The rental markets of London, Amsterdam, and Paris are undergoing significant transformations in June 2024, with each city facing its own unique set of challenges and opportunities. As three of Europe’s most sought-after metropolises, these capitals are experiencing shifting market dynamics that affect both residents and potential newcomers alike.
In London, the perennial struggle between high demand and limited supply continues, now compounded by political uncertainty. Amsterdam grapples with the consequences of new housing regulations aimed at affordability but potentially constraining availability. Meanwhile, Paris finds itself in the throes of pre-Olympic fervour, with the upcoming Games reshaping its rental market in unprecedented ways. If you’re relocating to any of these locations, keep reading to learn more.
London Rental Market Latest
The London rental market remains highly competitive in June 2024, with demand continuing to outstrip supply. Average rents for new tenancies in the UK stand at £1,299 per month across the UK (0.2% higher than in May 2024) and £2,103 per month in London (1.7% lower than in May 2024). The limited supply of properties, particularly in central areas, has led to ongoing competitive bidding among tenants.
However, there are signs of moderation in the market. The annual rate of rent inflation for new lets has slowed to 5.7%, almost half of what it was a year ago. Despite this slowdown, affordability remains a significant issue, with monthly rent consuming a larger portion of average gross earnings.
The upcoming general election continues to create uncertainty surrounding rental market regulations, including the future of the Renters Reform Bill. This uncertainty is affecting both landlords and tenants, potentially impacting investment decisions and market dynamics.
Average Monthly Rents in London
London’s average rental prices as of June 2024 were as follows:
- A one-bedroom apartment in central London: €2,535 pcm
- A one-bedroom apartment in the suburbs: €1,915 pcm
- A three-bedroom apartment in the suburbs: €3,413 pcm
- A three-bedroom apartment in the city centre: €5,323 pcm
Amsterdam Rental Market Latest
The non-rent-controlled sectors in the Netherlands have continued to see significant increases in rental prices. As of June 2024, the average rent increase had reached 4.5% compared to the previous year. The 8.5% gain reported earlier in the year has moderated, but the rental market is still growing at a significant rate.
In Amsterdam, the rental market has kept momentum through the second quarter of 2024. As of June, rental prices have increased by 5.10% compared to the same period last year. This indicates that Amsterdam’s rental market remains robust, though the rate of increase has moderated slightly from the 5.24% rise observed in the first quarter of 2024.
The new regulations implemented in April 2024 to control the rental market, including stricter rent controls and more robust tenant protections, are having mixed effects. While aimed at improving affordability and accessibility, these measures have led some landlords to withdraw properties from the market, potentially exacerbating the supply shortage.
Average Monthly Rents in Amsterdam
Amsterdam’s average rental prices as of June 2024 were as follows:
- A one-bedroom apartment in central Amsterdam: €2,004 pcm
- A one-bedroom apartment in the suburbs: €1,661 pcm
- A three-bedroom apartment in central Amsterdam: €3,377 pcm
- A three-bedroom apartment in the suburbs: €2,575 pcm
Paris Rental Market Latest
The Parisian rental market is undergoing significant shifts in the lead-up to the 2024 Summer Olympics. The anticipation of increased demand during the Games has led many property owners to favour short-term rentals, thus reducing the availability of long-term housing options. The continuous appeal of Paris as a global tourism destination, which has seen short-term rental prices rise by 2 to 2.5 times since the start of the year, only adds to this trend.
The Olympic Games are poised to leave a lasting mark on the rental landscape, with international visitors expected to drive continued demand for both short- and long-term accommodations even after the event concludes. This sustained interest will likely contribute to a tightening of the rental market, particularly for those seeking long-term housing solutions.
Average Monthly Rents in Paris
Paris’ average rental prices as of June 2024 were as follows:
- A one-bedroom apartment in central Paris: €1,346 pcm
- A one-bedroom apartment in the suburbs: €991 pcm
- A three-bedroom apartment in central Paris: €3,140 pcm
- A three-bedroom apartment in the suburbs: €2,269 pcm
Relocating and Need to Secure a Property?
Adleo 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, rounded & taken from Numbeo, 30th June 2024.
