London rents near £2,300 as international tenant base drives guarantor demand, study finds

Reynolds added: “We are seeing this reflected in adoption patterns, with over 77% of tenants in London selecting our product, Guarantor+, when given the option. It highlights just how pronounced these pressures are in the capital.

“As the rental market continues to evolve, particularly in cities with high levels of international mobility, guarantor products such as ours are playing an important role in helping tenants secure homes quickly while still giving landlords and agents the protection they need.

“What’s most important now is to ensure that a guarantor product is right for the tenant and landlord, giving them genuine, long-term security, regulatory protection and fair value.

“Our partnership with Foxtons reflects a major market shift, making Guarantor+ more widely available to tenants across one of the UK’s most dynamic lettings markets.”

Gareth Atkins, Foxtons managing director of lettings at Foxtons, said: “London remains one of the most competitive rental markets in the country, but the diversity of today’s tenant base means the ability to connect landlords with a broader pool of suitable tenants quickly and efficiently has become increasingly important.

“For landlords, lengthy void periods can have a significant impact on returns, particularly against a backdrop of rising costs and ongoing regulatory change.

“Every day a property sits empty represents lost income, which is why reducing friction in the lettings process has never been more important.

“At the same time, many prospective tenants who can comfortably afford their rent may not meet traditional referencing criteria.

“This is particularly common among international renters, students and the self-employed – groups that make up an important part of London’s rental market.”

Atkins added: “The industry needs solutions that reflect the realities of today’s tenant base. By providing landlords with greater confidence and enabling more prospective renters to access homes, products such as Guarantor+ can help keep tenancies moving, reduce unnecessary delays and support stronger occupancy levels.

“As London’s tenant population continues to evolve, flexibility and access will be increasingly important.

“Landlords who can embrace solutions that broaden their reach to quality tenants while maintaining a smooth and secure lettings process will be best placed to minimise voids, maximise returns and benefit from the depth and diversity of demand across the capital.”