A Brighter Start: Why 2026 Is Already Feeling Different for South London Lettings
Nobody working in lettings will pretend last year was easy. Well, they might say it was, but that’s the point – they’ll be pretending!
The pressures on the lettings market were real, and that definitely includes here in London. Demand did soften, and even occupancy rates dipped. For the first time in a long time, we had a couple of properties sit empty for a period – longer than anyone would have expected.
One flat in Clapham, in particular, almost became comical. Four separate tenancies fell through. Four!
Failed referencing. Changes of heart. A last-minute withdrawal. It was almost unheard of – but was a sign of just how cautious, jittery and stop-start the market became.
It has now been let, I hasten to add!
A changing mood in London lettings
This year already feels different.
We’re barely halfway through January, and the mood has distinctly shifted. Tangibly. Noticeably. And definitely quickly.
Last week we let two flats almost immediately, in the space of just a couple of days. One was just hours! Almost back to that feeling of ‘blink-and-you-miss-it’. Enquiries were strong, viewings were serious and the successful tenants were decisive – not the ‘take a couple of days to think about it’ that we were a bit more used to last year.
This kind of momentum matters because it really tells us that something fundamental has changed.
It’s not just our own experience either. At a lettings agents’ dinner earlier this week (yes, we do have them!), the general consensus amongst fellow property professionals was one of bubbling optimism.
This is a group that meets up every couple of months over at Marble Arch, so we often talk to the same people, and this was definitely not the feeling around the table last time out. It wasn’t negative then, as such – but it was burdened.
This time, that optimism we expressed was perhaps cautious – we’re all seasoned enough not to declare a boom every time the market picks up – but it was optimism there nonetheless.
The sense was that the market has absorbed the shocks it needed to and is starting the year with more confidence in its stride.
None of this means the challenges the market faces have disappeared. They haven’t.
Affordability is still tight for many renters. Regulation continues to evolve, with the Renters’ Rights Act set to phase in in stages from May 1. Landlords are still weighing up costs, compliance and long-term strategy.
None of that vanishes simply because the calendar rolls over.
But what has changed is the attitude.
There’s more decisiveness from tenants. More realism, perhaps, from landlords. Fewer people are sitting on the fence waiting for a “perfect moment” that may never arrive. Instead, we’re seeing a market that feels lively again; not reckless, not overheated, but engaged.
It’s a good place to be.
For landlords, it’s a reminder that well-priced, well-presented homes are still very much in demand. The fundamentals are all still there. People still need somewhere to live, and South London remains exactly where many of them want to be.
For tenants, it’s a sign that while competition exists, clarity definitely helps. Knowing what you want, being ready to say ‘yes’, and being prepared to move quickly makes all the difference in what is set to be a faster-moving London lettings market in 2026.
And for us as a letting agent and property management business in Streatham Hill? It’s energising.
Last year tested everyone in the sector in different ways.
This year feels like one where experience, relationships and a steady hand on the tiller will come into their own. We’re not pretending it’ll be plain sailing, though.
We are here for it, however – we’re here for a market that’s ambitious, optimistic and moving with intent.
If the first few weeks are anything to go by, 2026 has got off to a genuinely positive start for South London lettings. Long may that momentum continue.
