Rental Demand on the Rise in London
As we welcome the arrival of spring, the London rental market is showing signs of improvement. According to recent data from Foxtons, tenant demand has increased by 12% in April compared to March, marking a significant upturn in the lettings market.
“The first quarter of 2024 saw a significant influx of new properties compared with 2023 and as such, less renters per property – or in broad terms, competition.” - Gareth Atkins, Managing Director of Lettings at Foxtons
The seasonal upturn in the lettings market has contributed to higher demand from tenants, with renters seizing the opportunity to make a move. The average rental price in London has increased by 3% in April, with the average price currently sitting at £555.
Rental prices in London are on the rise
New market listings have increased by 11% since the beginning of 2024, with the number of new listings in April matching the same period last year. Foxtons expects prices to continue to track closely over the next quarter.
Regional Variations
South and West London have shown the highest number of new renters per new instruction, with an average of 19 and 18 respectively. Applicant budgets remain higher in 2024 than any other year, with a 3% increase year-to-date compared to 2023.
“The spring market has definitely sprung into action, and registrations for Build to Rent are coming in thick and fast.” - Foxtons’ Managing Director of Institutional Private Rented Sector and Build to Rent
West London has the lowest average applicant budget at £481, a 4% year-on-year increase from 2023. Central London continues to command the highest applicant budgets across all of London, averaging £580.
Rental demand in London is on the rise
As the lettings market continues to evolve, it’s clear that renters are taking advantage of the current conditions. With prices expected to track closely over the next quarter, it’s an exciting time for those looking to make a move in the London rental market.
The London rental market is showing signs of improvement
In conclusion, the London rental market is showing signs of improvement, with tenant demand on the rise and prices tracking closely. As we head into the summer months, it will be interesting to see how the market continues to evolve.
Rental prices in London are on the rise
