October saw the highest level of new stock entering the market, with an 8% increase from last year, the highest increase in four years.
The latest data from Foxtons has highlighted the highest amount of new stock coming to market out of any of the last four years. It was 8% higher than last year. Month on month, there was only a 2% reduction in the supply of available stock, which really highlights what an exceptional year it has been for new rental listings in London.
Applicant demand was marginally lower than this time last year, just 3% lower than in October 2023. It reduced by 32% from September, as expected this time of year. Demand in Central London has been particularly strong over the course of the year, with a strong summer period resulting in a 15% rise from 2023, year to date.
The number of applicants per new instruction has decreased 12% in 2024 year to date, and as the peak lettings season drew to a close, there was a 24% reduction from September to October 2024. Central London, contrary to other areas, has seen an 11% increase in applicants per new instruction compared to 2023.
Applicant budgets remained higher than any other year recorded. They have stayed consistently high throughout the entirety of 2024 so far. The average weekly budget now sits at £558.
Following a yearly high of £593 per week in September 2024, there has been a slight cooling in October 2024 as rents were reduced by 4%. All regions of London have seen rents largely in line with the same prices last year. This suggests rents are constrained by renter affordability and might slow their rate of increase.
Gareth Atkins, Managing Director of Lettings, said: "Rental listings in London reached their highest October levels since 2019, signalling a notable increase in stock. This is positive news for both renters, who benefit from a greater choice of properties, and landlords, who may find it easier to attract tenants.
"The stock of available rental properties only decreased by 2% from September levels, which is highly unusual for this time of year, defying the typical seasonal slowdown in the rental market. Additionally, the Autumn Budget provided some welcome relief to landlords, with existing rental properties unaffected by changes, as Capital Gains Tax remained unchanged, maintaining stability in the market."