Rental searches surges in Zones 1 & 2 as renters seek return

Rightmove logo
  • There are signs renters are taking advantage of falling prices by planning a move to Zones 1 &  2, with searches on Rightmove doubling in areas like Nine Elms, Battersea, and Clapham
  • All of Rightmove’s top 10 latest rental hotspots are in Zones 1 & 2, a stark contrast to last August’s rental searches, when eight of the top 10 hotspots were outside of Zone 2
  • On average the top ten London search areas have seen a fall of 15% in asking rents over the past year

 

There are signs more renters are planning to rent in Zones 1 & 2 as falling prices give people the chance to relocate now before rents rise again, according to new data out today from the UK’s biggest property website Rightmove.

Our latest study, which analysed over 23 million London searches, reveals that annual searches for rental homes in areas of Zones 1 & 2 have jumped significantly.

Nine Elms in Wandsworth has seen the biggest annual rise in rental searches in the capital, up 126%, with average asking rents in the area now at £2,802 per calendar month, down 15% compared to a year ago.

Next up is another Wandsworth location – Battersea – which has also seen rental searches more than double over the past 12 months (+111%), followed by Clapham Common (+109%).

Rightmove’s data analysts suggest this highlights a growing trend of people wanting to move back to urban hubs.

All of Rightmove’s top 10 latest rental hotspots are within Zones 1 & 2. This is in stark contrast to last August when renters searching in the capital were home-hunting in the outer zones.

Chessington topped the list in August, and all but two of the top 10 hotspots were located in Zone 3 and beyond.

Rightmove’s data last summer reflected a shift in people wanting to move to areas with quieter transport links as office-based working and rail commutes became less frequent.

However, the tide appears to be turning, with annual growth of rental searches in Inner London now outperforming last summer’s search activity.

For example, last August Canary Wharf ranked 203rd in terms of annual growth in rental searches (+20%), but the urban hub has now moved up the rankings to 8th place, with annual search growth of 89%.

 

Rightmove’s Director of Property Data Tim Bannister said:“Last year we identified a clear trend of renters moving out to quieter parts of Greater London as the allure of life in the city centre became less appealing during lockdown. However, with the prospect of some kind of normality potentially on the horizon, it appears that the capital’s renters are now looking to return to Inner London, and making the move now to take advantage of the lower rents. Our list of London’s top rental hotspots is dominated by locations in Zones 1 and 2 and that represents a significant shift in search behaviour.”

 

Agents’ views

Lucy Pendleton, co-founder at James Pendleton in Southwest London, said: “We’ve undoubtedly seen renewed interest from renters looking to move to places across Nine Elms and Battersea. This part of London is a great place to live and there are lots of little pockets of communities that cater for everybody’s taste. It’s a really vibrant, busy part of the capital that – especially in normal circumstances – has a brilliant social scene and also plenty of green spaces given how close we are to the heart of the city. There were lots of people who thought that London would turn into a ghost town over lockdown, and yes, some people have moved further afield but that migration happens every year.

“It’s motivated by a change in lifestyle and predominantly because of growing families wanting to be near certain schools. However, in terms of lettings revenue, we’ve now surpassed where we were at this stage in 2019 and 2020 – so people still do want to live in the city. I’m sure that working patterns will continue to evolve, as they have done over the past year or so, and that may mean more home working than before, but once pubs and bars and the rest of that industry reopens, I expect we’ll continue to see interest increase even further.”

Glynis Frew, CEO of Hunters Estate Agents, added: “Despite short term uncertainty and some people moving out of London temporarily, the fact is that most young professionals want to be amongst the buzz of the city – it’s the reason they moved here in the first place. With the vaccine providing light at the end of the tunnel now, many will be planning their next move as life starts to return to normal and their places of work start to open up again. The Battersea Power Station transformation is almost complete and with the Northern Line extension set to finally open this year, it is little surprise that Nine Elms and Battersea are hot prospects, particularly given their proximity to the Thames and open green spaces.”

Top 10 biggest annual increases rental searches in London in February 2021 and change in asking rents:

Place Borough Annual % change in rental searches Annual change in average monthly rent (pcm) Avg rent Feb 2021 (pcm) Avg rent Feb 2020 (pcm)
Nine Elms Wandsworth 126% -15% £2,802 £3,296
Battersea Wandsworth 111% -10% £2,569 £2,854
Clapham Common Lambeth 109% -3% £2,071 £2,135
Clapham Lambeth 97% -11% £2,305 £2,590
Rotherhithe Southwark 93% -15% £1,644 £1,934
Hyde Park Westminster 92% -30% £2,346 £3,351
Primrose Hill Camden 89% -12% £2,609 £2,965
Canary Wharf Tower Hamlets 89% -16% £1,974 £2,350
Canonbury Islington 89% -16% £1,930 £2,298
Notting Hill Kensington and Chelsea 86% -19% £2,881 £3,557

Top 10 biggest annual increases rental searches in London in August 2020:

Place Borough Annual change
Chessington Kingston Upon Thames +99%
South Norwood Croydon +83%
Barnet Barnet +70%
Colindale Barnet +67%
Barnes Richmond Upon Thames +64%
Muswell Hill Haringey +61%
Kingston Kingston upon Thames +59%
Winchmore Hill Enfield +59%
Hackney Wick Hackney +58%
De Beauvoir Town Hackney +58%

 

Rightmove

UK Property news updates shared directly from Rightmove PLC - the country's leading property portal.

You May Also Enjoy

Breaking News

Time is running out’ for property industry to take web accessibility seriously

Leading expert ahead of June 2025 regulation overhaul says ‘Time is running out’ for the property industry to take web accessibility seriously. Leading digital accessibility expert urges property sector to ‘act now’ ahead of June 2025 regulation overhaul He warns that web accessibility and inclusivity should be part of a long-term strategy and shouldn’t be…
Read More
Breaking News

Renters’ Rights Bill parliamentary progress

The Renters’ Rights Bill has completed its Committee Stage in the House of Lords and will move on to the Report Stage imminently. Allison Thompson, National Lettings Managing Director of LRG, comments on the progress of the Bill: “As the Renters’ Rights Bill completes its committee stage in the House of Lords, it is disappointing…
Read More
Kerb appeal
Breaking News

Housing Market Surges as Stamp Duty Changes Drive Buyer Activity

UK Finance today releases its latest Household Finance Review for Q1 2025, which explores trends in household spending, saving, and borrowing. Mortgage lending surged in the first quarter of 2025, driven by homebuyers seeking to complete purchases before changes to Stamp Duty took effect in April. Household savings continued to grow, particularly in notice accounts…
Read More
Breaking News

Mortgage Approvals Down in April

The latest figures show that: – Mortgage approvals on house purchases for April sat at 60,463 down (-4.9%) from 63,603 in March. This signals four consecutive months of decline. Approvals are also lower (-2.1%) than the 61,740 seen in April 2024. Despite the decline, there is still optimism for growth in the coming months, especially…
Read More
New Builds 2020
Breaking News

Build to rent completions up, but sector has seen slowdown in construction

New research by Inventory Base reveals that the number of build to rent completions has increased by almost 16% in the past year, however, there has been a significant dip in the number of BTR buildings currently under construction. Inventory Base has analysed UK build to rent (BTR) construction planning data* and found that in…
Read More
Breaking News

Response to latest Nationwide House Price Index

Comment on latest Nationwide data showing a 3.5% increase in house prices from the Industry. Nathan Emerson, CEO at Propertymark: “It is reassuring to witness consistent house price growth and a strong appetite as people continue to approach the homebuying and selling process, especially when the UK economy continues to adapt to both domestic and…
Read More