Chatham Rental Market 2024: Rising Rents, Trends, and Property Insights

In the last year, Chatham's rental market has seen a dynamic change characterised by a consistent rise in rental rates and a noticeable difference among various property types.  The average monthly rent that Chatham properties are now achieving is £1,236. This is a 5% rise from the previous 12 months. This increase is indicative of larger regional trends as local and regional markets adjust to the changing needs of tenants.

Flats vs. Houses: A Comparative Analysis

Flats, which accounted for 46% of all properties rented in Chatham last year, dominate the rental market. The average monthly rent for these apartments is £1,152, which is slightly less than the rest of the south east but still shows how popular small apartments are. Flats are becoming more and more popular among young professionals and small families who value price and convenience, especially those with one or two bedrooms. Especially with a large amount of these flats being on the waterfront.

On the other hand, houses achieved a higher average monthly rental value of £1,276. This trend emphasises how families and individuals looking for extra space continue to find greater living areas appealing. It's interesting to note that tenants who appreciate space and are prepared to pay a premium for it are the ones that drive demand for houses, particularly those with three or more bedrooms.

Variations Every Year and Market Dynamics

When analysing the yearly fluctuations in rental rates, Chatham's market has seen different rates of expansion for different kinds of properties. The largest increase in average rents over the past year has been observed in studio apartments, where rates have increased by 10%. This may be explained by the increasing number of couples and single professionals looking for low-cost, low-maintenance housing options.
Greater rise has been observed in larger apartments, especially those with three or more bedrooms, where rental costs have increased by 13.8%. This dramatic increase suggests a high demand for large flats, which may be driven by families and individuals needing more room for home offices—a tendency that has intensified since the pandemic. Although I can imagine that there aren't too many 3 bedroom apartments being available to rent when compared to 2 bedroom apartments. 
Interestingly, larger homes (four or more bedrooms) have suffered a fall in the rental market, with average rentals falling by 6.6%. This decline could indicate a shift towards smaller, more affordable dwelling options as economic constraints increase or a saturation of demand in the higher-end market. Again having knowledge of the market we can't imagine that there are many of this type of home available.

Rent Preferences and Demographics

In Chatham, renters are 36 years old on average, with a sizable percentage (21%) lying between the 40 and 49 age range. According to this demographic data, Chatham's rental market appeals to a more mature clientele, maybe as a result of its accessibility to family-friendly services and being close to London. Larger, more spacious, and comfortable properties are probably in higher demand due to the tastes of this age group.

High-End Rentals: Expensive Homes and Their Appeal

The rental market in Chatham reveals a notable range in rent amounts when the top 25% and top 10% of obtained rents are taken into account. For instance, the average rent for the top 25% of properties, which consists of upscale homes and apartments, is £1,809 for homes with three or more bedrooms and £2,074 for homes with four or more bedrooms. These numbers highlight the great demand from affluent tenants for large, well-kept residences; they are willing to pay a premium for prime locations and first-rate amenities.

In conclusion, the previous year has seen a variety of rental choices dictated by demographics and property type in Chatham, as well as rising rents, especially in the flat market. Landlords and investors are in a good position to profit from the increasing demand, especially in the mid-range and premium property categories, with the average monthly rent currently standing at £1,236. But given the recent drop in larger property rentals, companies aiming for the upper end of the market might need to modify their approach, but would be interesting to see if this trend continues.

We proudly serve the Medway area, including Gillingham, Rainham, Chatham, and Rochester. Whether you're looking to let, sell, or rent a property, our expert team is here to assist you every step of the way.