The Office of National Statistics’ recently revised methodology for calculating rental price growth shows that increases have been even stronger than previously thought. In the capital, year-on-year rental growth hit 10% in October 2023, compared with a previous estimate of 6.8%.
The Office of National Statistics’ recently revised methodology for calculating rental price growth shows that increases have been even stronger than previously thought. In the capital, year-on-year rental growth hit 10% in October 2023, compared with a previous estimate of 6.8%.
"It is still taking an average of just 13 days for a London rental property to be snapped up"
Meanwhile, recently released Rightmove data for the three months to September showed London rental prices climbing by over 12% to £2,627 per month, as an average of 25 people competed for each property. Zoopla reported last week that despite the past three years of record-breaking rental growth, it is still taking an average of just 13 days between a London rental property coming on the market and it being snapped up by eager tenants.
November marked the fifth consecutive monthly UK house price rise and the biggest leap so far this year, according to Halifax. The mortgage lender said property values were up 1.3% compared with October.
We expect positive price growth this year – in a climate of falling mortgage rates, improving affordability and the release of some pent-up demand. Rightmove reported that first-time buyer demand in the capital in September 2024 was 28% ahead of 2023, moving up to 31% after the autumn budget.
International property company JLL has said it expects Greater London house prices to increase by 22% over the next 5-years, beating nationwide UK growth predictions of 20% over the same time span. The firm added that within those headline figures, it expected lower value markets to see stronger growth towards the beginning of the period, with more expensive markets like London and the South East outperforming in the second half.