How Much Should I Be Charging for Rent in London Right Now?

As London property experts, we understand that determining the correct rental price is not just about numbers—it’s about maximising your income, staying legally compliant, and attracting the right tenants quickly.

With the current fluctuations in the rental market and increasing landlord regulations, it’s more important than ever to charge rent that reflects actual market value while ensuring your property stands out.

Why Setting the Right Rent Is Crucial

In a fast-paced and competitive market like London, overcharging can lead to long void periods, while undercharging means you’re leaving money on the table.

The rental valuation process needs to be strategic, data-driven, and informed by both local trends and tenant demand.

At London Estate Agency, we use real-time market analytics, access to a broad investor network, and on-the-ground experience to ensure our landlords are always ahead of the curve.

Current Rental Trends in London (2025)

As of Q2 2025, the London rental market continues to favour landlords, especially in high-demand zones such as Zone 2 and 3 and regenerated boroughs like Lewisham, Barking, and Waltham Forest.

The average rent has seen a 6-10% increase YoY, driven by low rental stock, a surge in returning international tenants, and increased mortgage costs passed onto renters.

Here’s a breakdown of average monthly rental values:

  • Studio flats: £1,400 – £1,700
  • 1-bedroom flats: £1,600 – £2,100
  • 2-bedroom flats: £2,200 – £2,800
  • 3+ bedroom homes: £2,900 – £4,500+

These figures vary depending on proximity to transport hubs, school catchments, and property conditions.

A tailored rent review is essential to determine what you should charge.

Factors That Influence Your Ideal Rent

1. Property Condition & Amenities

Modern interiors, smart home tech, EPC ratings, and in-built appliances can significantly increase your rental value.

Due to energy efficiency concerns, properties with EPC ratings of A-C are now more desirable.

2. Location & Connectivity

Renters are prioritising convenience. Properties within a 10-minute walk of a Tube station or in areas like Canary Wharf, Clapham, and Stratford command higher rents.

3. Market Demand

We analyse live demand data, seasonal rental trends, and historical performance to advise you on the highest achievable rent with minimal vacancy.

4. Legal Compliance

Many landlords overlook how non-compliance with regulations like EPC, gas safety, and Right to Rent checks can legally restrict the rent you’re-they’re allowed to charge or result in fines.

We ensure your property is fully compliant before it’s marketed, increasing both rentability and legal security.

How Our Expert Rent Review Service Works

Our rent review service doesn’t just provide a number—it offers strategic pricing with real insight:

  • Detailed local comparables
  • Professional property inspection
  • EPC, HHSRS & compliance checks
  • Tenant profiling to match price points
  • Recommendations on minor upgrades for maximum ROI

We also provide assistance with Section 13 rent increases, ensuring your legal right to increase rent is exercised without tenant disputes.

Instruct us today to receive a FREE no-obligation rental valuation, and let us show you how to outperform the competition.

FAQs Landlords Commonly Ask About Rent Pricing

How often can I increase the rent?

If your tenant is on a periodic tenancy, you may issue a Section 13 notice once per year.

For fixed-term tenancies, rent can only be increased if your tenancy agreement permits it or during renewal.

We handle this entire process with full legal backing and communication management to avoid disputes.

What if my tenant refuses the rent increase?

If the correct process has been followed, tenants can only appeal to a First-Tier Tribunal, which we can help you prepare for.

However, our well-structured notices and market evidence typically avoid this escalation.

Should I include bills in the rent?

It depends on your target demographic. For HMOs or young professionals, including bills can justify a higher rent.

We’ll advise you based on your property type and audience.

Can I charge a premium for furnished properties?

Absolutely. On average, furnished properties in London command £100–£250 more per month, depending on the finish and furnishings provided.

We offer full furnishing packages if you want to capitalise on this.

What rent should I charge if I just refurbished my flat?

Post-renovation rents should reflect both capital expenditure and market uplift.

We’ll help you price it right to recover your investment quickly and attract high-quality tenants.

Maximise Your Rental Income With London Estate Agency

With decades of combined experience and a tech-enabled approach, our team doesn’t just let properties—we strategically position them to achieve optimal rent, minimum void periods, and the best possible tenants.

Our services include:

  • Market Rent Reviews
  • Section 13 Rent Increase Management
  • Tenant Screening & Rent Protection
  • EPC & Compliance Checks
  • Cash Buyer Landlord Sales (if you’re exiting the market)

Don’t leave your rental income to guesswork. Let us optimise it for you.

Our proactive management and pricing strategy consistently earn our client landlords 7–15% more than average market rates.

Get Your Free Rent Appraisal Today

If you’re wondering, “How much rent should I be charging right now in London?“—you’re already a step ahead. The answer is just one call away.

Visit our services page to get started, or contact us directly for a bespoke rent appraisal with zero obligation.