An article by Buzzfeed has revealed that the number of apartments available for rent in London is down by 40% from the peak in May, after a dramatic rise in demand in recent months.
The article cites figures from Rentrak, which estimates that more than 1,000 apartment properties were sold in the first three months of this year, compared to 1,955 a year ago.
This represents a 38% decline, which comes as the number available for rentals in the capital is set to drop by a further 10%.
The latest figures from the Greater London Authority (GLA) show that the market has now lost more than 50,000 listings since the beginning of May, while there are currently just over 40,000 homes in the pipeline for sale in the city.
The biggest change in demand for rentals has been the fall in sales of existing homes, with the number falling by more than half in the last 12 months.
The total number of properties sold in May fell by 9.3% compared to the same month last year, with just over half of all homes sold in London having been built in the year since the crisis.
The number of units sold in June fell by 16.6%, while the number sold in July fell by 5.7%.
In July, the average price per square metre fell by 2.5% on a year-on-year basis, while the average selling price rose by 1.4%.
The fall in the number selling is largely down to the fact that new supply is beginning to build.
According to the GLA, the number building homes per week has risen to just under 3,000, and the number leasing properties is rising.
But, the affordability crisis has seen a further drop in prices, with rents in London falling by a whopping 40%.
The average rent for a one-bedroom flat in London was £1,769 in May 2017, compared with £1.634 in June 2017.
At the same time, prices have dropped in some of the most popular areas of the capital, such as central London, where rents are now at their lowest level in almost a decade.
However, the rise in prices is not without its problems.
Rents in some areas have soared, as have rents in some parts of the city, such at the Shard, where the average one-bed flat costs £1 to rent.
Some landlords have also taken advantage of the economic crisis to increase rents.
The GLA reports that the average number of nights of rent per month has risen by nearly 15% in the past year.
This compares to a 7.2% rise in the average monthly rent in January 2018.
And while it is unlikely that the city will see a full recovery in the near future, it is likely to see a further rise in rents in the next 12 months, with some areas of London reporting rents rising by more.
While the GLa says that the fall has affected many tenants, there have been many reports of landlords turning to social housing tenants, who have been forced to move out because of the financial crunch.
Rentrak says that it has seen an average of 885 new social housing households built per week over the past 12 months in London, but the average rent in the UK is now £2,858.
However there is still a way to go to end the crisis, as it is believed that many landlords are now turning to more speculative investments in order to pay for their rent.