Rents Rising Faster than Wages, Squeezing Renters as Pandemic Disrupts Housing Market

• Rental costs expected to rise 13% over next 3 years, outpacing wage growth • Pandemic disrupted rental market; rents fell but now recovering to pre-pandemic levels • Shift towards renting driven by inability to save for deposits or afford mortgages • 30-49 age group now makes up nearly 30% of renters, up from 11% in mid-1990s • Rent increases should slow as pandemic recovery and high wage growth ease