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Average Rent Cambridge UK Breakdown by Postcode in 2025

  • Writer: Cambridge Stays
    Cambridge Stays
  • Aug 5, 2025
  • 3 min read

Cambridge has always been a dynamic rental market, and 2025 is proving to be no exception. With ongoing demand from students, a growing tech and biotech sector, and a persistent housing shortage, average rents across the city have continued to climb. But the picture isn’t uniform. Whether you're a landlord with a flat to let in Cambridge or someone exploring short let apartments Cambridge-wide, your postcode matters more than ever.


Overview of the Cambridge Rental Market in 2025

In the first half of 2025, the Cambridge rental market has seen a moderate but steady increase in average rents. The city’s population continues to grow, fuelled by expansions at the Biomedical Campus, international students returning post-pandemic, and professionals relocating for hybrid working roles in the tech sector.

Rental prices have generally risen by 3–5% year-on-year, with short let Cambridge listings seeing even stronger performance due to tourism rebounds and academic conferences returning at full scale. Landlords operating through Cambridge letting agents are reporting faster lets in central areas and greater tenant turnover in outer postcodes.


Postcode Breakdown

CB1 – City Centre & Mill Road CorridorThe average rent for a 1-bedroom apartment in CB1 hovers around £1,500/month, with 2-bed flats averaging £1,900–£2,100. This postcode is a hotspot for young professionals and graduate students due to proximity to central colleges, Addenbrooke’s Hospital, and the railway station. Short let Cambridge options here can easily achieve £130–£180 per night, especially during peak university terms.

CB2 – Station Area & Development ZonesCB2 includes many of the new developments near Cambridge Station and the Botanic Gardens. One-bedroom flats average £1,600/month, while premium units in new buildings command upwards of £2,400 for 2-bedroom units. This area attracts corporate relocations and academics, and is one of the most lucrative for short term let in Cambridge. Cambridge property letting agency professionals often advise investors to focus on this postcode for its appreciation potential.

CB3 – West Cambridge & Family HomesKnown for detached houses and leafy streets, CB3 appeals to families and academics. Rents for 3–4 bedroom homes typically range from £2,200 to £3,500/month. It’s a less transient market, but high-quality, long-term tenants can be found. Properties to let Cambridge in CB3 perform well with furnished ASTs.

CB4 – Arbury & ChestertonThis postcode offers better value. HMOs for students and young professionals dominate, with 4-bedroom HMO properties bringing in £2,200–£2,800/month depending on licensing and amenities. Flats average £1,200–£1,400/month. Letting agents Cambridge often suggest CB4 for landlords seeking lower entry costs and consistent student demand.

CB5 – Riverside & AbbeyCB5 is gaining popularity due to riverside walks, independent cafes, and easier access to green spaces. Average rents for 1-bedroom flats sit around £1,400, while 2-bedroom units approach £1,800/month. It’s an up-and-coming area for professionals priced out of CB1 and CB2. Demand for short let apartments Cambridge is also rising here, particularly in summer.


Short-Let vs Long-Term Rent Comparison

Short let Cambridge listings, particularly on Airbnb and Booking.com, can outperform traditional rents when managed effectively. A 1-bed flat in CB2 may yield £3,000/month as a short let, compared to £1,600 as an AST. However, landlords must factor in void periods, cleaning, compliance, and management fees.

In postcodes like CB1 and CB5, hybrid models—AST during winter, short let during summer—are gaining traction. Cambridge property lettings experts suggest landlords evaluate occupancy rates and seasonality before committing to a single strategy.


What This Means for Landlords

With rents climbing, now is the time to review your current rental strategy. In CB2 or CB1, consider investing in high-spec flats with short let potential. In CB4, focus on multi-lets and HMOs with solid compliance. If you’re seeing consistent tenancy demand in CB3 or CB5, a long-term AST approach may yield the most stable return.

Landlords should also assess when it makes sense to raise rents—especially if existing contracts are below market value. But it must be done strategically, with attention to tenant retention and legal limits. Properties to let near Cambridge continue to be in high demand, but quality presentation and professional management still make the biggest difference.


Local Insight = Higher Yield

Cambridge’s postcode map offers more than just geographical variation—it offers strategic opportunity. Whether you manage apartments to let Cambridge-wide or own commercial property to let in Cambridge, knowing your local data is the key to maximising returns.

Book a free rental income analysis with Cambridge Stays to understand your property's earning potential in 2025. With insights tailored to your postcode and property type, we help you make smarter, more profitable decisions.

 
 
 

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