The Islington property market is experiencing a dynamic shift, with more properties coming to the market for sale, driven by landlords exiting and homeowners relocating.

While demand remains consistent, buyers are taking time to assess options, making the market highly price sensitive.

What’s happening in the Islington rental market?

In lettings, demand significantly outstrips supply, pushing rents upwards. High-end properties are attracting particular interest, with corporate relocation agents and wealthy renters expanding their focus to N1. Landlords have an opportunity to upgrade properties ahead of anticipated Renters’ Rights Bill changes. Those landlords emphasising property maintenance and quality will be best positioned for future market conditions, as some landlords exit, further impacting supply. Overall, Islington remains a highly sought-after area for a diverse range of property seekers.

Islington housing market performance: key highlights

• ^ Buyers registering interest with Cluttons Islington has risen in Q1 2025
• +1.7% Annual change in sales prices, 2024
• -7% Annual change in number of properties available for sale, year to Feb 2025
• -1% Annual change in achieved rents, year to Feb 2025
• +22% Annual change in number of properties available to rent, year to Feb 2025

What’s happening across the rest of the London 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 London market remains largely flat year-on-year, while prices have dropped by -4.2% in the wider Islington market year to February 2025. 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 Islington, Lonres, Savills, ONS. Data referenced covers N1, N5, N7 and Cluttons Islington office patches. Source of chart: Savills.

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