How much do you need to earn to afford the average rent?

Tenants are benefiting from slower rental growth, which means less of their income is needed to go towards paying their rent.

The rental market is going through an overhaul, with the Renters’ Rights Act giving tenants more freedoms and in some cases deterring landlords from the sector.

Some landlords have even been selling up while comparatively lower mortgage rates make buying cheaper than renting.

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All of this is contributing to increased rental supply and lower rental growth, which is good news for renters but may be bad for landlord profits as it is impacting the level of rent they can charge.

Property website Zoopla’s latest Rental Market Report shows demand for rented homes is 14% lower than a year ago as of March 2026 and at its lowest level for 6 years.

This has been attributed to falling migration and more renters getting onto the property ladder.

Meanwhile, there are 11% more homes for rent than last year, helped by landlord exits which are boosting choice for renters.

UK rents are just 1.9% higher over the past 12 months compared with 2.8% a year ago.

There are regional differences though and more affordable areas, where there are lower levels of supply, are seeing high rates of growth.

What is happening in the UK rental market?

The traditional imbalance between supply and demand in the rental market has been hit this year as more tenants have been able to afford mortgages to get on the property ladder.

Landlords and letting agents are having a tougher time renting out homes, with the average home staying on the market for 20 days before being rented.

High levels of supply and lower demand are hitting rental growth

How much do you need to earn to afford the average rent?

These regional rental differences are having an impact on how much tenants need to earn to afford their rent.

Propertymark analysed the average annual salary needed to rent a home in March 2025 and March 2026, based on the average required salary to pass referencing checks in the UK at 30 times the monthly rent.

Its analysis found that while tenants still need a higher salary overall on average, there are regions where the amount needed has actually dropped.

The organisation found that while London may have the most expensive rents on average at £2,193 per month, tenants don’t actually currently need their earnings to increase to keep up with the changes.

In fact, a 1.5% decline in the average rent required in London means tenants need a salary of 65,790 instead of £66,780 last year.

But there are some parts of the UK where tenants will need to be earning more to keep up with rent hikes.

For example, average rents are up 4.95% in Scotland to £1,123 per month and tenants will need to earn 3.8% more.

In Wales, tenants now need to earn 4.5% more to keep up with rent rises.

Across the UK, the average rent is £1,435 per month, which would require an annual salary of £43,050.

Megan Eighteen, president of the Association of Residential Letting Agents, said: "The rental market remains dynamic across many regions when viewed on a month-by-month basis. Price fluctuations are driven by a range of factors, including the volume and type of properties available at any given time, as well as local employment opportunities and their influence on demand. Together, these elements shape how consumers assess their options.

"Overall, rental inflation has been slowing since late 2024 on a year-on-year basis,” Eighteen continued. “However, looking ahead, it is important to consider ongoing global uncertainty and the potential impact this may have on the UK economy in the short to medium term, particularly in relation to household affordability.”

She warned that other changes such as the Renters’ Rights Act, which some expect to lead to a rise in rents, haven’t yet fully filtered down to consumers.