Big Six Residential Development Report, Summer 2023
This report incorporates data from the JLL UK Cities index, comparing changes in prices and rents across mainstream and prime developments in each city.
There have been some obvious challenges facing the housing market over the past year. Higher rates, tightening household budgets and weaker overall market sentiment are all impacting prices and activity. Although we have seen the rate of growth in prices slow, city centre markets are proving resilient, supported by strong demand from students and young professionals.
In the rental market, severe lack of available rental supply is driving rents. The Big Six cities recorded average annual rental growth of 14.3% in the year to June 2023.
The increases in rents across the Big Six clearly demonstrates not only the demand for city centre living but also the need for more homes. This is not exclusive to the rental market, with a requirement for more homes of all tenures needed to address demand.