Figures showed that the average rent prices for a room in London has dropped fastest this year - especially in the City with a decrease of 19%.

Average rent for a room in London have dropped 1.7% in the second quarter this year with 2.6% decrease annually - that resulted in a drop in rent of a room in London from £554 to £544 per month. In particular, the rent prices in the City have dropped tremendously with 19% fall this year. Experts suggested that the main reason for the downfall of rents in London was due to over-supply within the market.

Shortage of demand in the private rental market was due to a decrease in immigrants as well as the increase of accidental landlords. Researches showed a fall of 25% in overseas immigrants, who are the main source of demands in the private rental market. The weak pound and the high unemployment rate “constructed” an unfavourable market for overseas flat-finders to settle down in the UK. Moreover, under the economic climate, more homeowners have become “accidental landlords” - i.e. they are forced to rent out their properties or rooms to tackle their financial inconvenience.

The increase in supply of rental properties over the past 12 months affected the decrease in rental prices in London, which suggested the ideal time for tenants to look for a bargain room. However, experts analysed that the fall in prices is only temporary, where the trend would be likely to go up again with an increase in demand from tenants.

Thus, it is now the best time to rent a room in London for a better and more reasonable price. For competitive landlords insurance and tenants insurance, please visit our website at discount landlord