London landlords saw rental prices rise by 10% in April 2025 compared to the same time last year, despite a drop in viewing requests and increasing supply, according to the latest data from Rightmove and industry rental platforms. While month-on-month prices dipped slightly, the broader trend still favours landlords able to price accurately and avoid unnecessary voids in an evolving tenant market.
Pricing precision is key as viewing numbers soften
The average rental price in the capital now stands at £2,291 per month, up 10% year-on-year and 4% higher than the previous three-month average. This growth occurred despite a 1.8% monthly decrease in April—a natural adjustment following a period of consistent increases. Importantly, 71% of landlords are still pricing within 10% of market value, indicating a healthy understanding of shifting tenant expectations.
Tenant demand, however, has cooled slightly compared to previous years. Viewing requests per property averaged just 40 in April 2025, 35% lower than April 2024 and 40% lower than April 2023. This means landlords must now rely on informed pricing strategies and location-led desirability to secure lets quickly.
As noted in the latest market analysis: “Well-researched rental pricing is becoming increasingly important to avoid lengthy void periods.” Despite these conditions, landlord returns remain strong, particularly in high-performing areas.
Hot spots hold their ground with strong tenant interest
In terms of borough-level performance, Hammersmith and Fulham has emerged as London’s most in-demand location for the third month running, averaging 493 viewing requests per property over a three-month rolling period. Barking follows with 250 requests, while Haringey and other outer boroughs continue to attract tenants seeking affordability and convenience.
The difference in tenant interest between inner London (94 viewings per property) and outer London (83) is relatively narrow, underscoring how demand remains broadly distributed. Despite broader market shifts, well-located properties—particularly those near transport, employment hubs, and amenities—continue to perform exceptionally well.
According to Rightmove: “Rents have edged up by 0.1% to £2,698 per month, setting a record for the 14th consecutive quarter.” This steady growth trajectory reassures landlords concerned by short-term fluctuations, particularly in a post-stamp duty change environment where buyer activity briefly drew some tenants out of the market.
More supply, fewer inquiries—but landlords still lead on returns
Rightmove’s data also highlighted a 11% year-on-year increase in new rental listings and an 18% rise in total availability, signalling a notable shift in the balance of supply. At the same time, tenant inquiries are down 7% on last year, with average enquiries per property now at 12, compared to 16 last year. However, this still outpaces pre-pandemic levels, where five enquiries per property was the norm.
Around 25% of listings have reduced their asking rent—the highest proportion since 2018—but this adjustment reflects landlords responding to affordability concerns while still benefiting from high rents relative to pre-2020 levels.
Boosting the positive outlook for landlords is a 32% year-on-year rise in new buy-to-let mortgage lending, which suggests continued confidence in the sector. As more investors return to the market, and lending conditions improve, landlords who adapt to current dynamics will remain well-positioned.
