November 2025 Rental Market Update
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The rental market is finally catching its breath. Growth is steady, demand remains strong, and well-presented homes continue to lead the way — but the frantic pace is easing
Rents Still Rising (Just More Slowly)
£1,385
pcm outside London
£2,736
pcm in Greater London
Annual growth is now the slowest since 2020 — a sign the market is settling, not stalling.
💬 Comments by Sam Cable — Lettings Director
"Landlords shouldn't worry about the slowdown. This is a healthier pace that keeps tenants moving while still protecting strong rental values. The key is presentation and pricing — get those right and results follow."
Supply Up… but Not Enough
+9%
Stock levels vs last year
-23%
Still below 2019
-14%
Tenant demand down
More choice than 2024 — still nowhere near a balanced market.
💬 Comments by Sam Cable — Lettings Director
"We're finally seeing more homes come to market, but it's nowhere near enough to satisfy demand. Good-quality rentals continue to let quickly, and we're securing strong tenants within days in many cases."
Investors: Steady Returns, Clear Opportunity
  • Renting now takes 44% of average income
  • Average first-time buyer deposits up ~£5,000 since 2020
  • BTL mortgage rates: now 4.87%
  • Yields stable at 6.3% outside London and 5.7% in London
Tenants are staying longer. Voids remain low. Well-run portfolios continue to outperform.
💬 Comments by Sam Cable — Lettings Director
"Despite higher finance costs, the rental fundamentals are still in your favour. Tenants are staying put longer, arrears remain low, and yields hold strong. For landlords thinking long term, this is a great moment to optimise your portfolio."
Legislation: The Big Shift

The Renters' Rights Act is now law (27 October). New rules, new processes, and heightened scrutiny are reshaping the sector. Some landlords are exiting — others are doubling down.
💬 Comments by Sam Cable — Lettings Director
"This is the biggest change we've seen in years. But with the right guidance, it's absolutely manageable. The landlords leaning into the changes — not fearing them — are the ones gaining the advantage."
🧭 What This Means for You
Strong demand + tight supply =
Well-managed homes still outperform. Low voids, committed tenants, and consistent rent growth remain the story.
💬 Comments by Sam Cable — Lettings Director
"We're focused on giving our landlords clarity and confidence going into 2026. The market is shifting, but with the right strategy, your property can continue to deliver exceptional returns."
Ready to Get Ahead for 2026?
If you want sharper rents, fewer voids, or clarity on the new rules, we're here to help. Book your free portfolio review with The Avenue today and stay ahead of the market.