Rental Market Report September 2025

Our quarterly Rental Market Report is based on our analysis of tens of thousands of rental data points across the UK.

Executive summary:

  • Rental market conditions are the weakest for 5 years, with demand down 24% and supply up 20% year-on-year.
  • Rental inflation has hit a 4-year low of 2.4% due to the re-alignment of supply and demand, and renter affordability pressures.
  • Supply is rising from new landlord purchases, tenants ending leases, and homeowners who can’t sell their properties listing them for rent.
  • The decline in demand is driven by a sharp drop in migration levels and an improved mortgage market for first-time buyers.
  • London is the only region where supply is down – in part because landlords continue to face low yields and high deposit requirements (£187k deposit for an average BTL purchase).
background image

Looking for insights and predictions from property analysts on what’s happening in the market?

We publish commentary and studies on the latest developments in the sector. From first time buyer trends to the impact of the latest government schemes, we apply our knowledge and expertise to give you a deeper understanding of the factors influencing housing and commercial property markets.

Don’t miss our latest reports – subscribe to receive email updates.

background image