April's lettings market data reveals a sector in balance, with supply outpacing last year and applicant demand on the rise ahead of the Renters' Rights Act.

London rental yields hold firm as the lettings market regains momentum and prepares for regulatory change.

Rental supply growth is supporting a seasonal rebound in the London lettings market as demand stabilises and competition eases.

New listings rose 6% year on year and 13% month on month in January, giving renters the widest supply pool seen in recent months.

New rental listings in the capital climbed by around 2,000 in December, reaching approximately 25,000 homes.

The capital's build-to-rent planning numbers increased 8.5% year on year, while regional markets outside the capital declined 1.4% over the same period.

Average rental prices fell 4% in November to £551 per week, though year-to-date prices remain 2% higher than 2024 levels.

The average monthly cost of renting in London now sits at £2,736, making it difficult for renters to save a deposit for homeownership.

Rental supply is up 10% year-to-date compared with 2024.

Average weekly rents reached £600 last month, the highest September figure in four years.