Rents across England fell sharply last month, dropping by 12% between September and October, according to the Goodlord Rental Index. While the seasonal dip mirrors typical winter slowdowns, landlords can take comfort in the fact that year-on-year growth remains solid — with rents still 3.1% higher than last October.
Rental slowdown follows seasonal patterns
The national average rent declined from £1,447 in September to £1,276 in October, saving new tenants roughly £2,000 annually. The South West led the declines with a striking 24% fall, followed by the South East, Greater London, and East Midlands — all seeing double-digit decreases. By contrast, the North West and West Midlands posted smaller dips of around 6%.
However, this pattern is nothing new. Similar month-on-month declines were recorded in both 2023 and 2024 as demand naturally tapers off after the summer peak. Importantly, rents remain higher than this time last year — up from £1,238 in October 2024 — proving that underlying market demand and supply constraints continue to underpin the sector.
Goodlord’s CEO, William Reeve, described October’s data as “something of a paradox.”
“On the one hand, we have a big drop in rents and an associated lengthening of voids; exactly what we’d expect to see at this time of year. But we’ve also recorded something of a reversal in the year-on-year rental inflation figures,” he explained.
Stronger rental yields persist despite short-term cooling
For landlords, the data suggests a temporary slowdown rather than a structural shift. Year-on-year, rents rose most significantly in the North West, Greater London, and the South East — each recording growth above 4%. These regions continue to deliver some of the best rental yields, driven by limited stock and persistent urban demand.
Meanwhile, the South West and West Midlands experienced gentler increases of under 2%, and the East Midlands even saw a small annual decline — equivalent to just £4 less per month than in 2024. For many landlords, this modest adjustment may help stabilise tenant retention without substantially affecting overall returns.
At the same time, void periods lengthened from an average of 16 days in September to 21 in October — a 31% rise. The sharpest changes occurred in Greater London, the South East, and the North East, where voids more than doubled. The only exception was the West Midlands, where voids shortened slightly to 23 days.
While longer voids can temporarily dent monthly income, they also reflect increased choice for tenants — often leading to more sustainable tenancy agreements in early winter.
Tenant affordability and the wider outlook for landlords
Interestingly, tenants moving in during October reported higher average salaries, rising from £38,466 to £38,875. That £409 annual increase suggests renters’ incomes are gradually catching up with costs — a small but welcome sign for landlords balancing affordability with yield preservation.
Reeve believes this wage data could help cushion the market. “The slight increase from 2% in September to 3% in October could indicate we’re going into the quietest season for the market with a little more heat than usual,” he said.
With rental inflation still positive and regional demand pockets persisting, landlords can expect a resilient winter market — especially in areas with supply shortages or high student turnover.
Editor’s view
Seasonal rent drops are no cause for alarm. If anything, this autumn’s figures show a market settling into a more predictable rhythm — a relief after several years of volatility. For landlords, maintaining realistic rents and managing voids efficiently will remain key to maximising returns before demand picks up again in early 2026.
Author: Editorial team — UK landlord & buy-to-let news, policy, and finance.
Published: 4 November 2025
Sources: Goodlord Rental Index, ONS, NRLA, UK Finance
Related reading: Rental stock up 19.7% across England as supply pressures ease
