The rental affordability index analyses first party data from renters to find out how much income tenants are spending on rent.
The index consists of data from over 60,000 individuals that use Canopy services, and it enables us to get a comprehensive view on the current affordability status of the UK private rental market.
The index includes average rent prices, calculated by the personal share paid by each renter instead of the overall average rental price of the property.
This data is combined with the average income of those same renters to provide an accurate ‘rent to income ratio’ of each tenant.
Rent to income ratio is the average net income divided by the average annual rent, creating a percentage that shows how much of their take-home salary tenants are spending on rent. Data is gathered from our Rent Passport and Canopy Grow services and tools that are designed to make life easier for renters and landlord alike, improving the tenant referencing process and the credit score of renters.
The data is split by postcode to enable us to dig deeper into rental affordability across the nation through comparison of regions and cities.
Our intention is that the index will be refreshed quarterly, with comparisons drawn from each quarter’s data, showing key insights and trends on rental affordability in the UK.
Welcome to canopy's rental affordability index
Every quarter, Canopy reveals detailed figures on rental affordability in the UK based on the rent and income of private renters.
Using our own in-depth data from our customers, we can provide detailed real-time insight into the current rental market. Through our bespoke index we can monitor the latest rental affordability trends and challenges renters are facing on a national and regional level.
QUARTERLY DATA
The data is updated every quarter, the findings for each quarter can be found here.
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