Rightmove reports rental supply crisis as reforms loom
One in three landlords considering exit as new rental listings hit their lowest level so far this year.
A growing supply crisis in the rental market as the Renters’ Rights Bill nears royal assent has been revealed, with one in three landlords considering leaving the sector as new rental listings fall to their lowest level this year.
Rightmove’s latest Rental Trends Report shows new rental listings are now just 1% higher than they were last year – the lowest this figure has been in 2025 – while the total available rental stock remains 23% below pre-pandemic levels.
Not just RRB
However, according to Colleen Babcock (pictured), Rightmove’s property expert, it is not just the impending legislation that’s discouraging landlords from investing in the rental sector. The report reveals that landlords are also being put off by Stamp Duty increases and the threat of National Insurance being levied on rental income in the Autumn Budget, as well as mortgage costs that are still nearly double pre-mini-Budget levels.
In Rightmove’s survey, two-thirds (66%) of landlords said they felt unsupported by the Government, whilst less than half (43%) were fully aware of the Renters’ Rights Bill and prepared for the changes.
Nearly a third (29%) said rising mortgage rates were affecting plans to expand their portfolios, and nearly one in five (17%) were considering reducing the size of their portfolios.
There are clearly challenges for those looking to invest in rental property.”
Despite the high numbers considering leaving the sector, Babcock says: “The majority of landlords are looking to stay in the market and even grow their portfolios, which is positive for tenants, but there are clearly challenges for those looking to invest in rental property.”
However, she warns: “Landlords who were considering selling up told us that legislation changes were their biggest source of frustration. The Government needs to consider this when setting its policy agenda, otherwise we may see more landlords choose to leave the sector, which will be to the detriment of tenants.”
Its not like the previous and this government have not been warned but as usual idealism takes precedence over practical reality.
While we have seen some older landlords sell for us it has been in the usual numbers we have seen for many years but we are not seeing the younger ie next generation landlords coming in to replace them and this has been the case for three years.
Rental properties are vital for a mobile population as not everyone will qualify for social housing and this is hampering people moving for jobs and creating chaos in relationship break ups.
I tried writing to my local MP both Tory and Labour with no reply which is sad as we need them to understand instead of just being lobby fodder.