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Home NewsRental market update London Rental Market – November 2014

London Rental Market – November 2014

The winter is fast approaching and as the clocks change, the London rental market is going from strength to strength. Rental demand is as high as ever, with professional tenants looking for new homes before the seasonal slow-down.

Across our 11 London branches, we’ve seen an exceptionally high number of rental enquiries across the Capital with our Canary Wharf and Greenwich branches topping the leader board with enquiries up 14.3% on October 2013 largely due to demand for new build schemes such as Kidbrooke Village and New Festival Quay.

Central London

1 bed flat to rent in Knightsbridge, SW3 £495 per week
1 bed flat to rent in Knightsbridge, SW3
£495 per week

We’ve seen some excellent results in prime Central London; the third quarter of the year being the best ever for our Brompton Road Knightsbridge lettings branch. We are receiving a lot of interest from inbound students in addition to professional tenants, relocating for job opportunities and looking for a home in the SW3 and SW7 postcodes.

As the economic climate continues to improve, this has a positive effect on rentals in Knightsbridge, Chelsea and Kensington. There is strong demand for good-quality studios, one and two bedroom apartments in these locations and we predict this will continue into 2015.

West London

Our Ealing office situated within the new Dickens Yard property development has seen a fantastic start to quarter four. The new Skyline phase of the development has recently been released and these new-build apartments have been let within one week of instruction.

2 bed flat to rent in Ealing, W5 £575 per week
2 bed flat to rent in Ealing, W5
£575 per week

Demand is as high as ever in Ealing, with tenants looking for both homes in new developments like Dickens Yard and period properties, the latter of which are always in in short supply. This has meant that tenants are often on a waiting list even before properties become available and this has an upside for landlords as we move towards the quieter period of the year.

We have also seen a steady increase in demand for one bedroom properties from professional singles and couples, as well as overseas students, who are looking to move into this vibrant, changing area. Hopeful applicants have been moving fast to put an offer in and deposit down to ensure they can secure their properties.

City, Canary Wharf, Greenwich and East London

Overall, we have had a great year of lettings in the City, Canary Wharf and Greenwich areas with demand being greater than availability.

With so many good new developments on offer on the eastern and southern fringes of the City, more local professionals are seeking rental accommodation which has widened the tenant demographic from corporate relocation and wealthy student tenants. Number one on the applicants’ wish-list is affordability and a 15-20 minute commute which has out-numbered demand for some of the better located developments in the heart of Canary Wharf for instance.

North & North West London

5 bed house to rent in Hampstead, NW3 £3,500 per week
5 bed house to rent in Hampstead, NW3
£3,500 per week

We are already seeing increased rental demand for homes in prime North West London areas such as Hampstead and St John’s Wood. Tenants are already looking to move now, actively ensuring they secure their new home before Christmas. We witnessed two fantastic deals last month with tenants signing three-year contracts for houses in Hampstead, possibly reflecting the stable job market at corporate level once again.

Relocation agents tend to keep activity brisk, these instructions being perfect examples and especially encouraging news for landlords. Professional tenants are willing to sign longer leases upfront, allowing landlords to ensure their properties are occupied for longer periods of time, minimising void periods.

Smaller one and two bedroom properties are extremely popular in Hampstead and Highgate and we never have enough landlord instructions to satisfy the constant demand for smaller homes in these beautiful villages.

Our Beaufort Park office also had a very good month with business up 8.1% on October 2013. With more buildings completing, there is plentiful stock to keep our on-site office there very busy.

If you are looking to rent a property in London, please contact our friendly lettings negotiators who have excellent local knowledge and will help you find your ideal home.


About the Author

Established in 1958, Benham and Reeves is one of London’s oldest, independently owned property lettings and sales agents.  With specialism in residential sales, corporate lettings and property management in prime areas of London, the company operates from 21 prominently located branches and 14 international offices.