CLAIM: ‘Growing number of landlords really are selling up’
Big property data company TwentyEA reveals 18,000 properties have exited PRS in past three months.
The number of landlords selling up has been accelerating as the Renters’ Rights Bill edges ever closer to becoming law, a new report from TwentyEA reveals.
In Q4 2024, 12.2% of new sales instructions were properties which had been rented in the private rental sector (PRS) at some point during the past three years or 39,684 properties.
Of those rental properties that were sold, only 2.9% (3,634 ) were subsequently relet the following quarter (Q1 2025).
Numbers growing
TwentyEA boss Katy Billany (pictured), says that research carried out for her firm’s latest Property & Homemove report shows that of the approximately 50-55% of new instructions selling, around 18,000 properties are likely to or have left the rental market since Q4 24 and with the proportion of ex-rental properties being listed for sale growing to 15.6%, those numbers will only get bigger.
At the same time, the volume of all ‘to let’ homes hit yet another all-time low, with just 284,000 properties currently available across the UK. That is 18% less than Q1 2024 and 23% lower than pre-pandemic 2019.
Billany says: “The rental market remains under significant strain, with tenants across the country facing a chronic shortage of homes.
There’s a common misconception that other landlords will buy their properties and reintroduce them to the lettings market.”
“Our analysis reveals that a growing number of landlords are selling up to exit the sector and there’s a common misconception that other landlords will buy their properties and reintroduce them to the lettings market. By and large though, this is not what we’re seeing.
She adds: “The rental market is experiencing an accelerated adjustment phase as supply constraints intensify and rental costs continue their upward trajectory ahead of the Renters’ Rights Bill implementation.
“Notably, market indicators have been signalling these shifts prior to the formal introduction of the legislation, reflecting broader underlying dynamics. The private rental sector demonstrates significant volatility, a condition that analysis suggests will persist throughout the near-term planning horizon”.
Read the full report here.
As predicted and no surprise, well done the Conservatives and Labour for causing this ridiculous scenario. We are loosing many good small landlords and thereby many rental homes in the PRS. In addition there will be a lot of good hard working and caring agents losing their businesses due to this. The landlords and agents have been hit over the past 5 years with more and more legislation and taxes and excruciating costs, making it totally unviable to continue.