Rent prices stable from July to August
The London lettings market continues to thrive, with strong demand and an influx of new property listings, new data from Foxtons has revealed.
Applicant demand in August 2024 maintained a high level of around 40,000, matching the record surge seen in July, with Central London outperforming last year’s figures by 15%. While overall demand in London is down 4% year-to-date compared to 2023, certain areas — including Central, East, and North London — have shown higher demand in 2024.
Also, the number of new properties entering the market in 2024 has surpassed the same period in 2023, pointing to positive trends for both supply and demand. Renters are now spending nearly 100% of their budgets to secure tenancies, underscoring the competitiveness of the summer lettings market.
Foxtons, in its latest Lettings Market Index, noted a 23% increase in new renters per instruction in August compared to July, with Bromley recording the highest demand. Central London remains the only area to show year-on-year growth to date, with an 11% increase in demand.
Applicant budgets have also risen, with a 2% year-on-year increase. One-bedroom flats have seen the largest growth, with average rents now standing at £472 per month, a 5% rise since the start of the year.
New instructions were up 7% year-on-year in August, although they fell 13% compared to July. Westminster and Tower Hamlets continued to account for over 20% of all new listings in London.
Rent prices remained stable from July to August, with no significant changes since April 2024. Year-to-date, rents are 2% lower than in the same period in 2023. South London rents have held steady year-on-year, while other regions have experienced slight decreases.
“July and August were the busiest months this year, as you’d expect, with August seeing a remarkable 23% month-on-month increase in renters per new instruction,” said Gareth Atkins (pictured), managing director of lettings at Foxtons.
“As we approach the fourth quarter, which is usually a quieter period, landlords should make the most of this month’s market activity to secure quality tenants. This month goes remarkably fast, and strategic marketing now could make a significant difference over the next year.”
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