As the capital has got steadily busier, with schools and universities going back and office workers trialling a ‘2 days a week’ system, the demand for rental properties has rocketed. There has been an almost 60% increase in demand for London rental properties in the third quarter of this year compared to the same period last year, according to Vesper Group data.
We’re not shocked, our own data has been telling, as an increasing number of tenants are being referenced through the Homeppl platform.
But, the increase in demand has also resulted in prices increasing across London, the price of renting is up 10% compared to the same period last year. Yet it is still down compared to the 2019 average. This makes it harder for individuals to rent, needing a guarantor to back them up in many instances.
Some have commented that the rental market is now even busier than the sales market. This has been shown through the recent news that lettings now account for 75% of agency Winkworth’s revenue.
Our CEO and Founder Alexander Siedes explains: “Renting in the capital was predicted to rise as the country opens up again and we return to the ‘new normal’. However, we did not expect such a demand at this time of year for rentals in London. Usually the sector is based on seasonality, but this data shows people are no longer moving at common times of the year - say the Summer - but moving due to the current climate of relaxed Covid rules and increased socialisation.”