Elizabeth line popularity drives housing demand along the railway

Rental homes along the Elizabeth line have seen an increase in popularity, with the greatest increase further out from London, at the ends of the Elizabeth line.

This could indicate that living away from the centre has become more accessible with larger homes for lower rents becoming more viable now that there’s a more reliable travel link into London for work.

According to Rightmove, the biggest increase in demand from renters is near stations furthest out, including Reading (+32%), Brentwood (+26%) and Shenfield (+25%).

The downside is that competition between tenants to rent a home has intensified, with demand in Ilford nearly doubling as demand continues to outstrip supply in the rental market. Elsewhere, Gidea Park is the most in-demand location for buyers and Ealing Broadway has seen the biggest rise in prices.

All this compares to a small drop in tenant demand in London of 2% versus this time last year and coincides with a bigger proportion of renters looking outside of major cities, in search of cheaper rents further out or an available home that suits their needs.

In London, 39% of renters enquiring to move home are looking outside of the city, up from 32% this time last year.

The average asking rent for a home in Reading is £1,401 per calendar month (pcm) and has risen by 10% over the last year, compared with an average of £2,501 pcm in London where asking rents for new tenants have risen by 14% over the last year.

In the sales market, Gidea Park is the most in-demand area near an Elizabeth Line station, followed by Brentwood & Shenfield, while Ealing Broadway has seen the biggest increase in asking prices.

The average asking price for a home near Ealing Broadway station has risen by 9% over the last year, and is now £886,251, up from £812,394 last year.

Rightmove’s property expert Tim Bannister said: “A shortage of available homes, record rents and the ability for many to work from home are all contributing to renters casting their net wider and exploring new areas to live in, in many cases further away from major cities. The Elizabeth Line has opened up new options for renters needing to commute to different areas of London, and in many cases with cheaper asking rents than typical London hotspots.”