There has been plenty of uncertainty in the rental market recently. We’ve had changes to legislation, affordability pressures, higher borrowing costs and plenty of discussion about whether rents can continue to rise.
The latest HomeLet Rental Index gives us a useful snapshot of where the market is now. The average UK rent reached £1,369 per month in July 2026, an increase of 1.2% compared with June and 4.3% compared with the same time last year. It also marks the fifth consecutive month of rental growth, with annual growth now at its highest level since September 2024.
But for landlords in Hertfordshire and Bedfordshire, the national figure isn’t necessarily the most useful number.
The East of England
The average rent in the East of England is currently £1,333 per month, up 0.7% in July and 2.2% compared with a year ago.
That’s slightly below the UK average, and the region has seen slower annual growth than some parts of the country. I think that’s an important distinction because it’s very easy to see a headline saying rents are up 4.3% nationally and assume that every property has increased by the same amount.
The reality is much more nuanced. Different regions are behaving differently, and even within the same region there can be significant differences depending on location, property type, condition and demand.
This is why, as a local estate agent and letting agent in Hitchin and the surrounding areas, we believe national figures are useful for understanding the wider market, but local knowledge is essential when assessing an individual property.
What are rents actually achieving?
One of the things I find particularly useful about the HomeLet Rental Index is that it looks at actual achieved rents on newly agreed tenancies, rather than simply asking prices advertised online.
An asking rent tells you what a landlord would like to achieve, whereas an achieved rent tells you what a tenant has actually agreed to pay.
For landlords, that distinction is important. It means the figures provide a much better indication of what is actually happening in the market, rather than simply reflecting what properties are being marketed for.
So should landlords be increasing their rents?
This is probably the obvious question when rental figures like these are released, but I don’t think there is a simple answer.
The fact that rents are increasing doesn’t automatically mean every landlord should increase their rent.
Every property is different, and there is also the relationship with the existing tenant to consider. If you have a good tenant who looks after the property and pays on time, there can be real value in retaining that stability.
Equally, landlords shouldn’t simply leave their rent untouched indefinitely because they’re worried about upsetting a tenant.
The important thing is understanding where your property sits in the current market and making an informed decision.
Affordability still matters
The rental market ultimately depends on what tenants can afford. Push rents too far beyond what the market will support and landlords can end up with longer void periods, fewer applicants and potentially a lower overall return.
HomeLet’s latest figures show that tenants across the UK spent an average of 32.4% of their gross income on rent in July, slightly lower than the previous month and slightly lower than a year ago.
That doesn’t mean affordability isn’t a concern, but it does show why rental growth can’t be looked at in isolation.
My biggest takeaway
If I had to sum up the latest figures in one sentence, it would be this.
The rental market is still moving upwards, but landlords shouldn’t confuse rising rents with an automatic instruction to increase their own rent by the maximum possible amount.
The latest data shows a resilient market. UK rents have increased for five consecutive months, whilst the East of England has also continued to grow.
That doesn’t necessarily mean increasing the rent every year. It means reviewing it.
Sometimes we’ll recommend an increase and sometimes we’ll recommend a more gradual approach because retaining a good tenant is more valuable in the long term.
The HomeLet figures are another useful piece of evidence when making those decisions, particularly because they are based on achieved rents rather than advertised prices.
At M A S O N S
As an independent estate agent and letting agent in Hitchin, we work with landlords across Hertfordshire and Bedfordshire to help them understand the local rental market and make informed decisions about their properties.
Whether you’re looking for advice on rental values, considering letting your property for the first time or looking for professional property management, our team can help.
If you haven’t reviewed your rent recently, are considering letting a property, or simply want to understand where your property sits in the current market, we’d be more than happy to have a conversation.
If you’d like to discuss your property or find out what it could realistically achieve in the current market, speak to Connor at
M A S O N S on 01462 557 477.
The market is changing, and we’ll continue to share what we’re seeing from both the data and our own experience managing properties across Hertfordshire and Bedfordshire.