Private rental prices paid by tenants in the UK increased by 2.5% in the 12 months leading up to June 2015. Rental amounts increased in every region across the country, but London saw the highest rise. Rental prices overall have been climbing steadily since 2012, and the projected rental market shows no indication of slowing down. Consumer demand is undoubtedly the strongest factor driving the rising rental rates, as more and more people find renting to be more conducive to their lifestyles.
As more professionals seek rental accommodation in the London boroughs, the rental prices will continue on an upwards trajectory. Wage packets are beginning to grow in many areas, which means that tenants will seek suitable rental properties that offer them key benefits such as local amenities, easily accessible transport links, green areas and quality retail and entertainment facilities.
The Mayor of London, Boris Johnson, recently announced that his key target of 50,000 new homes for residents of London has been successfully met ahead of the projected schedule. A further three zones have been announced in order to speed up the process and produce much needed development in Sutton, Westminster and Brent.
18 of the intended 20 housing zones across the city have now been announced which brings the total number of homes to be built to 50,965. Almost one third of these properties will be available to buy or rent. The two final zones are expected to be announced by the end of summer. This collaborative effort between the government, local boroughs and the Greater London Authority aims to fast track development in areas where it has been previously held back. The Mayor’s multi-million pound investment in new housing zones not only means new homes but also improved transport links, construction jobs and retail precincts which will transform vastly different areas of London into new urban districts for future generations.
The consistent regeneration of London’s many boroughs and the construction of new homes across the landscape offers increased opportunity for landlords, investors and property developers. As a professional lettings agent for Ealing and the rest of London, we focus on helping our clients reach their property goals in the fertile rental market.
