38 Tenants Vie for Every London Rental Property in the UK
Published by Magnate Assets on
Sep 21, 2023
In an eye-opening revelation, Foxtons, a prominent London-based agency, has shed light on a particularly competitive segment of the capital's rental market. Astonishingly, this area witnesses an average of 38 eager prospective tenants vying for each rental unit that becomes available.
Rising Demand Fuels Rental Surge
This surge in demand has been a driving force behind an 11 percent increase in rents over the past year. Notably, the uptick in demand coincided with August, as many returned from their summer holidays, embarking on house-hunting quests. Concurrently, students sought accommodation for the upcoming autumn semester.
City-Wide Interest and East London's Stellar Demand
Across the broader spectrum of London, the average number of individuals registering their interest stands at 23 per new rental instruction. However, the spotlight falls on East London, where the competition reaches a remarkable 38 prospective tenants for each property.
Supply vs. Demand
Foxtons' meticulous analysis of Zoopla data reveals that approximately 35,000 new properties have entered the rental market, reflecting an eight percent increase year on year. While this is certainly noteworthy, it still lags behind the surge in demand, creating a vibrant rental landscape.
Gareth Atkins, Managing Director of Lettings at Foxtons, offers his perspective: "August remained in line with our expectations, with gradual and consistent market growth throughout the year. Although demand rose, supply fell, and prices remained consistently high. However, competition this year did not reach the frenetic levels of 2022."
The Shift Towards Professional Management
In response to the evolving market dynamics, more landlords are seeking the assistance of professional management services to safeguard their assets from financial and compliance-related challenges.
Stay tuned to Magnate Assets for further insights into the ever-dynamic property landscape. We're here to keep you informed and empowered in your property investment journey.