Understanding the Housing Market: Market Conditions

Leeds continues to attract many people from all over the UK, Europe and the world and is the major employment centre in the region. Around 442,400 people work in the Leeds and the city is expected to provide 45% of employment growth in the region over the next 10 years. The city is the home for the largest teaching hospital in Europe, St James, in addition to the General Infirmary. Together these two establishments employ many tens of thousands of people. The City of Leeds continues to develop and thrive as one of the UK's largest centres for financial and business services with over 30 national and international banks based in the city. In addition, the University of Leeds attracts more student applications than any other university in the country, making Leeds the number one student destination in the UK.

As a result of this there is an undiminishing demand for good quality, reasonably priced accommodation in and around the city.

The demand for City centre living is currently expanding, resulting in many new developments and the conversion of vacant space above shops, restaurants and offices, including waterfront ‘loft’ apartments, upmarket penthouse apartments and smaller flats for those on a more modest budget. However, the demand for accommodation on the outskirts of the city is also vibrant.

Rental costs for similar types of property can vary dramatically across different areas of the city. The table below gives an indication of the average rents throughout the area.

Leeds average rents in 2007-2008 for a room in different types of properties are as follows:

The average rental figures, however, are becoming increasingly unhelpful as a guide to certain sectors of the accommodation market. There is an increase in supply of new or refurbished better quality properties which are commanding significantly higher rent levels and there is increasing evidence that more young people are willing and able to pay for better quality accommodation.

The rental spreads between maximum and minimum rents have widened. Current average rent levels are displayed on the Unipol Netlet front page. You can also conduct a quick search of any particular street to see how your rent level compares with others available in the market.

Visit our where to live page to find out information on the different areas in Leeds.