Rents dropped by 12% month-on-month, a major decrease following a summer and early autumn of record-breaking averages, Goodlord’s latest rental index reveals.
The data found that month-on-month rents reduced in every region of England during October, dropping by an average of 12%.
This brings average rental costs down from September’s average of £1,447 to £1,276.
For tenants moving in October, this represents a significant annual saving of £2,052.
The largest reduction in rents was recorded in the South West, which saw prices drop by 24%.
And the South East, Greater London and the East Midlands all saw rent reductions of over 10%.
The smallest shifts were seen in the North West and the West Midlands, where rents reduced by around 6%.
Despite the significant month-on-month drop in rents, such a decline remains in line with expectations and mirrors market movements in previous years.
A year-on-year level however, rents are up by 3.1%, a rise from £1,238 in October 2024 to £1,279 over the last month.
This is lower than the 4.6% year-on-year rental cost rise recorded in January this year. However, it is notably higher than year-on-year figures recorded in September, when rental inflation sat at 2%.
Annual rental inflation is currently the most notable in the North West, Greater London and the South East, where rents are up by over 4% compared to October last year.
Renters in the South West and West Midlands have been more shielded from rental rises, with year-on-year inflation sitting at less than 2% in October.
And prices in the East Midlands are even down slightly compared to 2024 averages – with properties now costing £4 less per month, on average.
Data also shows that on average, voids increased from 16 days in September to 21 days in October; an increase of 31%.
Void increases were seen in all regions with the exception of the West Midlands, where averages dropped by one day from 24 days to 23.
Elsewhere, voids lengthened by over 50% in both Greater London and the South East. The most notable shift was in the North East, where voids almost doubled rising from 12 days to 23.
In October 2024, void averages were slightly shorter at 19 days across England.
Goodlord chief executive William Reeve comments: “This month’s figures present something of a paradox. On the one hand, we have a big drop in rents and associate lengthening of voids; exactly what we’d expect to see at this time of the year. But we’ve also recorded something of a reversal in the year-on-year rental inflation figures.”
“Throughout 2025 to date, these figures have been fairly steadily reducing each month. However, the slight increase from 2% in September to 3% in October could indicate that we’re going into the quietest season for the market with a little more heat than usual. The year-on-year change is the metric to watch over the winter.”
