Trump’s Tariffs – What Do They Mean for South London’s Rental & Investment Market?
With Donald Trump announcing his so-called ‘Liberation Day’ tariffs yesterday, including a 10% tariff on British imports to the USA, concerns about economic headwinds are once again making headlines.
But although it isn’t specifically a property market story, we know that the health of our housing sector is intertwined with that of the economy. So with so much being said about tariffs, trade wars and economic consequences, what are the implications for our local housing market? What does it mean for landlords, tenants, and those looking to invest in South London property?
A Background of Resilience
Tariffs are likely to contribute to higher inflation and may well slow down growth, reducing GDP. Much as we may wish to ignore it, it is likely we will see ripple effects in the property market. Higher inflation could stall further base rate cuts, or may even lead to these being nudged up again – against previous expectations. At the very least, it is likely that we will see mortgage rates push up.
For landlords and investors, this might sound like cause for alarm. But, it is important to remember that the South London rental market is no stranger to uncertainty – and more to the point, it has consistently shown its resilience through past economic troubles.
Demand from South London Tenants Remains Strong
The reality on the ground is that tenant demand has remained robust throughout Q1 2025, with activity across South London significantly up compared to this time last year.
As affordability pressures mount for would-be first-time buyers – especially after the recent reduction in first-time buyer Stamp Duty relief – many will remain in rented accommodation for longer. This creates upward pressure on the demand for good-quality rental homes – which realistically offers opportunities for Landlords and Investors.
Areas such as Streatham, Dulwich, Tooting, and Clapham continue to attract working professionals and families alike, drawn by excellent transport links, schools, and the vibrant, cosmopolitan lifestyle that South London offers.
So What Could Change?
We might see:
- Tenants becoming more cost-conscious as the general cost of living rises.
- Landlords needing to plan carefully regarding mortgage costs if rates begin to edge back up.
- Investors considering their yields more closely, factoring in both rent levels and finance costs.
However, those who price fairly, offer good-quality homes, and keep a steady hand on their investment will still find a healthy, active market. Tenants seek stability in these times – which means the best rental properties will see longer occupancy periods, and that means consistent monthly rent payments from good quality tenants.
Opportunity from Uncertainty in the South London Lettings Market
History has shown that periods of adjustment often present opportunities for landlords and investors who are bold and well-prepared. Rental demand typically strengthens during periods where homeownership feels harder to access, and with a resilient tenant base here in South London, that trend is set to continue.
In Summary
While Trump’s tariffs may be the headline today, the fundamentals of the South London rental market remain strong:
- A limited housing supply
- High tenant demand
- Continued attraction for professionals and families – exactly what landlord investors need
At Your Home Managed, we’ll be keeping a close eye on market conditions and advising clients on how to navigate the months ahead.
If you’re a landlord, tenant, or prospective investor, stay tuned to our socials and our blog page, to be kept informed. As always, we’re here to help you make sense of it all.
