The prevailing narrative is that landlords are leaving the market, but the real story in London is far more interesting. Our analysis of the October market shows that, rather than packing up shop, landlords listed properties at the highest rate we've seen since 2019.
With news that interest rates are forecast to fall and the rise in Capital Gains Tax will not affect residential property portfolios, landlords are spotting opportunities in one of the world's most dynamic rental markets.
*Insight on new listings is Foxtons analysis of Zoopla property data in the October 2024 Lettings Market Report
"The surprising increase in new listings could be attributed to several factors, including strategic market re-entry by landlords adjusting to stabilising interest rates and newly completed residential developments...”
See the full story in the Lettings Market Report - October 2024
Key numbers from the report
• October 2024 recorded the highest level of new stock entering the market over the past four years, with an 8% increase compared to last year.
• October’s demand is a marginal 3% lower than last October and decreased 32% from September, as expected during this time of year.
• Following a yearly high of £593 this September, there was a slight cooling in October as rents have reduced by 4%.
▶ Watch: what's in store for London landlords
See Foxtons Managing Director - Lettings, Gareth Atkins' analysis of what landlords can expect from the winter market:
Competitive market? Put us through our paces
Complex markets can hide the best opportunities. That's where we come in. We'll do the heavy lifting for you – drawing on our position as London's number one estate agency brand to turn market knowledge into results for your property portfolio.
More insight on the lettings market:
• Watch Foxtons experts share key highlights on the Autumn Budget
• Second reading of the Renters' Rights Bill
• Cold means mould: protect your property
• Calling in the professionals to get it done
"Rental listings in London hit their highest October levels since 2019 – a sign that many investors are choosing to stay put. The number of available properties fell only 2% from September, which is highly unusual, bucking the seasonal slowdown.”
“The Autumn Budget brought welcome relief, with no impact on existing rental properties as Capital Gains Tax remained unchanged. With interest rates forecast to fall and demand strong, landlords might expect cheaper mortgages and improved returns. In this competitive landscape, you need an agent who can swiftly navigate the market to maximise your listing's potential."
Source:
• Market data: Foxtons Business Analytics produces our monthly Lettings Market Report, leveraging cutting-edge technology and our exclusive database, one of the largest for London's property market, to provide unparalleled insights for our landlords each month.
• Expert insight: To provide you with the most value, this article features our leading lettings experts. Our team's hands-on experience comes from many years in the industry with London's leading lettings agency, so you can rely on our practical, market-tested insight.
This blend of data-driven analysis and expert commentary offers a comprehensive view of the market, helping landlords navigate any market conditions with confidence. For any questions on the report or insight, ask a Foxtons expert.
