Why Exeter’s rental market is one to watch right now
Exeter is one of the South West’s most resilient rental markets. With a thriving university, a growing professional population, and limited housing stock, demand from tenants has consistently outpaced supply – and that gap isn’t closing any time soon.
Whether you own a single buy-to-let flat near the Quayside or manage a portfolio of HMOs close to Streatham Campus, 2026 brings both opportunity and change. Rents are rising, legislation has shifted, and tenants are staying longer when the conditions are right.
This guide cuts through the noise and gives you the practical, up-to-date information you need to protect your investment and keep your property working hard.
What rents look like across Exeter right now
Rental values across Exeter have climbed over the past two years. According to ONS data, the average private rent in Exeter reached £1,317 per calendar month in 2026 – up 1.5% year-on-year.
But averages only tell part of the story. Rents vary considerably depending on location and property type.
EX1 and the city center
The EX1 postcode – covering parts of Exeter city center, including Southernhay, as well as areas east of the centre – is popular with professionals looking for convenient access to central Exeter. One- and two-bedroom flats in Southernhay are particularly popular with young professionals working in Exeter’s financial and legal sectors, many of whom are drawn by the area’s Georgian architecture, independent restaurants, and proximity to the main business district.
Expect average monthly rents for a two-bedroom flat in this area to sit between £1,200 and £1,600, depending on finish and floor.
The university quarter and Magdalen Road
Areas popular with students near the University of Exeter include St James and neighbourhoods around the Streatham Campus, while Heavitree Road and Magdalen Road are better associated with the university’s St Luke’s Campus.
Yields can be strong, particularly for larger shared houses. However, landlords in this pocket of the city need to be especially well-prepared for void periods between tenancies and the additional wear-and-tear that comes with student accommodation.
Exwick and Wonford
These commuter-friendly neighborhoods offer more affordable entry points for landlords and attract a steady stream of working tenants and families. Rents for a three-bedroom house in Exwick or Wonford typically range from £1,100 to £1,350 per month – solid figures that reflect consistent demand from tenants who want good transport links without city-centre prices.
The Renters’ Rights Act: What landlords in Exeter need to know
The Renters’ Rights Act is one of the most significant pieces of landlord legislation in a generation. The key tenancy reforms came into force on 1 May 2026 and have fundamentally changed how tenancies work in England.
Here’s what the Act means for you in practical terms.
The end of Section 21 ‘no-fault’ evictions
Section 21 notices – which previously allowed landlords to end an assured shorthold tenancy without giving a reason – have been abolished. Landlords now need to rely on the updated statutory possession grounds to regain possession.
The new framework includes routes to possession for landlords who need to sell their property or move themselves or qualifying family members into it. But you’ll need solid documentation and a clear process to rely on the relevant grounds effectively.
Assured shorthold tenancies replaced by periodic tenancies
Existing assured shorthold tenancies have moved to the new assured periodic tenancy system, while new private tenancies are also assured periodic tenancies.
Tenants can generally give two months’ notice to leave, while landlords must rely on one of the relevant statutory grounds when seeking possession.
This makes it even more important to attract the right tenant from the outset – someone who wants to stay long-term and treats your property with care.
Rent increases
Under the Act, landlords can generally increase rent once per year using the prescribed process, and tenants have stronger rights to challenge increases they consider above the market rate at the First-tier Tribunal.
Pricing your property correctly at the start of a tenancy – and keeping it maintained to support its rental value – becomes more important than ever.
EPC requirements: Preparing for future standards
The government has confirmed plans for higher minimum energy efficiency standards for privately rented homes in England and Wales. All tenancies within scope will need to meet the new standard by 1 October 2030, unless a valid exemption applies. The new standard will use reformed EPC metrics rather than relying solely on the current EPC rating system, and the legislative changes remain subject to parliamentary approval.
If your property currently sits at D or below, it may be worth reviewing its energy efficiency now rather than waiting for future requirements to be finalised.
Common improvements that can lift an EPC rating include:
• Upgrading to a modern, efficient heating system
• Installing loft or cavity wall insulation
• Fitting double or triple glazing
• Switching to LED lighting throughout
• Adding suitable heating controls or other energy-efficiency measures
Many older properties in Exeter – particularly Victorian terraces in areas like St Thomas and Heavitree – may need meaningful investment to reach a higher EPC rating. Starting early gives you more time to understand the work required, spread the cost, and avoid rushed improvements if standards change.
Hunters Exeter can connect you with trusted local contractors and help you understand what improvements could have the biggest impact on your EPC rating and your rental value.
How to attract long-term tenants in Exeter’s competitive market
With strong rental demand across the city, it might seem like any property will let quickly. But attracting the right tenant – one who stays, pays on time, and looks after your home – takes more than just listing it online.
Present the property well.
Tenants in Exeter’s professional market, particularly in areas like the Quayside and Southernhay, have high expectations. A clean, well-presented property with quality fixtures, reliable appliances, and good broadband infrastructure will always outperform one that’s been left to age.
Price it right from the start.
Overpricing can lead to void periods. Underpricing costs you income. A local lettings agent with real-time data on the Exeter market – not just national averages – can help you hit the right number from day one.
Be responsive.
Tenants who feel valued may be more likely to stay longer. Responding quickly to maintenance requests and communicating clearly throughout the tenancy helps build the kind of relationship that can reduce turnover and protect your investment.
Work with a local expert.
Hunters Exeter has deep roots in the local lettings market. The team understands the difference between letting a student HMO near Magdalen Road and managing a professional let in Southernhay – and that local knowledge makes a real difference to your outcomes.
Reducing void periods in Exeter
Void periods are one of the biggest drains on rental income. Even a single empty month on a £1,300 per month property costs you £1,300 in lost rent – before you factor in bills and maintenance.
The best way to reduce voids is to start remarketing early, keep the property in excellent condition, and build a strong relationship with your existing tenant so you know well in advance if they’re planning to leave.
Hunters Exeter proactively manages this process for landlords across the city, helping to minimise gaps between tenancies and keep your rental income consistent.
Making the most of your Exeter rental in 2026
The Exeter lettings market rewards landlords who are prepared. Rents remain strong, and the city’s mix of students, young professionals, and families means there’s a tenant profile to suit almost every type of property.
But the legislative landscape has changed significantly. The Renters’ Rights Act, developing energy-efficiency requirements, and the move to assured periodic tenancies all require landlords to be more informed and more proactive than ever before.
The landlords who thrive in 2026 won’t be the ones who react – they’ll be the ones who plan ahead, invest in their properties, and work with the right people.
Hunters Exeter is here to help you do exactly that. Whether you’re looking to understand what your property could achieve in today’s market, need guidance on compliance, or want a fully managed lettings service that takes the pressure off, the team is ready to support you.
Book a free valuation today and find out what your Exeter rental property is really worth in 2026’s market.
Or get in touch with the Hunters Exeter branch directly to talk through your lettings needs – the team is ready to help you get the most from your investment.
Here to get you there.
