The Renters' Rights Act has caused unintended consequences, with tenants reportedly finding it difficult to secure affordable housing as landlords opt to sell their properties. The Daily Mail reports a growing imbalance between supply and demand, contributing to rising rents.
Propertymark has called on the government to invest in the private rented sector to encourage landlords to remain in the market. Nathan Emerson, chief executive of Propertymark, told Property118 that the Act represents one of the biggest changes to the lettings sector in over 30 years, strengthening tenant protections but also creating unintended consequences. He noted that some landlords are reassessing their involvement in the sector, with others choosing to sell.
This situation risks reducing the stock of private rented homes and increasing pressure on housing supply amidst growing demand. Emerson stated that the sector requires continued investment and support for quality landlords to ensure a diverse supply of homes. However, he also noted that it may be too early to fully assess the proportion of landlords selling properties due to the Act, as it was implemented only three months ago.
Laura Meyer, 28, told the Daily Mail that a shortage of rental properties is intensifying competition among tenants. She reported viewing around 50 places and making offers on three, none of which were accepted. Lydia Holt, 25, also shared with the Mail her difficulty in finding affordable rental properties in London, noting a significant increase in rent for similar properties.