🏘️ Nottingham Student HMO Market – Landlord Insight Report (2024

As a landlord in Nottingham, you're probably wondering how the student rental market is shaping up over the next couple of years. With shifting demand, affordability pressures, and a squeeze on supply, there’s a lot to keep an eye on. But don’t worry - we’ve done the homework for you. Here’s a clear, data-driven breakdown of what’s going on in Nottingham’s student HMO sector.👇

📈 HMO Demand Still High — But Slowing Slightly?

Over the past year, demand for student housing in Nottingham has remained strong — but the race to book has cooled slightly. StuRents data shows that by March 2025, only 36% of PBSA rooms were let for 2025/26, down from 46% at the same point the year prior.

This drop doesn’t mean demand is falling — it’s more of a recalibration. Students are still house-hunting early (especially for high-demand areas like Lenton and the Arboretum), but perhaps without the panic-driven urgency we saw in 2022–24.

📉 Early Lettings Cycle & Occupancy Patterns

Signs of strain in Nottingham’s housing market were evident in student behavior. Traditionally, competition for good HMO houses in popular areas like Lenton leads students to begin house-hunting early in the academic year. Over the past 12 months, this cycle continued – but with a twist. In early 2025, the pace of bookings for the 2025/26 academic year actually slowed compared to the previous year. By the end of March 2025, only 36% of student accommodation beds in Nottingham (and similar cities) had been reserved for the next year, down from ~46% at the same point in 2024. This bucked the trend of ever-earlier lettings seen in many undersupplied markets.

The chart below illustrates Nottingham’s PBSA leasing velocity over recent cycles, showing that the 2024/25 cycle (black line) lagged behind 2023/24 (blue line), and bookings for 2025/26 (orange) were slower still – a reflection of slightly eased urgency:

🏡 Why Are Students Slowing Down?

While the slowdown in bookings may seem surprising, it’s mostly confined to PBSA stock, particularly high-end studios. Students are price-sensitive, and HMOs still offer better value. Many second- and third-years continue to hunt early for shared houses in Beeston, Dunkirk, and Lenton — areas close to UoN and NTU.

So, landlords with well-maintained, affordable HMOs are still seeing strong interest — but perhaps a few weeks later than in the past.

💷 Rent Growth Holding Strong

Despite the booking slowdown, rents for HMOs in Nottingham have continued to rise, particularly for houses in desirable locations. On average, Nottingham saw HMO rent increases of 5–7% year-on-year. That’s in line with inflation and reflects the ongoing supply squeeze.

📌 What This Means for Landlords

Don’t panic about the slower PBSA booking rates – this isn’t a demand crash, just a shift in the timing and pricing dynamics.
Focus on value-for-money HMOs in key areas — demand is still strong among returning students.
Consider early marketing campaigns around December–January, but expect the main rush in February–March.

The fundamentals remain strong — Nottingham has one of the UK’s highest proportions of students renting HMOs. And with student numbers set to grow through 2030, the demand outlook for landlords is still bright 🌟

🔎 Looking Ahead

We'll continue to monitor market data and update landlords with monthly snapshots during the next academic cycle. If you’d like a personalised rent review or property marketing strategy based on demand trends — get in touch with our team at Student Housing Nottingham.