London’s rental market witnessed unprecedented growth throughout 2024, with surging demand pushing average rents to record highs across multiple zones. Several factors contributed to this trend, including tightened mortgage lending criteria, slower sales in certain micro-markets, and a growing population of international tenants seeking premium homes in prime postcodes.

At EBI, we experienced a 23% increase in new tenancy registrations compared to the previous year, particularly in Canary Wharf, Nine Elms and White City. Corporate relocation interest also returned to pre-2020 levels, with serviced apartment availability sharply reducing as tenants sought more flexible, lifestyle-focused tenancies.

Tech hubs and regenerated neighbourhoods such as Stratford, King’s Cross and Battersea Power Station were among the most requested areas, offering fast connectivity, amenity-rich environments and modern architecture suited to a professional clientele.

Demand for sustainability and smart-home features also increased, with tenants actively prioritising energy-efficient appliances, digital heating controls, and EPC ratings of B or higher. The competitive rental landscape has pushed landlords to upgrade furnishings and consider short-lets or flex-lets to attract top-tier renters.

As 2025 unfolds, rental prices are expected to stabilise, but the fundamental imbalance between housing supply and tenant demand-especially in Zones 2 and 3-will keep the market highly active. Landlords who adapt quickly and offer quality, design-led homes will continue to outperform. Ernest-Brooks International remains well placed to advise investors on high-yield hotspots and rental strategies that reflect the current market’s speed and sophistication.