An influx of international tenants, including an uptick in wealthy Americans seeking refuge on this side of the Atlantic, and recent non-dom and stamp duty tax changes, is behind the huge rise in the super-rich opting to rent super-prime properties in London, according to a new wealth survey.
The lettings market for homes valued above £1,000 a week leapt by 154 per cent compared to the same period in 2024, with 1,588 high-value tenancy agreements generating £82.8 million in rental income, according to the Millionaires Letting in London survey. Demand for houses has been particularly strong among international families, with average long-term rents reaching £2,679 per week for homes and £1,842 per week for apartments.
Among recent headline-grabbing rentals was a £75,000-a-week tenancy near Berkeley Square in Mayfair, one of the most expensive lets ever recorded.
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Other notable lets included £28,000 a week mansion on Mansfield Street, Marylebone, a Wigmore Street apartment for £15,000 a week and a five-bedroom home on Princes Gate, let to repeat Middle Eastern clients for £22,500 a week.
Wealthy American families dominated long-term house rentals in prime areas such as Mayfair, Notting Hill and Kensington, Beauchamp Estates noted. According to the high-end brokers, their move across the pond was motivated by several reasons, ranging from anti-Trump Democrats escaping the US political climate to Trump-supporting investors looking for a European foothold.
[See also: Why so many wealthy Americans are moving to the UK]
Meanwhile, Gulf clients from Saudi Arabia, the UAE and Qatar drove both long-term and seasonal short-let demand, especially in Mayfair, Knightsbridge and Belgravia. Wealthy Israeli families preferred St John’s Wood and Marylebone, while affluent Western Europeans favoured Chelsea, Kensington and Notting Hill.
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By contrast, in the first half of 2024, just 559 lettings worth £32.6 million were made.
The new wealth survey analyses rental data from LonRes combined with Beauchamp Estates’ in-house data, off market deals and local market intelligence.
Chris Tinkler, lettings manager at Beauchamp Estates (Mayfair) said: ‘The London lettings market is being driven by continued strong demand from international tenants, especially American, Middle Eastern and European tenants.
In the short-let market this year we have also seen a spike in tenants from the Middle East coming to London to enjoy the spring and summer, a significant increase from last year when many visited continental Europe rather than the UK.’
[See also: Neighbourhood watch: where the super-rich really live in London]
Why the pivot to renting?
Demand in the prime central London (PCL) lettings market has outpaced that of the sales market for a while now. While some wealthy overseas investors are pulling out of the UK in response to a tougher tax regime, others are adopting a wait-and-see approach.
Many non-domiciled residents are selling London homes and choosing to rent while preparing to move abroad to tax havens such as Dubai and Monaco.
The abolition of the non-domicile tax status in April has sparked a rush of high-net-worth individuals looking to leave the UK. Under the previous rules, individuals could reside in the UK without paying tax on foreign income or gains.
[See also: The Roaring Twenties: Why London is in a ‘golden decade’ for super-prime property ]
The new regime limits this benefit to four years and brings worldwide assets within the scope of UK inheritance tax. As a result, many overseas investors, especially from the US, are looking for a short-term residence rather than putting down roots.
The survey highlighted the impact of stamp duty, which has made renting more attractive than buying, as well as falling rental stock, which has tightened supply and, as a result pushed up prices. Geopolitics has also played a big role in the wealthy choosing a base in London.
Jeremy Gee, managing director of Beauchamp Estates said: ‘The huge appeal of Prime Central London as a key destination for both short and long stays is evident, the luxury lettings market has doubled in size during the first half of 2025, compared to the same period in 2024. London’s luxury property market is hugely influenced by global political and economic shifts, rather than just domestic economic activity. ‘
