Approximately one in four London landlords who listed properties for sale following the implementation of the Renters' Rights Act have since returned them to the rental market. This data comes from Chestertons, an estate agency.
The agency's analysis indicates that five months after the tenancy reforms came into force, a notable proportion of property owners in the capital have reversed their decision to exit the buy-to-let sector. Rising rental yields are cited as a key factor in this change.
Adam Jennings, Head of Residential at Chestertons, stated that stronger rental growth may be encouraging some landlords to retain their properties, which could help balance supply and demand. He also noted that London's sales market shows encouraging signs of stabilising.
This trend contrasts with earlier industry reports suggesting a significant exodus of landlords from the rental sector. Last month, TwentyCi reported that over 500 properties were exiting the market daily since the Act's implementation, marking the highest rate since 2016.