Nearly two-thirds of rental property applicants at London agency Foxtons originate from overseas, according to internal data released by the company.
The figures, disclosed in a joint statement with alternative deposits provider Zero Deposit, highlight the challenges facing letting agents in the capital as they process applications from tenants without UK-based financial references or traditional guarantors.
The data suggests that international demand contributes to the capital’s rental market pressures, with London rents averaging £2,294 per tenancy—50% higher than the rest of Britain.
Guarantor solutions in demand
In response to the applicant profile, Foxtons has partnered with Zero Deposit to offer Guarantor+, a service designed for tenants unable to meet conventional guarantor requirements. More than 25% of properties across letting agents and Build to Rent operators now accept the product.
Sam Reynolds, Chief Executive of Zero Deposit, said: “London is unlike any other rental market in the UK. Rents are significantly higher than the national average, competition for homes is intense, and a large proportion of tenants are relocating from overseas.”
Reynolds added that 77% of London tenants select Guarantor+ when offered the option, reflecting the scale of demand for alternative referencing solutions.
The trend mirrors broader changes in the rental sector, where traditional landlord-tenant relationships are evolving amid regulatory and demographic shifts.
Referencing challenges
Gareth Atkins, Managing Director of Lettings at Foxtons, said: “London remains one of the most competitive rental markets in the country, but the diversity of today’s tenant base means the ability to connect landlords with a broader pool of suitable tenants quickly and efficiently has become increasingly important.”
He noted that international renters, students, and the self-employed—groups that frequently struggle with traditional referencing criteria—constitute a significant portion of London’s rental market.
The developments come as rental market competition intensifies across the capital, with overseas applicants forming an increasingly central component of tenant demographics.
The partnership between Foxtons and Zero Deposit reflects the letting industry’s adaptation to a rental market characterised by high international mobility and limited housing supply.
