Welcome to October’s rental market report, where we delve into the latest insights and trends across three major European cities – London, Amsterdam and Paris. This report provides key rental market data, showcasing the forces that shape the cost and supply of rental properties. From bustling London with its soaring borough-specific rent increases to the ‘bedbug plague’ impinging on Paris’ property market and the legal tensions stirring up Amsterdam’s rental scene, we keep you in sync with the pulse of these dynamic rental landscapes.
London Rental Market Latest
The rise of the London rental market is such a fascinating topic that organisations are falling over themselves to publish research results. The latest comes from Zero Deposit, whose analysis found that rents in some London boroughs have jumped by 50% in the last decade. Looking ahead, Zero Deposit says there’s potential for an identical increase over the next 10 years. The boroughs with the most pronounced rent rises are Bexley, Lewisham and Barking & Dagenham. More current data comes from HomeLet, with its new Rental Index revealing the average rent in London increased again in September 2023, rising 1.6%. The new average rent in the capital now stands at £2,179. It added that London rents have increased by 12% in the last year, with the annual rate of growth not dipping below 10% since October 2021.
Average Monthly Rents in London
While three of the rents that Klippa tracks became a little cheaper to rent in September, there has been a reverse in October. Three property types are now more expensive, including a three-bedroom apartment in the city centre. The monthly cost to rent this size property saw the biggest increase, up from €4,695.32 pcm to €4,779.78 pcm. Smaller apartments also rose in cost. A one-bedroom city centre apartment has become €18 more a month, now costing €2,440.28 pcm, while a one-bedroom apartment in the city suburbs has risen from €1,708.70 pcm to €1,785.47 pcm. Only a three-bedroom apartment in London’s suburbs has become less expensive, dropping from €2,971.91 pcm in September to €2,942.44 pcm in October.
Amsterdam Rental Market Latest
There are signs of unrest among Amsterdam’s landlords after changes to the rules for rent-controlled properties. A group of private investors, who own some 10,000 rentals between them, have launched a mass claim against the government, saying it wants incumbent measures scrapped and compensation for loss of income. The root of their anger is the new points system, which is forcing more properties to fall into the rent-controlled sector and therefore command less rent. The government also plans to expand rent controls to cover properties worth up to €1,100 in the points system. Although this may result in cheaper rents – it is thought a 50-square-meter flat in a prime Amsterdam location would cost some €750 per month under the proposed points system, rather than around €1,600 as at present – the changes may force more landlords to exit the rental market and further compromise the supply of properties.
Average Monthly Rents in Amsterdam
October was a tale of two halves in Amsterdam, with the cost of renting two property types falling and two rising. Becoming cheaper to rent over the last four weeks was a one-bedroom apartment in the city’s centre, down from €1,735.14 pcm to €1,708.69 pcm. There was also a reduction in cost when renting a one-bedroom apartment in Amsterdam’s suburbs, with this property type now €16 less to rent, at €1,342.14 pcm. Increases were noted for larger apartments. The cost to rent a three-bedroom city centre property has risen by more than €100 a month, up from €2,640.43 pcm to €2,745.91. A three-bedroom apartment in the suburbs has increased from €2,019.54 pcm to €2,086.44 pcm.
Paris Rental Market Latest
In the past month, bedbugs have become the most talked-about topic in the Paris rental market. Although many describe the situation as a ‘plague’, scientists say there is always a rise in bedbugs after the summer due to increased mobility. Relocation professionals are advised to have the managing agent or the tenant undertake a thorough inspection at check-in to ensure there is no infestation. In other news, perhaps designed to counteract the insect-centric headlines, Paris Rental published a blog on the wealthiest arrondissements in Paris. Of the 20 administrative districts, the following took the top spots: 16th arrondissement, especially the Victor Hugo and Passy areas; 8th arrondissement, with Plaza Athénée and Avenue Montaigne very popular with expats; 7th arrondissement, with a focus on chic apartments close to the Eiffel Tower; and the 6th arrondissement, with Rue de Furstenberg, Rue Guynemer and Place Saint-Sulpice offering sought-after rental accommodation.
Average Monthly Rents in Paris
October has seen some slight adjustments to the cost of renting in Paris, with three property types monitored by Klippa falling in value. A one-bedroom apartment in the centre has reduced in cost from €1,301.60 pcm to €1,290.56 pcm. Also becoming cheaper is a one-bedroom apartment in the Paris suburbs, down from €931.89 pcm to €920.66 pcm. Completing the trio of more affordable rents is a three-bedroom apartment in the city suburbs, which is now €17 a month cheaper, at €2,009.03 pcm. Only one property saw a small rise in rent costs, and that was a three-bedroom apartment in the city’s heart, up from €2,857.03 pcm to €2,888.28 pcm.
Need to Secure a Rental Property?
Klippa Relocation has established agents working across London, Amsterdam and Paris. We have enviable relationships with each city’s leading real estate agents and property finders, so please get in touch if you need help with the local rental market.
*Average monthly rental figures, expressed in Euros & taken from Numbeo, 30th October 2023