A fall in house prices has been fuelled by more landlords purchasing cheaper buy-to-let homes further north, where purchase costs are lower and yields higher.

A fall in house prices has been fuelled by more landlords purchasing cheaper buy-to-let homes further north, where purchase costs are lower and yields higher.

The average price of a home bought by a landlord in the first half of 2018 fell to £174,580, according to new data from Countrywide’s luxury brand agency Hamptons International.

This is four per cent less than last year (£181,260) and seven per cent less than in 2016.

As a result, the average landlord based in London spends a quarter less on a buy-to-let property than they did in 2016.

The average rent on a new let property rose to £980 pcm in September, up 1.6 per cent year-on-year according to Hamptons.

Rents grew in every region across Great Britain for the first time since January, and in London rents rose 0.1 per cent year-on-year, the first annual rise in four months.

Wales saw the strongest rental growth with average rents up 3.9 per cent year-on-year, followed by the East (2.8 per cent) and the Midlands (2.4 per cent).