As the 2025 rental market settles after several years of sharp rent rises, both landlords and tenants in Leeds are looking ahead to the 2026–2027 letting cycle. The Leeds rental market is still competitive, but there are early signs of stabilising rents, more choice in certain areas, and a clearer picture on upcoming EPC rules 2025 and beyond.
For students and young professionals, that means thinking ahead, understanding what is happening in the city, and choosing homes that stay affordable to run. For landlords, it means planning your investment strategy and getting ahead of future landlord EPC requirements 2025 and the likely shift to EPC C by 2030.
The Leeds rental market in 2025: where we are now
The 2025 rental market in Leeds is still strong, but the pace of rent growth has slowed compared to 2022–2023. Local reports suggest average monthly rents are just under £1,000, below the UK average, with modest year-on-year growth.
Across the city:
- Demand from students and young professionals remains high, especially in Hyde Park, Headingley, Woodhouse and the city centre.
- Average rents in 2025 for new lets across the UK are rising at around 2–3% per year – the slowest rate in several years – and Leeds broadly follows this more stable pattern.
- Stock levels have improved slightly, with more listings coming to market, but good-quality homes in popular areas still attract multiple enquiries.
In short, the Leeds rental market is still busy, but the balance between supply and demand is a little healthier than in previous years.
What’s driving demand?
Leeds continues to be one of the UK’s key rental cities because of three main factors:
- Large student population – The city’s universities and colleges bring in tens of thousands of students each year, driving strong demand for shared houses and apartments close to campus and transport routes. High-yield areas such as Hyde Park and Headingley remain especially popular for student lets.
- Young professional growth – Graduates often stay in Leeds thanks to strong employment in finance, tech, healthcare and creative industries. Many look for modern one- and two-bed apartments in the city centre, Holbeck, Kirkstall and surrounding neighbourhoods.
- Investment performance – Yields of 5–8% are still achievable in parts of the city, especially in LS6 and other student-heavy postcodes, keeping landlords interested despite higher borrowing costs.
Together, these drivers suggest that demand will remain resilient as we move towards the 2026–2027 letting cycle.
What to expect in the 2026–2027 letting cycle
While nobody can predict the future with certainty, current data on the 2025 rental market gives some clear pointers for 2026–2027:
- Rent growth is likely to stay modest. After several years of sharp increases, rental growth has cooled and is now closer to 2–3% a year nationwide. Analysts expect this more sustainable pattern to continue, assuming mortgage rates and inflation remain stable.
- Competition will stay strongest in student hotspots. Even with more stock coming to market, student-heavy areas like Hyde Park, Woodhouse and Headingley are still the slowest to see properties let, because tenants start looking early and hold out for the right place.
- Quality will matter more than ever. With slightly more choice available, tenants are paying closer attention to energy efficiency, condition and layout, not just rent level. Well-presented homes with good EPC ratings are attracting quicker lets and stronger enquiry levels.
For landlords, the message is clear: keep standards high and be realistic on rent. For students and young professionals, starting your search early and knowing your key areas will still be essential, but you may have a little more time and choice than in the peak years of rapid rent inflation.
EPC rules 2025: what landlords need to know
There has been a lot of confusion around EPC rules 2025, after earlier plans to require all rental properties to reach EPC C by 2025 were dropped. Here is where things stand now:
- The previous deadline for EPC C in 2025 was scrapped in 2023, so there is no requirement for landlords to reach EPC C in 2025.
- At the moment, the legal minimum EPC rating for an EPC rental property 2025 in England and Wales remains E.
- However, the government ran a 2025 consultation on raising standards, with proposals that most rental homes should reach EPC C by 2030, with earlier deadlines for new tenancies.
So, while landlords’ EPC 2025 obligations are unchanged for now, it is sensible to treat this as a transition period rather than a reason to delay improvements. Current guidance suggests that:
- Landlord EPC requirements 2025 are likely to tighten in stages towards 2030.
- It is usually cheaper to plan upgrades gradually – for example, adding loft insulation, efficient boilers and double glazing – rather than waiting for a last-minute deadline.
If you are a landlord wondering “What does landlord EPC 2025 really
mean for me?”, the realistic answer is:
keep your property at EPC E or above for now, but start planning a path to EPC
C during this decade.
What this means for students and young professionals
For tenants, EPC may seem technical, but it has a real impact on your day-to-day costs:
- Homes with stronger EPC ratings are usually warmer and cheaper to heat.
- With energy costs and the cost of living still high, choosing a more efficient property can save hundreds of pounds a year on bills.
When you view properties in the 2026–2027 season, it is worth asking:
- What is the EPC rating?
- Have any recent upgrades been made, such as new windows or insulation?
- How much do current tenants spend on gas and electricity in winter?
Looking ahead – and how Parklane Properties can help
The Leeds rental market in 2025 is calmer than in previous years, but demand from students and young professionals remains strong. The city still offers attractive yields for landlords, and with likely future changes to EPC rules, now is the time to plan sensibly for upgrades rather than rushing later.
At Parklane Properties, we’re already open for lets for the 2026–2027 season, with 1 to 9 bed properties across all the key student and professional hotspots in Leeds – from Hyde Park and Headingley to the city centre and beyond – at some of the best prices for students in Leeds.
Whether you are a landlord looking to stay ahead of upcoming EPC rental property 2025 changes or a tenant planning where to live next year, our team can talk you through the market and help you move smart in the 2026–2027 letting cycle.
















































