New knowledge from Foxtons in London reveals that rental provide in October remained strong, persevering with a robust pattern all through 2025. Whereas listings dipped 7% month-on-month from September, volumes nonetheless exceeded October 2024 ranges, with year-to-date new listings up 10%, highlighting sustained enchancment in market provide.
Rental demand eased 33% in October, reflecting the standard seasonal slowdown forward of Christmas. Yr-to-date, applicant demand stays 7% decrease than in 2024, although regular underlying demand continues to assist the market, significantly throughout London’s South and West areas.
Common rents fell barely to £575 per week in October, down 3% from September, in step with seasonal patterns. Regardless of the dip, year-to-date rents are 2% larger than 2024, rising throughout all areas besides North London, demonstrating the market’s resilience amid shifting demand.
Market competitiveness in October, measured by new renters per instruction, cooled notably by 28.9% month-on-month. New knowledge reveals the market has fallen from round 20 renters competing for every out there property in August to 9 in October which means that potential tenants now have a larger probability of signing a property.
Renter spending patterns in October intently mirrored these seen in September, with tenants spending a mean of 99% of their registered budgets. Round 63% of renters secured properties under funds, whereas 30% wanted to stretch above it. These figures replicate a still-competitive market, the place most tenants are discovering choices inside funds, although a major share proceed to pay a premium for his or her most well-liked properties.
Sarah Tonkinson, managing director of Institutional PRS and Construct to Lease, mentioned: “Our newest lettings knowledge displays anticipated seasonal moderation and whereas applicant demand has continued to be down 7% year-on-year, the resilience of rental values and budgets stay a constructive indicator for Construct to Lease developments. Notably, operators who’ve adjusted their pricing methods are seeing robust uptake, underscoring the depth of demand out there.
“The Renters’ Rights Act represents a serious regulatory milestone for company builders, institutional landlords, and operators, making this the fitting time to assessment operational frameworks with trusted companions who’ve in-depth information of the London market and the evolving regulatory panorama.”
