JLL Residential Forecasts 2024-2028 update

The announcement of the July election (unintentionally) coincided with the release of our revised JLL housing market forecasts. Price falls, which we had forecast to see in early 2024 have largely failed to materialise, as more competitive rates entered the market. This means we now expect prices to rise by +2% nationally this year, compared to our previous forecast of -3% made in October 2023.

Lower value markets are expected to outperform this year. As rates improve, we expect London to lead, with growth in both Central and Greater London expected to be higher than the national average over the five-year forecast period.

Our research points to city centre markets as the primary driver of growth. The demand for urban living and the projected growth in households propel these markets forward over the five-year forecast period. As cities continue to attract young professionals and lifestyle seekers, the demand for rental properties in central locations is set to remain strong, contributing to the robust market performance.

More balance appears to be emerging across the rental market, as the gap between tenant demand and landlord instructions reached its lowest level in four years, according to the RICS Residential Market Survey. A net +33 of respondents expect rent rises in the next three months. Though high, this is the lowest reading since 2021. Despite this shift, JLL expects a continued imbalance and anticipates rent increases across all markets year-on-year for the next five-year period. According to our updated forecast, which account for 2024 as an election year, rents are expected to rise by 4.5% nationally in 2024, with growth of 18.8% between 2024 and 2028.

For more on our updated forecasts please click here.

JLL forecasts

Sales price growth (% pa)20242025202620272028Cumulative 2024-28Average pa 2024-28
Central London0.
Greater London1.
Rental growth (% pa)20242025202620272028Cumulative 2024-28Average pa 2024-28
Central London4.
Greater London5.

Source: JLL
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