Patrick Littlemore responding to the ONS' private rental data
Tue 25 Jun 2013
"Despite rapidly improving mortgage conditions, the opportunity to buy property remains a distant dream for many people around the country. The limited supply of property for sale is pushing up asking prices and resulting in ever-increasing numbers living in rented accommodation. London continues to operate in its own microclimate, with rental prices growing at a much faster rate than the rest of the UK over the last five years.
"The ONS figures point to a 2.2% annual overall increase in London rental prices, but in Prime London this has been far higher due to the number of people focussing on renting as opposed to buying. At Marsh & Parsons weve noticed particularly high demand for rented property in areas such as south and south west London including one- to three-bedroom properties in Battersea, where average rents have increased by 6% from the last quarter. In Notting Hill and Holland Park, weve also noticed an increasing number of people who seem to be giving up on the idea of buying property altogether and choosing to rent high quality one-bedroom properties at the top end of their price range, instead of a more affordable two-bedroom property. Rather than saving for a deposit, they are accepting the realities of the London property market and spending more on their rented accommodation to make the most of London-living."