Rental price hotspots
A 4.5% upwards shift in rental prices across the UK shows that demand is still generally outpacing supply. However, when you zoom in more locally, demand is not only there, but is sky-rocketing in some places – and this is an opportunity that’s already been spotted by many property investors.
Often, higher demand is linked to recent regeneration as well as the pipeline of future development that is set to bring vast improvements to an area. This tends to create more job opportunities, better travel options, improved infrastructure, and often a higher-end final result. Stockport is one example of this taking effect, and the town has seen the second-fastest rental growth out of anywhere in the country in the latest results.
According to Rightmove, Chippenham in Wiltshire recorded the fastest rental price growth of 16.4% in Q1 this year compared with 2024. But this is closely followed by Stockport, which saw rents surge by 16.1% during the 12-month period – taking them from £982 per month to £1,141.
The third fastest-growing rental hotspot was Coventry in the West Midlands. But moving back to the North West which was highlighted as the strongest region for tenant enquiries, Carlisle in Cumbria and Birkenhead in Merseyside also appeared within the top 10 locations.
Rightmove’s property expert Colleen Babcock said: “The rental market is still really busy, and as the regional picture shows, it’s likely to feel even busier in some areas of Great Britain than others. It’s good news for tenants that on the whole, the balance between supply and demand is improving.
“This is having a knock-on effect on rental prices, with rents increasing more slowly and more landlords reducing their advertised price.”
Stockport regeneration taking effect
Stockport has been undergoing a huge regeneration effort that’s already transformed parts of the centre, but the work is far from over with the council’s ‘Town Centre Living’ agenda set to transform the way the town is used as a place to live, work and socialise. It puts accessibility, connectivity and sustainability at the heart of its vision, and is a long-term venture providing lots of opportunity for growth.
With upcoming regeneration plans in the pipeline, the promise of more employment opportunities means demand for housing is set to climb significantly in Stockport. This includes housing of all tenures, from private and social rented to first-time buyer and second stepper property options.
Last year, Stockport made headlines in the national press, after it was named as the top place to live in the North West of England in the Sunday Times Best Places to Live guide. It was labelled “one of the most exciting towns around” by judges who visited the town. It also appeared alongside Tameside in the top five UK locations for rental demand – and the latest figures highlight the fact that this has continued.
For tenants, the town offers a good range of living options that are generally cheaper than they might find in nearby Manchester, which is also a rental hotspot. With trains into Manchester taking as little as 10 minutes from Stockport, the town has become one of the most popular commuter locations for the city.
For property investors and landlords, the strength of existing demand along with the planned future improvements coming to the town set it apart as a destination that can provide excellent returns through both rental income and the prospect of capital appreciation.
If you’re interested in finding out more about property investment opportunities in Stockport, get in touch with BuyAssociation today.
