Foxtons Lettings Market Report
1
Foxtons - Lettings Market
Contact
EMAIL
sarah.tonkinson@foxtons.co.uk
PHONE
+44 (0)7773 816 247
"The London Build to Rent sector is poised for an incredible 2025, with an ambitious
pipeline of developments set to complete across the city. Affordability factors will come into
play, so operators will need sophisticated pricing strategies. However, as renters
increasingly prioritise qualities beyond cost alone, success will hinge on an extraordinary
resident experience that begins at first contact - you need an agent who understands that.
2024 set an impressive benchmark, but the growing appetite for these communities
suggests even stronger performance ahead. "
~ Sarah Tonkinson, Managing Director of Institutional PRS and Build to Rent
EMAIL
gareth.atkins@foxtons.co.uk
PHONE
+44 (0)7773 816 498
EMAIL
press@foxtons.co.uk
PHONE
+44 (0)20 7766 1230
"Looking at the rental landscape in the year ahead, I expect to see traditional seasonality in
the market, similar to 2024. Whilst we're projecting modest rent growth of 3-5%, the real
story will lie in the resilience of supply levels. This will be tested, primarily, by the
approaching the Renters' Rights Bill, which should come into effect by the second half of
the year. Encouragingly, last year's data did not see drops in available rental supply, even as
some landlords took advantage of an increase in sales to evaluate lower-performing assets
in their portfolios."
~ Gareth Atkins, Managing Director of Lettings
Reflecting on 2024, London's lettings market returned to predictable cycles, with steady growth in
supply across all regions. Many regions saw double-digit growth, while East London led the way
with the largest supply increase. Interestingly, renter behaviour reflected evolving preferences:
demand increased in Central and East London, while West and South London saw more moderate
attention. This indicated renters' decisions are influenced by more than price considerations. Going
forward, affordability will likely continue driving the market, with renters' preferences adapting to
availability and competition.
· In the first half of 2024, applicant demand was 6% behind 2023. In the second half of the
year, demand was 1% ahead, showing strength returning to the market.
· Average rent achieved in 2024 closely mirrored 2023, with a marginal 2% decrease.
· In 2024, new market listings rose by 8%, totalling over 385,000 listings.