Why finding a rental in London is harder than it was a year ago
Key Points
- London rental properties let 8% faster in the first half of 2026 than a year earlier — the quickest pace in four years
- Tenant demand continues to outstrip supply, keeping rents at elevated levels close to the top of renters' budgets
- The Renters' Rights Act, effective 1 May, replaced fixed terms with rolling tenancies
- Foxtons saw around 150 extra early terminations a week across 32,000 tenancies in May and June, easing since
- Foxtons let 6,903 properties in the half, up 6%
Rental homes in London are letting faster than at any point in the past four years, with properties going 8% quicker in the first half of 2026 than in the same period last year, according to Foxtons.
The estate agency, which manages a portfolio of 32,000 tenancies and is the UK’s largest lettings brand, reported the figure in its half-year results on Thursday (30 July).
Tenant demand continues to outstrip the number of homes coming onto the market, which is keeping prices firm.
Rents held broadly stable over the six months but remain at elevated levels, and Foxtons described them as close to the upper end of what renters can afford.
The Renters’ Rights Act, which took effect on 1 May, replaced fixed-term tenancies with rolling periodic agreements and gave tenants more freedom to give notice and leave.
A small share of renters took that option straight away. Foxtons recorded an average of 150 additional early terminations a week across its 32,000 tenancies during May and June, with the effect strongest immediately after the rules changed.
The rate has fallen since, and the vast majority of tenants stayed where they were.
Foxtons let 6,903 properties in the first half, 6% more than a year earlier, helped by branches it acquired in Milton Keynes and Birmingham.
The agency expects termination levels to settle over the second half of the year and does not anticipate significant changes in tenant behaviour or occupancy over the medium term.
