England’s rental market cools sharply in October but sees signs of winter resilience

Rental costs across England saw a significant month-on-month decline in October, with rents dropping by 12%, yet annual inflation persists amidst rising void periods, indicating a nuanced market entering its quieter season with ongoing demand pressures.

In October 2025, rental costs across England experienced a marked decline, with average rents dropping by 12% month-on-month, according to the latest Goodlord Rental Index. This brought the national average rent down from £1,447 in September to £1,276, translating into an annual saving of approximately £2,052 for tenants moving that month. This sharp decline follows a summer and early autumn period marked by record-breaking rental highs, now giving way to a more subdued market as the industry enters its traditionally quieter winter season.

Regional variations were pronounced, with the South West witnessing the steepest fall at 24%. Other notable decreases included the South East, Greater London, and East Midlands, each experiencing drops of over 10%. In contrast, the North West and West Midlands saw more moderate dips around 6%. Although the October decrease seems steep, it reflects seasonal patterns observed in both 2023 and 2024, where rents typically fell by around 12% between September and October.

Year-on-year figures presented a more nuanced picture. Despite the monthly slowdown, rents were still 3.1% higher compared to October 2024, rising from £1,238 to £1,279. This stability suggests ongoing underlying supply and demand pressures in the rental market. While this annual growth has softened from a 4.6% rise in January, it rebounded from a modest 2% uplift recorded in September. The North West, Greater London, and South East especially showed robust annual rental inflation, exceeding 4% in each region, while the South West and West Midlands experienced relatively mild increases under 2%. Interestingly, the East Midlands saw a slight year-on-year decrease, with average rents falling by about £4 per month.

Void periods—the time properties remain unoccupied between tenants—lengthened significantly in October, increasing nationally by 31%, from 16 days in September to 21 days. This rise occurred across nearly all regions except the West Midlands, where voids shortened marginally. Greater London and the South East experienced the most dramatic increases in void periods, each expanding by over 50%. The North East saw void periods almost double, climbing from 12 to 23 days, indicating a cooling market with slower tenant turnover.

On a positive note for tenants, those moving in October reported slightly higher average salaries, rising from £38,466 in September to £38,875. This increase of £409 per year could help alleviate some cost-of-living pressures amid fluctuating rental prices.

William Reeve, CEO of Goodlord, described October’s figures as paradoxical, noting both a notable reduction in rents and lengthening voids—expectations consistent with seasonal trends—alongside a modest uptick in year-on-year inflation from 2% in September to 3% in October. He suggested this might indicate a rental market entering the quietest season with “a little more heat than usual,” making the year-on-year metric one to watch through the winter months.

Looking back to the later part of 2024, similar trends were evident. In November and December, rents continued to fall by around 3% monthly, extending a sequence of five consecutive months of decline. Void periods lengthened further, consistent with expectations for decreased demand following summer peaks. Annual rental inflation reached lows during this period, reinforcing the narrative of a cooling market, especially pronounced in the South West region. By February 2025, there were early signs of recovery; rents saw a slight month-on-month increase of 0.2%, with void periods shortening to the lowest levels since October 2024, signalling a potential uptick in demand as the market moved towards the spring and summer seasons.

Such fluctuations underscore the seasonal nature of England’s rental market, influenced by broader economic factors including wage trends, supply constraints, and tenant demand cycles. The Goodlord Rental Index continues to provide critical monthly insights, helping landlords, agents, and renters navigate these dynamic conditions with data-driven clarity.

📌 Reference Map:

• ^[1] (Property Industry Eye) – Paragraphs 1, 2, 3, 4, 5, 6, 7, 8
• ^[2] (Mortgage Finance Gazette) – Paragraphs 1, 2, 4, 5, 6, 7
• ^[3] (Goodlord Blog November 2024) – Paragraphs 9, 10
• ^[4] (Goodlord Blog December 2024) – Paragraph 9
• ^[5] (Goodlord Blog February 2025) – Paragraph 10
• ^[6] (Goodlord) – Paragraph 1, 4

Source: Noah Wire Services

Noah Fact Check Pro

The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.

Freshness check

Score:
10

Notes:
The narrative is current, published on November 4, 2025, with no evidence of prior publication or recycling. The data aligns with recent reports from Goodlord, indicating freshness.

Quotes check

Score:
10

Notes:
Direct quotes from William Reeve, CEO of Goodlord, are consistent with previous statements, suggesting originality.

Source reliability

Score:
9

Notes:
The report originates from Property Industry Eye, a reputable industry publication. The data is sourced from Goodlord, a recognised entity in the rental market.

Plausability check

Score:
10

Notes:
The reported 12% month-on-month rent decline and regional variations are consistent with seasonal trends and previous data from Goodlord. The increase in void periods and slight rise in tenant salaries further support the narrative’s plausibility.

Overall assessment

Verdict (FAIL, OPEN, PASS): PASS

Confidence (LOW, MEDIUM, HIGH): HIGH

Summary:
The narrative is current, original, and sourced from reputable entities. The reported data aligns with known market trends, and the quotes are consistent with previous statements, indicating a high level of credibility.