Scilly 'has lowest rent as proportion of house prices'
The Isles of Scilly has one of the lowest rent levels as a proportion of house prices, according to new analysis.
The average annual rent on Scilly is 3.01% of the average house price of around £300,000, placing it eighth among areas of the UK.
Property management firm Howsy compared average annual rent to the average house price in each area for an alternative take on value for money.
The firm’s chief executive Calum Brannan said: “This research highlights that there are some very nice parts of the UK property market that offer a proportionally low rental hurdle compared to the cost of buying, and while top line affordability of rental costs is still required, they enable you to enjoy the same lifestyle at a fraction of the cost.”
However, the Council’s Lead Member for Place Steve Sims said the news is not as positive as it may appear.
“It’s so difficult to rent on the islands because affordable rents - and I use the term loosely - are so out of proportion the the value of the home it makes little economic sense to rent," he said.
"This is reflected throughout this research - disproportionately high house prices reflected in disproportionately low relative rents that are actually very high in absolute terms.
“We have Cornish wages and London house prices, which is not a good combination. This is why the islands are so desperately in need of lots more affordable social housing.”
The best spots for disproportionally low rents compared to the wider market are Kensington & Chelsea and the Suffolk Coast, with Scilly eighth on the list.