The demand for rental properties in prime Central London, one of the expensive property hotspots in the world, is picking pace with more number of tenancies agreed in the last nine months.
Data released by Knight Frank in its latest Lettings Index for prime Central London shows that the number of tenancies agreed in the first nine months of the year was 17.4 per cent higher than 2016.
The market for properties rented out for less than £1,000/week performed more strongly than homes in the £1,000 to £5,000 price bracket. The number of new prospective tenants registering between January and September increased 17 per cent and viewing levels were 22 per cent higher than last year.
The overall imbalance between new levels of supply and demand suggests the market will continue tipping in the favour of landlords after a period when tenants have benefitted from higher supply levels and falling rental values.
Although average rents for existing homes in prime central London have been falling for 21 months, the declines have moderated in 2017 as the rate of new supply slows down. The number of properties coming onto the market between January and September was just 1 per cent higher compared to the same period in 2016, There was an equivalent jump of 30 per cent between 2015 and 2016.
while a degree of uncertainty persists in the sales market, volumes are stabilising as asking prices are reset to reflect higher transaction costs,