Lettings

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Newly-agreed rental prices in prime London jumped 19% in 2022, says a specialist buy-to-let buying agency, while renewal prices surged 7.4% in Q4.

Stock levels are picking up and tenants are starting to shop around, reports Knight Frank

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London rents are rising faster than in any other region, with the average asking rent in Inner London topping £3,000 pcm for the first time.

Supply levels in many areas are as high as they have been since before the pandemic, reports Knight Frank

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Demand for rental homes in London 'remains high and I do not see a great glut of stock on the horizon,' says Sarah Tonkinson of Foxtons.

The latest RICS data on residential property deals, demand, new instructions and prices all point to a continued market slowdown.

Savills expects prime London rental growth to calm from its double-digit run to +5.0% over 2023 and +3.0% by the end of 2024. The prime commuter belt is set for an even sharper slowdown.

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'2022 has been a record-breaking year for rental growth,' says Hamptons. 'But even so, rents have failed to keep pace with wider inflation, and indeed landlords’ rising costs.'