London Rental Yields Rise as Market Shows Resilience
Lettings

London Rental Yields Rise as Market Shows Resilience

By Jordan Hale, Senior Lettings Editor · 26 July 2026 · 1 min read

Editor's note: This brief was summarised by The Property AI Newsroom from a report by Letting Agent Today. Read the original article for full details.

London Rental Yields Edge Up, Tower Hamlets Leads

The average rental yield across London has risen to 5%, up from 4.9% a year ago, according to figures from lettings agency Benham and Reeves. The agency states that this increase highlights the ongoing resilience of the capital’s rental market despite broader economic uncertainty.

Tower Hamlets has emerged as the most profitable borough for buy-to-let investors, with an estimated gross rental yield of 6.3%. This represents a notable rise from 5.5% recorded in the same borough a year earlier.

These figures may be of particular interest to letting agents and inventory clerks monitoring trends in rental returns and market performance across London boroughs.


Source: Letting Agent Today
About the author
Jordan Hale
Senior Lettings Editor

Jordan Hale leads The Property AI's lettings coverage with a focus on UK rental legislation, agent compliance, and the day-to-day pressures facing letting agents. Articles bylined Jordan Hale combine current trade reporting with practical guidance for letting agents and inventory…

Specialises in: Renters' Rights Act, EPC regulations, tenancy deposit schemes, agent licensing, Right to Rent compliance.

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