London’s rented home supply falls to 2.9% of stock

Tenants across London are dealing with a tightening supply, with only a small share of homes available to let as the Renters’ Rights Act approaches.

Research from Benham and Reeves puts the number at 34,776 homes currently listed from an estimated private rented stock of 1,188,368.

That leaves just 2.9% of properties on the market at any one time.

Waltham Forest and Enfield both sit at 1.3%, while Barking and Dagenham follows at 1.4%.

Havering and Redbridge are at 1.5%, and Bexley, Hackney and Haringey each come in at 1.6%.

However, the firm is also warning that landlords selling up will worsen the supply for renters.

More landlords will exit

Marc von Grundherr, a director of Benham and Reeves, said: “Rental market supply will always ebb and flow and we are seeing some boost to stock, most notably via the continued expansion of the build to rent sector.

“However, the reality is that those searching for a rental home in London face an incredibly tough task, with only a minute proportion of total stock actually available to new tenants at any one time.”

He added: “It’s this imbalance that continues to drive long waiting lists, increasingly desperate tenant tactics such as paying six to 12 months’ rent upfront, and the sustained upward pressure on rental values across the capital.”

The firm is also warning that with the Renters’ Rights Act approaching, there’s a ‘real risk’ that more landlords will look to exit the PRS to restrict supply further.

Borough breakdown of supply

Across a wider spread of boroughs, availability holds at around 2% or below with Newham recording 2% and Lewisham 1.8%.

However, Bromley and Sutton are both at 1.7%. T

Central boroughs show higher figures, though that’s still a minority of the overall stock.

For example, Kensington and Chelsea reaches 8.4%, with Westminster at 7.4%.