Claims of a landlord exodus are ‘unfounded’

Fears that the Renters’ Rights Act will trigger a landlord sell-off of rented homes appear to be ‘unfounded’, research reveals.

The findings from OnTheMarket point instead to a steady two-year rise in landlords listing properties for sale.

Its figures track homes previously advertised for rent that were then relisted for sale within six months.

Act to trigger exodus

The firm’s president, Jason Tebb, said: “Much of the debate around the Renters’ Rights Act has focused on the idea that it will trigger a sudden landlord exodus.

“However, our listings activity data suggests a more nuanced picture.

“Rather than a sharp, policy driven cliff edge, the trend points to a market that has been shifting for some time.”

He added: “The increase in listings appears to have been building well ahead of the Act’s commencement, reflecting a combination of pressures that have been weighing on buy to let economics.”

Landlord property listings

The platform’s data shows converted listings rose 91% in January 2024 compared with the previous month, reaching 1,265.

That was also 41% higher than the same month a year earlier.

The number has continued to climb since then, rising 94% over the two years to January 2026.

However, March produced the sharpest monthly jump, with converted listings up 40% on February and more than double the level recorded in March 2024, at 120% higher.

That increase came two months before the Renters’ Rights Act was due to take effect.

OnTheMarket says the timing may reflect several pressures rather than the legislation alone.

The portal points to the spring sales market as one likely factor, with some landlords holding back until a stronger selling window appears.

Landlord behaviour changing

Mr Tebb said: “Higher interest rates feeding through since 2022, changes to the tax treatment of property investment, rising maintenance and insurance costs, and the relative appeal of alternative investments have all played a role in reshaping landlord behaviour.

“In that context, the Renters’ Rights Act looks less like the sole cause of change and more like a tipping point for some landlords who were already reassessing whether buy to let still stacks up.

“For some, it may be the final catalyst that prompts a market exit, but for others, it will be business as usual.”

Listings interpreted carefully

He continued: “That helps explain why the more recent rise in listings should be interpreted carefully.

“Part of the sharper increase this year may reflect timing, with some owners choosing to list into the traditional spring uplift rather than earlier, while wider economic and geopolitical uncertainty may also be encouraging landlords to simplify finances and reduce exposure.

“Overall, the data points to a sector in transition rather than one reacting to legislation in isolation.

“The key challenge now is ensuring that this structural shift does not exacerbate further supply pressures in markets where rental homes are already in short supply.”