For years, many landlords have viewed letting agents as an optional cost rather than an essential service. That mindset, however, is now becoming increasingly difficult to justify.

We are now operating in a rental landscape that, owing to the introduction of the Renters’ Rights Act, is changing at a pace and scale not seen before. In light of these changes, it is time we properly recognise the critical role letting agents will play moving forward.

Over the past year, I have travelled the country delivering talks, seminars and workshops to both landlords and agents, helping them prepare for what lies ahead. The overwhelming theme has always been uncertainty, but also opportunity, with a clear shift in mindset among many self-managing landlords.

What I have consistently observed is that landlords broadly fall into three categories. There are those who remain unaware of what is coming, those who are aware but understandably confused, and a smaller group who are taking proactive steps to protect their position.

Self-managing is not sustainable

The reality is that most landlords do not operate as full time professionals. They have other careers, other commitments, and limited time to keep up with constant regulatory change. Yet despite this, the number of self-managing landlords appears to be rising rather than falling.

In one recent training session I delivered, around 80% of landlords were managing their properties themselves. However, when you speak to them, you can see the shift happening. Landlords are starting to realise they need to place a value on their time. Many are beginning to question whether doing everything themselves is still sustainable.

I am also seeing a growing number of more established landlords who are simply becoming tired of the day-to-day demands of hands-on property management. In many cases, the next generation has no interest in taking it on, but equally, they are not yet ready to sell. For those landlords, a good letting agent becomes the obvious solution.

This is where the opportunity lies.

Industry to step forward

Letting agents must position themselves not as an added expense, but as a safeguard against risk, loss and unnecessary stress. The cost of getting things wrong has never been higher. Non-compliance is no longer a minor inconvenience that can be fixed later – it can mean financial penalties, reputational damage and in some cases, the inability to regain possession of a property.

Agents…must show landlords, in real terms, that their services are not simply administrative, but strategic.”

Agents need to be far more assertive in demonstrating their value. They must show landlords, in real terms, that their services are not simply administrative, but strategic. This is about ensuring compliance, delivering long-term stability and most importantly, protecting an investment which someone has worked hard to achieve.

As letting agents, you know that your role goes far beyond tenant find or rent collection. It is about navigating legislation, managing increasingly complex tenancies, maintaining standards, and providing landlords with genuine peace of mind. The question is, are you making that clear enough to landlords?

For the dozens of hours agents invest in full management, many are still underpaid. That has to change, and it starts with how the service is positioned and communicated.

Significant changes

The upcoming legislative changes are extensive and, in many cases, highly technical. Even experienced landlords will struggle to navigate them with confidence.

The most significant changes include:

– The end of fixed term tenancies, with all agreements moving to periodic structures where tenants can give two months’ notice at any time.

– Restrictions on rent increases, limiting them to once per year and requiring formal processes.

– The introduction of a Decent Homes Standard alongside Awaab’s Law, placing strict obligations on landlords to address issues such as damp and mould within defined timeframes.

– New rules around pets and tenant selection, making it unlawful to unreasonably refuse tenants with children or those in receipt of benefits.

– Increased enforcement and compliance requirements, including the need for robust record keeping of safety certification and ombudsman registration.

Practical requirements

Alongside this, there are immediate practical requirements that many landlords are simply not prepared for.

For existing tenants, landlords must provide the Government’s information sheet by 31st May, explaining clearly how the Renters’ Rights Act affects their tenancy. This is a standardised document issued by the Government to ensure all tenants receive consistent and accurate guidance, but the responsibility for serving it sits firmly with the landlord.

For new tenancies from May 2026, landlords must supply clear written details covering key terms such as rent, responsibilities and contact information before the tenancy is agreed.

Crucially, landlords who have operated on informal or verbal agreements will now be required to formalise those arrangements in writing. Many will have no idea where to begin.

There are millions of landlords in the UK, and a significant proportion will need to take action within a very short timeframe.

This is where the scale of the challenge becomes clear. There are millions of landlords in the UK, and a significant proportion will need to take action within a very short timeframe. Many will not realise this until it is too late.

Untapped landlord market

While there is much discussion about landlords leaving the sector, there is another side to this story that should not be ignored. There remains a vast number of landlords who have never used letting agents or who have moved away from using one in an attempt to reduce costs. These landlords represent a significant untapped market.

Many are unaware of the true extent of their obligations. Others underestimate the risks they are carrying. Some have had poor experiences in the past and are reluctant to re-engage.

Letting agents need to address this directly. They must communicate clearly and confidently not only what they do, but why it matters.

Building trust and demonstrating value

In my experience, the decision to use a letting agent comes down to two key factors: communication and professionalism.

Landlords who choose to self-manage often do so because they do not fully understand what they would be paying for. That is a failure of communication from the industry.

Agents should be far more transparent in outlining their services and the tangible benefits they deliver. They should also highlight that their fees are tax-deductible, which is often overlooked but can significantly change the perception of cost.

This is also a time for letting agents to rethink how their services are structured and presented. Traditionally, landlords may have been offered a straightforward choice of let only, rent collection or full management. That model is now too simplistic for the reality we are operating in.

Full management in particular may no longer be viewed as a single, standardised service. The growing weight of compliance, legislation and tenant expectations means it should be broken down into clearly defined tiers that reflect the true level of work involved.

Agents should be looking at how they build this into a structured and transparent menu of services. This is not about complicating the offer but rather properly valuing it.

A defining moment 

For years, the lettings sector has called for greater professionalism and recognition. That moment has arrived. This shift in legislation will raise standards across the board. It will expose poor practice, but it will also elevate those agents who operate with integrity, expertise and accountability.

Good letting agents should no longer be seen as optional but instead recognised as essential. In uncertain times, landlords need guidance and expertise they can rely on to handle their ‘business’ for them. Because, it is, after all, a business, not a hobby.

The opportunity now is to step forward, demonstrate that value, and build stronger, more meaningful relationships with landlords who need support more than ever.

Paul’s top tips for letting agents

 – Stop assuming landlords understand your value, if you cannot explain it clearly, they will choose to self-manage.

 – Use the Renters’ Rights Act to start conversations now, do not wait until problems arise. Get ahead of it.

 – Go after self-managing landlords, they are your biggest opportunity and compliance is your strongest selling point – many are already struggling.

– Lead with risk. Fines, compliance failures and possession issues get attention. What feels complex to landlords should feel effortless with you.

– Be honest about the industry, acknowledge poor practice, then show how you are different.

– Value your expertise properly. Do not give it away. Package it, price it and stand by it.

Paul Shamplina is founder of Landlord Action.