Bracknell Rental Market 2024
The rental market in Bracknell, UK, has been experiencing significant growth and transformation in recent years, reflecting the town’s strategic location, economic development, and quality of life. As more people choose to settle in Bracknell, the demand for rental properties has surged, prompting a dynamic and competitive rental market delivering impressive rental yields.
The town’s proximity to major transportation hubs, such as the M4 motorway and direct train services to the likes of Reading and London Waterloo, continues to attract professionals who are looking for more affordable rents and easy commutes to work, so how has this impacted renting in Bracknell?
Bracknell Rental Market
Demand for flats to rent in Bracknell has historically outweighed supply as regeneration projects – such as The Lexicon – massively enhanced the town’s appeal to homebuyers and people in the Capital looking for more affordable rentals within London’s commuter belt.
The Office for National Statistics Census data revealed that, in the ten years between 2011 and 2021, Bracknell’s population increased by 10.1%, from around 113,200 in 2011 to 124,600 in 2021. This growth is higher than both the South East (7.5%) and England as a whole (6.6%), highlighting Bracknell’s welcoming charm and appeal. This has ultimately led to a sharp increase in demand for flats to rent in Bracknell as well as rental prices in the area.
Bracknell’s rental market has also continued to strengthen, with a 2021 report by the ONS stating that Bracknell rents have risen 32% for some types of property since 2011 – with this showing no signs of slowing down with the rising demand in the current market.
Recent data from Rightmove’s Rental Price Tracker reveals that despite a 0.8% decrease between Q3 and Q4 as the market began to stabilise, rental prices in the South East had an overall year-on-year price increase of 7.5% and an average rental yield of 5.7%, giving a slightly better return than London’s 5.4% average rental yield. But as the property market shifts to a buyers’ market, what does this mean for buy-to-lets and the rental market?
UK Rental Market Predictions
A difficult property market for homebuyers resulted in many holding off until mortgage rates became more affordable and, thus, demand for rental properties began to outweigh supply significantly. The imbalance between stock levels and demand saw rental growth throughout 2023 reach new highs for property lets.
Rightmove released the index covering Britain, revealing that average rents outside of London hit £1,280, while agents are receiving 11 enquiries per available property. Advertised rents in the final quarter of 2023 were, on average, 9.2% higher than a year earlier and the property portal echoes JLL’s forecasts of 5% growth within the market this year – surpassing London’s 3% estimate.
Although growth will begin to slow, industry estimates remain positive. JJL forecasts the UK’s rental growth throughout 2024 to reach 5% before stabilising slightly for a more modest growth as mortgages become more affordable. Over the next four years, rental growth will continue its upward trajectory, increasing cumulatively by 23% and representing a great opportunity for investors to benefit from short-term gains and long-term stability. Similarly, Savills predicts 6% rental growth for the coming year and 18.1% over the next four years.
As demand for rental properties and rental prices following the same upward trajectory throughout 2024, landlords are presented with a prime opportunity to yield a healthy rental income and return on their investment. With rental demand remaining high, and industry experts forecasting further increases, 2024 is a great time to invest in rental properties.
The Value of Bracknell’s Rental Market
Due to its proximity to the Capital, the town’s revamp and the influx of tenant demand; Bracknell has quickly become a hotspot for landlords looking for healthy yields. Industry experts predict that it is on course to become one of the swiftest growing towns in the UK over the next few years as regeneration projects continue within the town, in line with the Bracknell Town Centre Vision 2032.
As with many other locations within London’s commuter belt, a large proportion of this rising tenant demand is coming from London leavers searching for more affordable rents in greener environments. With Bracknell just 36 miles from the Capital and direct train routes providing convenient commutes to London’s Waterloo within an hour, landlords are presented with a reliable and desirable option in this increasingly popular ‘outer commuter belt’.
Much like we have seen across the wider UK market, a storm of growing demand and constrained supply has been propelling property in Bracknell. With forecasts anticipating a population of nearly 130,000 by 2033, this demand for property is expected to continue indefinitely.
According to Rightmove data, the majority of demand for property in the South East was geared toward apartments, and with demand already outweighing supply, there are no signs of Bracknell’s rental demand slowing down.
The future seems bright for Bracknell, which has already benefitted massively from The Lexicon shopping centre and the new big-name retailers and restaurants that it continues to attract to the town. The Bracknell 2032 Vision plan is underway, with ambitious plans to rejuvenate the town with new amenities that meet the demands of the town’s new residents. From retail hubs, such as The Lexicon and Princess Square, to progressive workspaces, this will inevitably drive Bracknell property prices and rental yields further.
SevenLiving Landlord Services
As an experienced team of letting agents, our team of expert agents can provide all the knowledge and expertise you need to succeed in a competitive Bracknell rental market. Check out our landlord services here or contact us to discuss how we can help you make lettings simple.
Impressive Rental Yields at The Grand Exchange
The Grand Exchange currently boasts an average rental yield of 5.6% in line with the regional average, peaking at 6.2%. Landlords, in particular, have been quick to recognise the potential for solid returns in this thriving locale. The demand has been robust, and the scarcity of available units has only fuelled the sense of exclusivity surrounding The Grand Exchange. If you’re interested in expanding your rental property portfolio, find out more about The Grand Exchange here.