Landlords continue to sell as 290,000 homes lost from the PRS

The maddest thing of all is that when a landlord decides it’s time to sell, anyone insane enough to take over has to immediately pay a 5% government-mandated penalty tax just to keep the tenant in their home instead of evicting them, making eviction almost inevitable. And then GR et al are raging about landlords making tenants homeless and how govt needs to really teach landlords a lesson for such terrible behaviour, first and foremost by abolishing section 21!
Seriously, they have all spent far too long at the Mad Hatter’s tea party!
If they were serious about eliminating “no-fault evictions” they would immediately abolish this horrific rule. But there will likely be more no-fault evictions via section 8, not fewer, if govt continue to ramp up their war on landlords.

Landlords are only responding to the market as the govenment makes the PRS more expensive for landlords, so the rents HAVE to go up, to pay for the increase in costs. It’s either that or those landlords have to sell up, which causes more harm because there’s less property on the market to rent, which also causes rents to rise in a supply and demand marketplace.
So when costs go up for landlords, so the rents have to go up to pay for it. Punishing landlords is merely punishing tennants down the line, with increased rents. Rent controls have been tried many many times, and it never ever works. Landlords just sell up and exit the market once the profits are not there anymore, thereby removing yet more rental properties from the PRS market.
The best way to solve the housing crisis is to allow a free market, cutting taxes for landlords, abolishing Section 24, bring back section 21, lower the tax bills, and bring back 100% mortgage tax relief, like with all other businesses. They all get tax relief on their investments. None of them could survive with out it!
By making the market open and free, rents will drop as there will be more investment in rental properties, (the PRS). House building will also increase, increasing the number of properties available for rent, thereby reducing rents, due to more competition among landlords for fewer tennants looking to rent.
When something is scarce, and in high demand, the price of it goes up. When something is common, and not much in demand, the price of it goes down. It’s simple ecconomics, class 101. Durrh!

I was hanging in there but recent court experience with benefit leeching tenants has taught me an expensive lesson.
But just selling one at a time as don’t want a bunch of empty properties in a dead market.
Never again granting an AST.

All mine empty of tennants, and either sold or in the process, some unfortunately section 21 and advanced possession orders used luckily judges granted in weeks not months, used professional Landlords company cost a bit but worthwhile, good people forced out due to government interference, I fear for what the private lets sector will be like in 4 years time, mostly for renters

Reply to the comment left by Mike231 at 15/07/2025 – 16:32
I expect it will be like the 1970’s. Rent controls and sitting tennants demanding £10,000’s from you, to vacate your property, all the while the Councils and Judges will be giving out fines to landlords like confetti.
Eventually there will be no rental properties available to rent, and tennants will be unable to move, even if they want to.

It’s really makes me wonder if anyone in this (and previous) government can count and do some basic predictions. I made an offer for a cheap 2 bed terrace back in January hoping to achieve £475-500pcm for it, £550 tops if I do improvements. By the time we completed (unfortunately it took forever) it was June and rental prices for similar properties were £550-575 (before any improvements). The very day I turned up on the street I started having people knocking on the door asking if it was going to be a rental and if they could be considered. I accepted a tenant offering £650pcm while I was still refurbishing the place, the property had never been advertised, I signed a contract with the agent but they didn’t even have a chance to take any photos as works were still in progress. I suspect if I had advertised it properly I could have achieved £700. It did become a nice property at least inside but nevertheless it’s still an old terrace in not the best area.
It really shows the demand and desperation and it’s only going to get worse if the government carries on the way they do.

I’m selling my portfolio because I can’t afford to keep them.. the tax is crippling me!

When will the Government realise that they are crippling landlords like me, and then on the other hand are paying these ruthless landlords a fortune in housing asylum seekers and social housing tenants!!
Absolute joke!!

Reply to the comment left by Karen Cadore at 18/07/2025 – 05:54
And in addition, Labour wants to have a tax raid on landlords.

Reply to the comment left by Charlotte Goodwin at 14/07/2025 – 22:29
I am selling three properties at the moment one has been for sale for over a year, very reasonable price but still no takers, it’s in a coastal town with very little employment great rental market but no one can afford to buy. One more off the rental market, LEGISLATION!!!

Reply to the comment left by Karen Cadore at 18/07/2025 – 05:54
That’s where our taxes and double council tax is going to house the asylum seekers and the social tenants.

The government is wanting to penalize the landlords, as they are not building any social housing. They have no know how or any skills. No qualified judgement but put there in parliament as bunch of idiots. Their talents lie in just persuading the public as to how good they are at doing their job but without any outcome. Angie promised lots of building work for social tenants but practice she has no clue where to start. Mind mapping with doodles on the plans. No clue where to begin, cannot get any decent builders as they know they cannot sell as BTL so no idea where to begin. One year of stagnation. under 4 years to build. Not shame for nondelivery