Rental prices in Hackney’s private rented sector are soaring as the capital continues to see an undersupply of property and a post-COVID spike in demand.
In fact, prices are up by more than half compared to two years ago, according to rental price data from Rightmove.
As of September 2022, an analysis of 113 listings found that the asking rent for a private rental property was £2,833 based on 113 listings, representing a 52% increase based on the ONS estimate of £1,860 in September 2020.
The soaring costs adds to the burden many are under as the cost of living crisis means tenants are seeing their bills rise.
Rents across the country grew at their fastest annual rate in 16 years between March and June this year, with the average annual growth across London now exceeding 15% according to Rightmove.
Sandy Sitlani, Head of Victoria Park & Hackney Lettings at Savills said: “Strong demand from tenants and an ongoing lack of stock indicates growth in rental values is set to continue at least for the short term, though the cost of living and inflationary pressure is expected to slow the pace of growth as we head into next year.
“The parks and canals have always been a big draw for the area, but during the pandemic people came to prioritise these features even more.
“This ever-growing desirability coupled with a lack of supply and the fact that many young applicants are coming back to the area for work commitments as they are now returning to the office, mean they are keen to live and work in the same area or minimise their commute, perhaps to Canary Wharf or the City.”
Sitlani said increasingly they are seeing those from the finance and corporate sector in Canary Wharf or the City as they are looking for a more eclectic place to live.
SpareRoom highlighted in their quarterly report that East London remains the most popular to rent, with the most popular areas including Shoreditch.