Hamptons downgrades rental growth forecast as market continues to cool

Original Article Summary

What initially appeared to be a London-centric slowdown has now spread across the country, with rents declining in multiple regions and growth easing elsewhere

PropMatch Curated Analysis

Hamptons has dramatically cut rental growth forecasts from 4.5% to 1% for 2025 as falling mortgage rates drive tenants to become first-time buyers, reducing rental demand by 11% and causing rents to fall in London, Scotland, and Wales.

Investor Relevance

Critical for rental yield expectations, acquisition pricing, and portfolio strategy. Lower rental growth directly impacts cash flow projections and property valuations, while regional variations suggest geographic rebalancing opportunities. The structural supply shortage and upcoming regulatory changes indicate medium-term rental growth will resume from 2026.

Original Source:

Property Industry Eye
Initially published on .

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