Fed-up landlords leaving the PRS push up rents

Fed-up landlords leaving the PRS push up rents

11:36 AM, 10th February 2023, About A year ago 3

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The number of available rental properties fell by 7.8% last year, compared to 2021, and by more than 25% since 2019 as growing numbers of fed-up landlords leave the private rented sector (PRS), research reveals.

The survey from TwentyEA points to tax, regulatory and cost environments ‘becoming less enticing’ for the exodus.

And the lack of homes to rent means that tenants are ‘undoubtedly deferring decisions’ to buy a home of their own as potential buyers struggle with higher house prices, inflation and interest rates.

‘Higher interest rates and inflation may be passed on by landlords’

Stuart Ducker, TwentyEA’s strategic solutions director, said: “This trend is likely to continue as higher interest rates and inflation may be passed on by landlords whilst supply constraints and demand pressures continue to apply.

“Our research shows that the lack of rental properties available in the market in 2022 in comparison with 2021.

“Aside from inner London, all regions sit between 1.5- and 3-months stock. The situation has deteriorated considerably in London, Scotland and Northern Ireland.”

He adds: “Any major improvement in rental stock availability remains in question with interest rates rising, a squeeze on the availability of mortgages, particularly buy-to-let, and the fiscal and legislative changes from prior to the pandemic that is less enticing for landlords.”

Lack of rental stock has seen rents soar to £1,652

The lack of rental stock has seen rents soar to £1,652 at the end of 2022 – an increase of £200 since 2021 and almost £300 since 2019.

Elsewhere numbers were generally low apart from Peterborough and the South West which saw some modest growth.


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Comments

Rv Suzuki

14:03 PM, 11th February 2023, About A year ago

After 30 years I am in the process of selling our properties. 30 years of jumping through every single hoop. We are an accredited landlord recognised by the local authority and recognised for helping to house difficult tenants ,everybody else hates us there's not really anything else to say.

Bulley Mitchell

16:00 PM, 11th February 2023, About A year ago

"Rents have risen to £1652" is totally meaningless without some context .
Is this per month, room, person or what ?
If an average across the country it means little as we all know it's location location location.

Rich Robson

10:55 AM, 17th February 2023, About A year ago

Why is it that gas and electric companies can break into your rental to fit smart meters because the tenant owes them money. But if they owe me thousands in rent, i cant even change the locks.

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