The W2 and W1 property markets are experiencing a notable uptick in activity as Spring progresses.

The W2 and W1 property markets are experiencing a notable uptick in activity as Spring progresses. As the market continues to absorb changes announced in October’s Budget, we expect to see an increase in property listings, offering buyers more opportunities and boosting viewing levels.

What’s happening in the Hyde Park rental market?

Competitive pricing remains crucial for generating interest. In the rental market, Hyde Park remains highly sought-after, with rising enquiry levels for accurately priced property. The impending Renter’s Rights Bill is influencing both landlords and tenants, potentially leading to higher maintenance standards and possible rent increases as some landlords consider selling. Overall, the area’s property market is poised for an active Spring, balancing new opportunities for both sellers and landlords.

Hyde Park housing market performance: key highlights

• ^ The number of buyers registering with Cluttons Hyde Park has risen in Q1 2025
• +11% Annual change in number of properties available for sale to March 2025
• -0.7% Annual change in value of prime central London property, 3 months to March 2025
• -10% Annual change in the number of properties available to rent, year to Feb 2025
• +8.8% Annual change in achieved rents, year to 2025

What’s happening across the rest of London’s housing market?

Gráinne Gilmore, Cluttons’ director of research, shares the latest insights into market trends.

Source: see below

Activity in the prime London sales market picked up late last year and has maintained this momentum in the first three months of 2025. Some transactions were brought forward by those aiming to beat the deadline of 1 April when stamp duty thresholds rose back to 2022 levels after the ending of the stamp duty ‘holiday’.

Sales transaction levels should remain robust in the Spring period, and the stock of homes for sale continues to climb. However, pricing in the prime central London market is down around 2.6% on the year as the market continues to absorb changing policy and economic conditions. Pricing, especially for apartments used as pied-à-terres will have to take into account the higher stamp duty charges for those buying a second home, as well as the higher mortgage costs compared to early 2022. The global economic landscape remains volatile, but we are expecting two or three further base rate cuts this year which will underpin activity.

Demand in the rental market is also strong, although it has eased compared to the peak 18 months ago. The supply of homes for rent in prime London remains constrained, and this will continue throughout the year, especially as new rules come into force under the Renters’ Rights Bill. The imbalance between supply and demand will underpin rental growth, but the growth rate will be more modest this year than that of the last two years, which has led to stretched affordability in some markets.

Sources: Cluttons Hyde Park, Lonres, Savills. Data referenced covers W2, W1G, W1U and Cluttons Hyde Park patches. Source for chart: Savills.

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