Super-rich would rather rent than buy

By the Editorial Team · Tuesday, October 13, 2026

Wealthy individuals in London are increasingly choosing to rent luxury homes, with a 4 percent rise in leases for properties renting above £150,000 annually over the past year. This trend is driven by tax changes and political uncertainty that have slowed high-end property sales and prompted many buyers to delay purchases until policy clarity improves.

A growing number of wealthy individuals in London are opting to rent rather than purchase luxury properties, according to recent data from JLL, a leading estate agency. Over the past year, a record 338 high-end homes in prime central London—with annual rents exceeding £150,000—have been leased, marking a 4 percent increase compared to the previous year.

This shift follows significant changes to the tax landscape that have affected the high-end property market. In 2025, the government abolished the non-domiciled tax status, which had previously allowed wealthy residents to avoid paying taxes on overseas income. In addition, stamp duty rates for overseas buyers acquiring additional properties have increased substantially, with some transactions now incurring charges as high as 19 percent.

These fiscal adjustments have led to a notable slowdown in the prime property sales market. JLL reports that properties typically priced above £5 million have seen a 7.2 percent average price decline over the last 12 months. Since peaking in 2014, such prime London homes have lost about 25 percent of their value on average. Between July and September, 457 homes valued at £5 million or more were sold—a decrease of 11 percent from the previous quarter—with sales peaking in July.

Industry experts suggest that many high-net-worth buyers are holding off on committing to purchases amidst political uncertainty ahead of the next general election. The Conservative Party has proposed abolishing stamp duty on main residences if it gains power, which some potential buyers are awaiting before re-entering the sales market.

Meg Elgington, associate in JLL’s UK residential research team, said the desire to maintain a presence in London remains strong among affluent buyers. "However, many are opting to rent temporarily while they await greater clarity on policy," she added, noting the flexibility renting offers during uncertain times.

The subdued sales activity and increased supply of properties for rent have also contributed to landlords acting as “accidental landlords,” with some owners turning to the rental market in response to stagnant sales. This surge in rental availability has tempered rental price growth at the top end of London's market, with rents rising just 0.5 percent over the past year.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.