Cardiff Rental Market Sees Strong Growth in 2025

Cardiff Rental Market Sees Strong Growth in 2025

Over the past five years, Cardiff’s rental market has experienced a notable surge, with average rents climbing significantly faster than in many other parts of Wales and the UK. The latest data from the Office for National Statistics (ONS) highlights this trend, revealing that in May 2025, the average private rent in Cardiff reached £1,119 — a 9.9% increase compared to the same month in 2024.

Cardiff Rents Outpace National Averages

This sharp rise outpaces the broader rental growth seen across Wales, where the average rent rose by 8.5%, reaching £799 in May 2025. Across the UK as a whole, the average rent increased by 7.1% to £1,339.

Cardiff’s rental growth stands out not only for its scale but also for its consistency over the past few years. The city has become an increasingly desirable location for both tenants and investors, driven by its thriving economy, strong university presence, and ongoing regeneration projects. This growing demand, coupled with limited supply, has placed upward pressure on rental prices.

Year-on-Year Comparison: A Closer Look

• Cardiff (May 2024 to May 2025):
  £1,019 → £1,119 (+9.9%)
• Wales (May 2024 to May 2025):
  £737 → £799 (+8.5%)
• UK (May 2024 to May 2025):
  £1,250 → £1,339 (+7.1%)

What This Means for Tenants and Investors

For tenants, particularly young professionals, students, and low-income households, the rising costs may pose challenges when it comes to affordability and choice. Planning ahead, budgeting effectively, and seeking advice from local letting agents could help renters navigate this competitive market.

For landlords and investors, Cardiff remains a strong prospect. With demand continuing to outstrip supply in many areas, rental yields are healthy and capital growth prospects remain positive. Investors looking to expand their portfolios or enter the market should consider Cardiff’s growing appeal and strong performance relative to national trends.

Thinking of Renting or Investing in Cardiff?

Whether you're searching for your next rental home or exploring opportunities to invest in Cardiff’s thriving property market, our local team is here to help.

📞 Get in touch today to discuss your goals, understand your options, and make confident decisions in a fast-moving market. Call us on 02920090690 or click below to arrange a rental valuation.