Hi Farie,
I was looking for a place myself only last week, and I have to admit that it was really hard to arrange even a viewing! Worst of all, nobody believed me... It seems like a hard period when students come to London, and there is a shortage of housing. In this desperation I would almost take anything in any price.
I would advice to be cautious when "landlords" ask for deposits through Western Union.
Also you might consider to put your application in the residence, so you will be closer to work in a reasonable price.
It is going to be better from now on, new things seem to come up.