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Buy-to-let market divergence persists

Rents in the capital have continued to decline, in stark contrast to other parts of the country
Buy-to-let market divergence persists
  • Shares linked to the private rental market have outperformed over the past 12 months
  • Rents in London continue to lag the rest of the UK as travel restrictions and the search for space drives people away from the inner city

The UK housing market has historically been a tale of two parts - London and the rest of the country. “That has absolutely been borne out,” said Belvoir (BLV) chief executive Dorian Gonsalves, citing rising demand in suburban locations and a flagging market in the capital in recent months. 

An increase in home working and a drive for more space has weighed on rents in the capital, while travel restrictions have also increased the supply of stock as more short-let properties have returned to the market. 

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