Tenants who would like to make the most of Crossrail will pay up to 89% more to reside within arm’s reach of a Crossrail station a recent study by London rental platform, Rentd, shows and rental values within these postcodes have spiked by as much as 36% in the last year alone.
Below we take a closer look at the analysis done by Rentd which depicts how rental values in postcodes home to a Crossrail station have changed over the past year, and how they compare to the cost of renting across the wider vicinity they are located in.
Crossrail rental costs
The research shows that Crossrail rental values have climbed by 15% on average in the past year alone. Currently, renting within a Crossrail postcode costs £1,605 per month on average, which adds up to £207 in a single year.
The largest jump has been seen in Farringdon, with the average rent in the EC1 postcode increasing by 36% on an annual basis.
The W1 postcode has seen the second-largest annual increase and is home to both the Tottenham Court Road and Bond Street Crossrail Stations, with the average cost of rent up 33%. At £3,653 per month, it’s also home to the highest Crossrail rents in London.
The largest increase in rental values in the last year alone was seen by Forest Gate (31%), Liverpool Street (29%), Paddington (25%), and Whitechapel (25%).
Only one single Crossrail station is home to a lower average rent compared to 2021. Twyford has witnessed the average rent within the postcode of its Crossrail station fall by 15% in the last year.
It’s the SL1 postcode, however, that boasts two Crossrail stations in Slough and Burnham, where tenants can find relief with the most affordable rental properties with rental values in the area averaging just £1,080 per month.
Crossrail rental price premiums
When comparing the average rent in Crossrail postcodes to their wider local authorities, Crossrail stations also command a 15% rental premium.
The Crossrail rental price premium which tops the table is Tottenham Court Road and the average rent in the W1 postcode comes in 89% higher than the average cost of renting in Camden.
Those that also sit high atop the ranks are Liverpool Street (73%), Farringdon (47%), and Bond Street (45%).
Twyford is the only station where rental values around its Crossrail station are more affordable, coming in -5% below the wider cost of renting in Wokingham.
Founder and chief executive officer of Rentd, Ahmed Gamal, commented: “It’s not just homeowners who are benefitting from the arrival of Crossrail, landlords with rental homes within Crossrail postcodes are also enjoying a sharp uplift in rental values as a result of heightened demand.”
“It’s likely to become one of the most desirable aspects of a rental property for many tenants, who will be able to benefit from a quick commute and more affordable rental prices in areas they would otherwise not have considered.”
Gamal concluded: “Take the likes of Reading and Shenfield for example. While rental values have climbed by more than 20% in a year, they remain far more affordable from a tenant perspective when compared to many areas within the M25.”