"As our research shows, stock levels are scarcest across the capital’s more peripheral, affordable boroughs, but even those with the financial clout to rent in prime central London will struggle"
Newly released data from research conducted by London lettings and estate agent, Benham and Reeves, has revealed that there are currently 40,496 rental homes available to rent across London - equating to 4% of the capital’s total 1,009,266 rental homes highlighting the slim pickings on offer to prospective London tenants.
An analysis was made of the current rental market stock across London, looking at how the availability of rental property has changed and which boroughs are home to the lowest level of homes for rent as a proportion of total rental properties.
In some boroughs of London, the chances of securing a rental property are almost non-existent.
In Barking and Dagenham, there are currently 180 homes listed to let, equating to just 1% of the borough’s total rental properties.
Across Newham, Haringey, Croydon, Havering, Bexley, Enfield, Redbridge and Waltham Forest, current available rental stock equates to 2% of total rental properties, climbing to 3% across Ealing, Hounslow, Bromley, Brent, Hillingdon, Harrow, Sutton and Lewisham.
Across a further 12 boroughs, less than one in ten rental homes are currently available to new tenants, with just Camden (10%), City of London (11%), Kensington and Chelsea (12%) and Westminster (12%) home to a higher percentage, albeit available rental stock levels are still scarce.
Marc von Grundherr, Director of Benham and Reeves, commented: “London may be seeing a subdued rate of growth when it comes to the sales market, but the rental sector has been on fire of late and is buckling under the pressure of huge tenant demand.
"A return to normality has seen increased activity from professional tenants, students and foreign renters, all of which have caused stock levels to plummet, making it extremely difficult for new tenants to find and secure a property.
"As our research shows, stock levels are scarcest across the capital’s more peripheral, affordable boroughs, but even those with the financial clout to rent in prime central London will struggle. In fact, we’re seeing an average of 37 applicants for every available rental property that enters the market.
"At the same time, our landlords have seen a fourfold increase in the monthly cost of their mortgage and this will inevitably result in rents climbing higher, otherwise landlords will have to exit the sector. If they do, even less stock to meet demand will also push up rents so it's a tough time to be a tenant whichever way you look at it.
"The only silver lining is that the total number of homes to let has started to creep up, however, this increase is simply insufficient when it comes to fulfilling the current appetite for London rental properties.”