Recent research by Foxtons has revealed that Build to Rent residences presently constitute nearly 2% of all privately rented properties, and as much as 4.2% in the London area.

Foxtons conducted an examination of annual Build to Rent completions within the overall market stock since 2018. The focus was on determining the proportion of total private rented sector (PRS) stock represented by this sector and assessing its growth trajectory over time.

In 2018, Build to Rent completions amounted to 31,409, making up only 0.6% of the 5.5 million privately rented homes within the lettings sector.

Since that point, the Build to Rent sector has experienced consistent growth each year. By 2020, the number of Build to Rent units within the rental market reached 58,844, marking the first year the sector accounted for more than 1% of the total PRS.

This figure further increased to 100,372 in 2023, signifying a 69% rise since 2013. In contrast, total PRS stock increased by a mere 3% during the same period.

Currently, the Build to Rent sector constitutes 1.8% of total private rental market stock, representing the highest proportion observed since 2018.

Notably, the growth in market share is more pronounced when examining the London market exclusively. In 2018, Build to Rent completions comprised only 1.8% of the capital's total PRS stock.

Following the broader UK trend, Build to Rent completions and market share demonstrated consistent annual growth. Presently, Foxtons reports that Build to Rent homes account for 4.2% of the capital’s PRS stock, with completions having increased by 61% since 2018.

Sarah Tonkinson, managing director of Foxtons Institutional PRS and Build to Rent, remarked, "We’ve seen phenomenal growth across the Build to Rent sector in recent years, particularly within the London market, and, as a result, Build to Rent completions now account for their highest proportion of total PRS stock."

Tonkinson acknowledged the sector's relative infancy but pointed out its substantial potential for further growth. She noted tenants' evolving expectations for quality rental accommodation and the security offered by long tenancy agreements, emphasizing the Build to Rent sector's ability to meet these demands. Tonkinson anticipates increased demand and rising stock levels to align with the changing needs of renters.