This year, London home rental prices hit record as demand outstriped supply, with the average tenant now being asked to pay a whopping £2,500 a month for a new let.
Within this rental market, individuals seeking short-term accommodations encounter greater challenges. My roommates and I was looking for a house/flat for co-renting with a 6-month tenancy, and we put in a significant effort throughout the entire month of August by searching and making inquiries about over 170 properties before finally settling down. Using Python in Visual Studio Code, I hereby analyze the data in our list of properties, which might provide an insight for your search and budget.
What you will learn in this article:
- Trade-off between comunicating time and rent.
- Key factors that determine rent.
- Strategies to find your property.
Photo by João Barbosa on Unsplash
Trade-off Between Comunicating Time and Rent
We browsed websites such as OpenRent, RightMove, Spotahome, and Zoopla during our search. We documented the features of 174 properties, capturing details including price per calendar month, tenancy, number of bedrooms, number of bathrooms, maximum number of tenants, location (zone), and comunicating time to my School (London School of Hygiene and Tropical Medicine) measured using Google Maps.
First, the majority of rental properties in the market typically require a minimum one-year tenancy commitment, whereas our preference is for a shorter-term tenancy of more or less 6 months, with the option to extend if everything proceeds smoothly. Hence, among the targeted properties that specified their tenancy requirements, 81% state their acceptance of a minimum 6-month tenancy.
Here I provide a overview of our data by price, communicating time, and the number of bedrooms. The range of rent is between £1,850 to £4,500, while the range of communicating time is from 17 to 67 minutes.
If you are also sensitive to both cost and time, you can observe a noticeable pattern through simple linear regression. It suggests that you need to invest approximately £19 in order to gain an additional minute of time saved on your commute to school.
To validate the assumption of normality and homoscedasticity in the regression model, I make QQ-plot and random clouds. They seem pretty good.
I also use K-means clustering algorithm to find the most suitable number of clusters according to rental costs. There is a substantial disparity between the outcome obtained using the elbow method and the Silhouette Score. The elbow method indicates that 4 clusters would be optimal, aligning somewhat with the established property zones. In contrast, the Silhouette Score suggests for a more fine-grained segmentation into 9 groups.
Key Factors That Determine Rent
Aside from communicating time, many factors also contribute to our living qualities. When conducting a multiple linear regression analysis, I identify that several variables significantly impact rent:
- Property Zone: Choosing to reside in Zone 2 instead of Zone 1 can result in a savings of £319, while opting for Zone 3 over Zone 2 can lead to a savings of £102.
- Number of bedrooms: Acquiring an additional bedroom is associated with an increased cost of £384.
- Number of bathrooms: An additional bathroom comes with an added expense of £62.
On the other hand, certain factors appear to have less influence on rent, including directional location of the property, maximum number of tenants, and minimum tenancy.
Strategies to Find Your Property
When seeking short-term accommodation in London it’s imperative to dedicate substantial effort to locate and secure your perfect property within this highly competitive rental market. In the following sections, I will outline three useful strategies that can enhance your search and help you save valuable time:
1. Establish Your Financial Parameters and Objectives
Begin by determining your budget constraints and the anticipated duration of your stay. Identify essential amenities that align with your preferences, such as a two-bathroom layout, laundry facilities, access to a rear garden, or parking availability. Additionally, be sure to specify your desired move-in date.
If your plan involves a shorter tenancy, be prepared for the possibility of residing further away from the center of London. Generally, properties locate in Zone 3 or the outskirts of London are more amenable to short-term tenancies. In addition, many landlords may require you to make an upfront payment of the total rent, if you lack a job, a reliable financial history, or references.
2. Utilize Appropriate Online Platforms
Consider exploring channels such as Spotahome, OpenRent, and various Facebook groups for your search. Spotahome operates in a manner similar to Airbnb, offering a comprehensive online process prior to your arrival. OpenRent may have a little landlords open to short-term tenancies, especially those looking to rent out properties located in remote or less competitive areas.
However, exercise caution in Facebook rental groups, as scams can be a concern.
Mainstream websites like RightMove often feature properties gear toward long-term rentals, so they may not align with your short-term needs.
Lastly, don’t hesitate to contact a local agency to seek their assistance in locating a suitable property. Nestify is a good choice, since all of their properties are available for 3-9 months.
3. Act Swiftly
In the fast-paced environment, it’s essential to act swiftly to secure your desired house. You should regularly check rental websites that I mentioned for new listings everyday. Hot properties get inundated with inquiries. Send a detailed introduction to the landlord or agency.
Once a viewing is confirmed, whether in-person or virtually, make your decision promptly, I mean, in hours! Stay proactive throughout the process of paying deposit and signing contract. Delaying the process could result in the property being offered to other interested parties.
Conclusion
I exemplify the know-how for searching for short-term accommodation London. Drawing on evidence-based analytics, this article offers data-driven insights into several factors influencing the cost of short-term rentals.
Navigating the complex world of real estate in London can be daunting, but this article aims to anchor readers in their decision-making process.
Wishing you the very best of luck in your search!
This article is also published on Medium。