Lettings Report - Lettings Market Report August 2023

Following the usual trend, August has been the busiest month of the year so far. However,

compared to 2022's record-level demand and highly limited supply, competition remained more

in line with a typical year in lettings. While stock increased year-on-year, the long-standing

imbalance between supply and demand caused average rental prices to remain high. We expect

prices to remain consistent as the year goes on.

•Average rent prices remained high for a third month in a row. Rent achieved so far in 2023 is

11% higher than in 2022.

•There were over 35,000 new instructions in London this August, a decrease of 7% from July.

However, this was 8% up compared to 2022 year to date

•Applicant Demand increased 6% from July, however it decreased 9% year on year.

Foxtons Lettings Market Report

Foxtons - Lettings Market

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+44 (0)20 8636 4605

"August remained in line with our expectations and there was gradual, steady market

growth through the year we've been tracking through our market reports. Compared to

July, demand rose, supply fell and prices remained consistently high. However, competition

was not nearly as frenetic as it was in 2022 and as such, we have not seen further

significant price increases. Across our office network, we continue to see more landlords

requesting our management service to protect their asset from a financial and compliance

perspective."

~ Gareth Atkins, Managing Director of Lettings

"August had, as it always does, the largest volume of registrations of any month this year.

Prices remained immovably high, and year to date, London is seeing its highest average

rent prices in the last three years. On the other hand, with London demonstrating more

robust stock levels than in 2022, we can clearly see what "normal" will look like in the

market to come. It will be on landlords, developers and their agents to differentiate their

listings, utilise London's renter demand and attract good tenants to their property, as we

head into autumn."

~ Sarah Tonkinson, Managing Director of Institutional PRS and Built to Rent

PHONE

+44 (0)7773 816 498

PHONE

+44 (0)20 7766 1230