Rental growth accelerates across Prime London market
Summary
Prime London lettings saw the strongest annual rental growth in 18 months in July, with average rents up 5.3% and new instructions and lets agreed both rising modestly. The article notes that rental growth has accelerated alongside the May start date of the Renters’ Rights Act, although the evidence presented is observational rather than conclusive.
Why it matters
Surveyors involved in valuation, investment advice or rental market reporting in London should note the shift in rental dynamics, particularly in prime central London. Changes in supply, exempt stock and legislation can affect rental assumptions, comparables and market commentary.
Key points
- Average rental values in prime London rose 5.3% year on year in July.
- Lets agreed increased 1.5% and new instructions rose 3.6% annually.
- Available rental stock was 6.8% higher than a year earlier.
- Prime central London moved from a 3.7% annual fall in February to a 5.7% rise in July.
- The article suggests the Renters’ Rights Act may be contributing to tighter supply and faster rent growth.
Organisations:
LonRes
Regulations:
Renters’ Rights Act
Locations:
Prime London, Prime central London, London
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