We know it is often difficult to stay in touch with everything that is happening in the London rental market, but that is why David Harris & Co is here to help. We know the Finchley rental market very well, but we also stay in touch with what is happening across the capital.
If you are looking for guidance, support and up-to-date information, get in touch, and we will be more than happy to assist you.
Demand for rental property in London is growing
Recent analysis indicates demand for rental property in the capital is on the rise:
· There has been a 19% increase in the demand for rental property across London
· The supply of rental property in London has fallen by 42% compared to July of 2020
· There has been a drop of 63% in rent reductions compared to the July 2020 figures
Rent rises have happened in some areas of London
Areas where there have been rent increases in London include:
· Hyde Park, with a rise of 31%
· St John’s Wood, which has experienced an increase of 27%
· Fulham, where there has been an increase of 21%
There has been a fall in tenant withdrawals
· 22% fewer tenants withdrew from their planned rental agreement when comparing July 2021 to July 2020
· There was a rise of 16% for tenants moving into their new home for this time-period
Richard Davies, a prominent figure in the UK lettings sector, said; “Whilst there were deals to be had during the height of the pandemic and the first quarter of this year, tenants are now entering a much more competitive market. Since the easing of lockdown restrictions, we have been witnessing an evident surge in tenant enquiries across London. This has resulted in the number of available properties dropping to pre-pandemic levels, which will inevitably lead to an increase in rents. Tenants who are eager to still find more property for their money, may wish to consider the locations of Canary Wharf, Kentish Town, Bermondsey and Pimlico where rents are still comparably low.”
A similar study reinforces the mood that things are on the up in the London housing market:
· In January of 2020, the average rent in the capital was £1,627 per month
· By December of 2020, the average rent in London dropped to £1,556 per month
· In July 2021, London rental values rose by 2.4% in the previous month and are 5.7% higher than the December 2020 figures
· In the last quarter of 2019, there were 47,000 rental properties were available in London
· In the third quarter of 2020, the supply of rental properties rose to more than 100,000
· More recently, the supply of rental property in the capital has dropped to 64,206
The student rental market is returning too
Another matter which is likely to offer some positive news for Finchley landlords is the student market is returning too. Not every landlord is interested in this style of letting opportunity, but it is a consistent market. Of course, we are more than happy to assist you if required, so please get in touch if you would like to learn more about reaching this market.
Analysis of 5,000 student lets processed between January 2021 and July 2021 provided the following highlights:
· The West Midlands, the South West, the South East, the North West, the North East and Greater London experienced their higher average rents for 2021 to date for tenancies beginning in July of 2021
· For some of these regions, average rates have come close to doubling in recent weeks compared to the lowest rate of 2021 so far
If you have any questions about the housing market, or you need assistance, please contact David Harris & Co today. Call us on 0208 346 9122.
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